Insurance is where rental surprises love to hide. Japanese rental terms use a few phrases that visitors haven't seen before, and the difference between them can be the difference between paying nothing and paying a lot. Here's the plain-English version.
Japanese rentals usually include compulsory and voluntary insurance, but you may still owe a deductible and an NOC (Non-Operation Charge for repair time) after damage. CDW waives the deductible; the NOC is often separate. ARTCARS includes zero-deductible insurance on every booking — read the terms for exclusions.
The layers of cover
| Term | What it is |
|---|---|
| Compulsory insurance | Required by law for every car in Japan. Covers basic injury to others |
| Voluntary insurance | Usually included by the rental company. Covers wider liability and damage up to set limits |
| Deductible (excess) | The part of a claim you pay yourself |
| CDW (Collision Damage Waiver) | Waives your deductible |
| NOC (Non-Operation Charge) | A fee for the time the car is off the road being repaired — often charged even with CDW |
Why it matters more for sports cars
Repairs on a GT-R or a modified JDM car are expensive, and parts can take weeks. The NOC on a sports car can be meaningful, and some policies exclude things like wheels, tyres or the underside. Always ask what your maximum cost could be.
Questions to ask before you book
- Is the deductible covered, or do I pay it?
- Is there an NOC, and how much is it?
- What's excluded — wheels, glass, the underbody, damage while breaking traffic rules?
- What happens if I don't report an accident to the police? (Usually: no cover.)
- Does my credit card's rental cover apply to this car? (Often not for sports cars.)
How ARTCARS handles insurance
Every ARTCARS booking includes zero-deductible insurance in the price. The full conditions are in our rental terms, and we go through them in English at the briefing. Like all insurance, it doesn't cover illegal driving, alcohol, or accidents that aren't reported — so drive legally and tell us about anything that happens.
In Japan, you must report any accident to the police, even a minor scrape in a car park. Without a police report, insurance usually won't pay.
If you have an accident
- Stop safely and turn on hazard lights.
- Help anyone injured; call 119 if needed.
- Call the police on 110.
- Call your rental company.
- Take photos of the scene and the cars.
Frequently asked questions
Does my credit card insurance cover rentals in Japan?
Some cards include rental cover, but conditions vary and many exclude high-performance cars. Check with your provider.
What is NOC in Japan?
A Non-Operation Charge — a fee for the rental company's lost business while a damaged car is repaired.
Is zero-deductible the same as no cost at all?
It means you don't pay the deductible on covered damage. Exclusions can still apply, so read the terms.
Do I need extra insurance from a third party?
Usually not if the rental includes comprehensive cover. Ask the rental company what's included before buying more.