When you’re leasing a vehicle, one bit of paperwork that is often missed or forgotten about is the damage waiver. But what is a damage waiver?

The damage waiver typically spends its time in the background, but if your vehicle gets into an accident or is damaged by road hazards, it morphs into a powerful tool that can help shield you from the bulk of costs that are incurred when it comes to turning in your vehicle at the end of your lease.

This special waiver can only be bought within the first month of a new vehicle lease period, with the fore-mentioned waiver covering vehicles up to an MSRP of $150,000. This means even some exotic vehicles are covered under this unique form of protection.