I rented a board here for my first day. It was a 7'0 semi-longboard full of old ding-repairs, and looked like a normal used rental board. I checked the board with the the guy renting it, and I pointed out all the old repairs and than the top sheet was damaged in the back. He told me not to worry because they only made you pay for larger repairs. When I returned the board, the guy at the shop pressed really hard down on an old ding repair, and some water came out. He told me I had made a new ding, even thought it was obvious that this was because of an old repair job not done properly. I surfed baby point on a day with a small swell. I didn't wipe out once, I didn't have any collisions and surfed the beach break for half a day. There is no way I could have damage the board.
I ended up paying for a repair which obviously was not my fault just to get my passport so the price for rental went up x 4
If you get to Arugam bay and need to rent boards there are plenty of other shops. STAY AWAY from Cili surf shop if you don't want your passport to be held hostage as they charge you extra for renting an old beaten up board that has been through plenty of ding-repairs. I have surfed for 8 years and because of the airline prices i dont bring my board and have rented boards in Costa Rica, Portugal, USA etc and never had a problem before I got to Cili surf shop Arugam bay.