Credit Cards that offer Primary Rental Car Coverage
A card that offers primary rental car coverage
Rental car coverage is crucial, especially when you’re traveling abroad. The last thing you want is to get into a fender bender and get hit with a higher insurance premium.
You can buy primary coverage at the rental counter or get it for free using a card that offers primary rental car coverage, such as:
Capital One Venture X
Chase Sapphire Preferred
Chase Sapphire Reserve
United℠ Explorer Card
United Quest℠ Card
Ink Business Cash® Credit Card (when renting for business purposes)
Ink Business Preferred (when renting for business purposes)
Ink Business Unlimited® Credit Card (when renting for business purposes)
United℠ Business Card (when renting for business purposes)
Capital One Venture X
The Capital One Venture X Rewards Credit Card offers an auto rental collision damage waiver that may reimburse you for damages caused by theft or collision up to the actual cash value of your rental vehicle — up to $75,000. You are only eligible for insurance when you rent for up to 15 consecutive days in your country of residence or up to 31 consecutive days in other countries.
Chase Sapphire Reserve and Chase Sapphire Preferred Card
The Chase Sapphire Reserve and Chase Sapphire Preferred provide primary car rental insurance for rentals in most countries, covering rentals of up to 31 consecutive days. In particular, this policy covers losses — including physical damage and theft of the rental vehicle — valid loss-of-use charges from the rental company and reasonable and customary towing charges related to a covered loss.
American Express add-on coverage
American Express provides secondary rental car coverage on its cards but offers primary coverage for a separate fee through a program called Premium Car Rental Protection. It provides enhanced primary coverage, potentially for far less than you would pay at the car rental counter.
Once you enroll in the program, each time you use your American Express card for a car rental, your account automatically will be charged a single, flat cost of about $20 to $25, not a per-day cost like from the rental company (as of June 2021). That’s for up to 42 days of rental, far more than the usual 15 or 31 days. You’re only charged automatically when you rent with one of your AmEx cards. Costs and coverages can vary by the state you live in.
Is rental car coverage primary or secondary?
Primary coverage is better, but few cards offer it. After an accident, primary coverage pays first, allowing you to bypass your personal auto insurance. That means you can avoid paying a deductible and potentially seeing your premiums rise. The secondary coverage that most credit cards offer typically means your auto insurer pays the claim but the card will reimburse your deductible and potentially other costs not covered by your personal policy.
How do I make sure coverage applies to my rental?
Typically, you must pay for the rental with the credit card that includes the benefit, and you must decline the rental car company’s collision coverage. The driver at the time of the accident must be listed on the rental agreement.
What coverage is included?
Credit card coverage mostly applies to what’s called a collision damage waiver or loss damage waiver, typically the most expensive coverage offered at the rental counter. Cards also usually include some coverage for towing expenses and administrative fees. Many cards also cover loss of use, which means compensating the rental company for time the car is out of service while damage is repaired.
What isn’t covered?
Typically not covered are liability and injury concerns, such as damage to property other than the rental car, people you hurt and related lawsuits. But many people have those coverages elsewhere. Rental car companies must provide a minimum level of liability insurance, and your personal liability coverage often applies. Also usually not covered is loss or theft of personal belongings inside the car, but that is often already covered by homeowners or renters insurance. Credit card coverage also doesn’t include ambulance or medical bills following a crash, but your personal health and auto insurance policies probably do, according to the insurance institute.
The best credit cards with roadside assistance
Chase Sapphire Reserve®: Best for overall travel protections, including roadside assistance. Roadside assistance benefit covers up to $50 for each service event, up to four events each year (including tow, jump-start, tire change, locksmith and gas), up to four events each year.
Capital One Venture Rewards Credit Card: Best Capital One card for roadside dispatch at a set price.