Skip the searching and find the top financial products of 2024, all in one spot. From insurance companies to investment accounts, we’ve got you covered.
The best travel credit cards often come with rental car insurance to provide more coverage and peace of mind during your trips. Even if you’re just renting a car for a quick road trip, having this insurance can come in handy if the car is damaged or stolen.
While it’s usually an ancillary benefit, often overlooked, you may need a card with rental car insurance if your primary auto coverage doesn’t include rental cars or its limits are lower than what you need while traveling. Here are the best cards with rental car insurance to consider the next time you need it.
Top cards with car rental coverage
The Chase Sapphire Preferred Card is an excellent deal when you consider all the perks and boosted rewards rates you’ll receive for its $95 annual fee. Travel benefits include a primary collision damage waiver coverage for rental cars that’s worth up to the actual cash value of the rental car (exclusions apply). Coverage is also good for rental periods of up to 31 days, and for damage, theft, towing charges and loss of use charged by the rental car company.
Pros
Its impressive airline and hotel transfer partners offer boosted redemption value.
It includes perks commonly found on higher-tier travel cards, including its anniversary bonus and travel protections.
Cons
Its annual fee will offset a sizable chunk of your rewards value.
This card lacks introductory APRs on purchases or balance transfers, making it a bad pick for people hoping to reduce current card debt or avoid interest on future purchases.
If you’re a travelling foodie who rents cars — especially internationally — then the American Express Gold card should be one of your first considerations. Even with the high annual fee, you can offset it with its myriad statement credits. Its rewards rates for spending at restaurants worldwide mean you can eat your way through your destinations and earn plenty of points for your next trip. Plus, its rental car coverage is pretty standard, so you’ll be covered while you drive.
Pros
Its rewards rate on food-related purchases and no foreign transaction fees mean you can earn great rewards abroad and domestically.
Various statement credits can help offset the annual fee.
Cons
Its car rental insurance coverage doesn’t include rentals in Australia, Italy or New Zealand, which are common destinations for Americans.
This card doesn’t have airport lounge or Known Traveler program credits.
If you travel for business often, you should also consider the Ink Business Preferred® Credit Card. This card offers primary rental car coverage when you use your credit card to pay for a rental agreement and you are renting the car for business purposes. Other important cardholder benefits include cellphone protection, free employee cards, trip cancellation and interruption insurance, extended warranties and purchase protection.
Pros
Its impressive welcome bonus could increase your earning potential during your first year with the card.
You pay no extra fee for employee cards, making this an ideal pick for savvy business owners with employees who have purchasing responsibilities.
Cons
This card has very few business-focused benefits so it’s not a good choice for business owners hoping to leverage perks and benefits.
Bonus rewards are capped at $150,000 spent in combined purchases per year, restricting earning potential for big spenders.
If you fly with United Airlines often and want to earn miles in the United MileagePlus program, you can also check out the United Explorer Card. Cardholder benefits include primary auto rental coverage (the same coverage you get with the Chase Sapphire Preferred card). You’ll also receive trip delay reimbursement, baggage delay insurance, purchase protection, lost luggage reimbursement, trip interruption or cancellation coverage and a first checked bag free when you fly United, among other perks.
Pros
Its intro annual fee will be a good trial run if you are wary of whether or not you’ll make the most of the card.
It has an expanded portfolio of travel benefits that can help you save money and have a convenient airport experience.
Cons
You’ll need to make a plan to redeem your miles with the MileagePlus loyalty program to ensure you’re making the most of them.
It carries limited redemption options compared to general travel rewards cards.
The Bilt Mastercard includes an auto rental collision damage waiver, surprising for a no-annual-fee card. If you’re a renter hoping to avoid as many fees as possible along your credit journey but don’t want to spare the perks of pricey rewards cards, the Bilt Mastercard gives you the unique opportunity to earn rewards for rent and skip some of the pricey hurdles on the best rewards cards.
Pros
You can earn points on rent without worrying about transaction or processing fees (up to 100,000 points earned per calendar year).
If you attain Silver or higher elite status, your unused points will earn interest.
Cons
Other travel and cash back cards offer higher ongoing rewards rates.
This card has little short-term value compared to the top rewards cards because it lacks a welcome offer.
It’s rare to find a credit card for bad and fair credit that offers such high rewards rates and a suite of travel benefits that the Credit One Bank Wander card does. Its 5X points on dining, gas, and travel covers a variety of everyday categories and practical benefits with major rental car companies stand it apart from competing cards.
Pros
It has no foreign transaction fees, so it’s a great companion to take abroad.
This card has strong rental car benefits with Avis, Hertz and SIXT.
Cons
Its travel rewards points are only worth 1 cent and Credit One Bank doesn’t have any travel partners to potentially increase point redemption value.
The annual fee may be a stretch for some and is high for a card available for people with bad or fair credit.
Comparing cards with car rental insurance
Understanding your card’s rental car insurance
Also called an auto collision damage waiver, rental car coverage provides secondary auto insurance when you rent a car. While primary coverage kicks in before other coverage you have, secondary coverage can only be used after you file a claim and exhaust benefits from any other insurance you have, including your own auto insurance policy.
In most cases, you must pay for all of the cost of the rental car with the card and decline the rental company’s coverage option to use your card’s auto rental coverage.
It’s also crucial to understand your card’s coverage limits. If the card only covers up to $50,000 in damage and a luxury vehicle you rent is stolen or damaged, you may not have full coverage. Carefully read the fine print of your coverage, as other limitations may apply. For example, specific models or car rentals in certain countries may not qualify for coverage, and most cards don’t over personal injury liability.
Different credit cards may have different policies when it comes to filing a claim. However, most offer an online claims portal that lets you submit your claim paperwork and proof of your claim via the web. Make sure to gather evidence of your claim including photos of the damage, police reports and any other evidence related to your specific problem, whether it’s damage, theft or another mishap.
How to choose credit card for rental car insurance
Choosing a credit card for rental insurance involves many factors. Consider the following when deciding on the best card for you.
Primary or secondary coverage: We highlighted the best credit cards for auto rental coverage above, but we only included cards with the best primary coverage. Plenty of other travel credit cards offer secondary auto rental coverage that can help cover losses after any other insurance policies you have are exhausted.
Limitations: Most credit cards that offer rental car coverage list some fine print you should be aware of, including wording that limits the type of automobiles they’ll cover. Compare these limitations to make sure you get a card with rental car insurance that doesn’t hinder your travel plans.
Travel rewards: Look for cards with high rewards rates on rental car bookings. Issuers often offer solid rewards for rental car bookings through their travel portals, so you can get more travel points and rental car coverage.
What’s next?
Check out these resources as you plan your next trip.
The bottom line
The right credit card can help you enjoy primary rental car coverage that will help you save money and benefit from some peace of mind on your vacation. However, it’s important to carefully review your credit card’s coverage and limitations and to always decline the paid coverage offered by the rental car company.
The information about the United Explorer Card has been collected independently by Bankrate.com. The card details have not been reviewed or approved by the card issuer.
Frequently asked questions about credit card car rental insurance
Rental car insurance is not a standard feature on all Visa cards. Coverage varies, so you’ll need to contact your credit card issuer to check if your card includes this benefit and understand the level of coverage provided.
Using a credit card to rent a car can offer benefits such as potential discounts, complimentary rental agency status, insurance coverage, rewards earning and additional security. It’s not mandatory, but depending on the rental agency’s policies and your credit card’s perks, it may be advantageous.
For most issuers, you can log in to your credit card account and check your card’s benefits. It may be referred to as auto collision damage waiver, rental car insurance, rental car coverage or car rental loss and damage insurance.
Did you find this page helpful?
Why we ask for feedback
Your feedback helps us improve our content and services. It takes less than a minute to
complete.
Your responses are anonymous and will only be used for improving our website.
Help us improve our content
Thank you for your
feedback!
Your input helps us improve our
content and services.
