“Credit Card Rental Car Insurance”; I am sure you’ve heard this term before. When you rent a car with your credit card, it often offers you free insurance for that rental car. Moreover, credit cards can save us up to $1,000 per rental car insurance.
Therefore, you can hit the road and drive peacefully without worrying about anything in the world. However, do all credit cards offer insurance coverage or is it limited to some brands and types?
To find a detailed answer to this, continue reading and find out more about credit cards for rented car insurance.
The Procedure in Which Credit Card Rental Car Insurance Works
During the time you rent your car, if you make the entire payment + additional fees through your credit card, the company will offer you free insurance. However, there are some conditions attached to it.
First of all, only a few types of cards allow free insurance coverage on rented cars; moreover, whether you’ll get primary or secondary coverage also depends on your credit card company.
Hence, before you plan on renting a car with your credit card, there are a few factors to keep in mind:
- Read the coverage plan and details before you decide to rent a car.
- Swipe for the rental car only through a credit card that offers insurance on rented cars.
- The card you will use to pick up your car must be the card you used while booking your car.
- If you avail of insurance from your car rental company, you cannot use the credit card company’s insurance coverage. Therefore, please remember to decline the coverage your rental company is providing you.
- In case of accidents or breakdowns, please get in touch with your credit card company and not your car rental service for a claim.
Things to Remember Before Purchasing a Credit Card for Rented Car Insurance
Now you’re aware of a credit card’s functionality when you rent a car for usage. Therefore, now you must focus on the things that you must consider before renting a car with your credit card.
1. Primary Or Secondary; Which Type Of Insurance Does Your Credit Card Cover?
Remember that a primary insurance plan offers better facilities than secondary insurance. Hence, always find out if the credit card you’re applying for offers secondary rental car insurance.
If that is the case, it’s better to either get primary rental car insurance from elsewhere before applying for the card. Or apply for a credit card with a better rental car insurance plan.
2. Which Countries Do Your Cards Exclude From Their List?
Every type of credit card excludes some or other countries from offering rental car insurance. For example, you cannot use Amex cards to avail of free rental car insurance in Australia, New Zealand, and Italy.
On the other hand, you cannot use a standard Mastercard or Visa to avail free rental car insurance in Ireland, Israel, and Jamaica. Hence, please read the offer documents of the credit card company before applying.
3. Which Vehicles Do Your Cards Exclude From Their List?
It’s not just countries but also some types of cars that are excluded from various Credit card rental car insurance. For example, most credit card companies do not cover exotic and luxury cars, pickup trucks, motorcycles, and RVs.
Therefore, first, check with the credit card company on the range of cars they offer rental car insurance and then apply for the card.
4. For How Long Does Your Card Cover Your Rental Car?
Last but not least, always remember to check for how long your credit card offers you rental car insurance coverage. According to our latest data, credit card companies mostly offer coverage from 14 to 30 days.
Therefore, if you plan on renting a car for a longer period than that, you must have a backup plan.
Related Article – How Much Is Enterprise Car Rental Insurance
What Is Primary Insurance Coverage, And What Is Secondary Insurance Coverage?
We have been talking about primary and secondary insurance coverage for quite some time. So, what are these Primary and Secondary Insurance Coverages, and why are they important?
Let’s find this out!
1. Primary Insurance For Collision and Damage
If you find that your credit card company offers Primary Insurance for Collision and Damage, you don’t have to file an insurance claim from your insurance company. It will work as the primary insurance coverage for your rented car.
Primary insurance generally gets activated while you’re driving internationally. However, there are exceptions, which you must check.
2. Secondary Insurance For Collision and Damage
A secondary Insurance for collision and Damage gets activated after you file a claim with your insurance company. It’s important to file a claim if your credit card offers secondary insurance.
Otherwise, your insurance company might penalize you if you claim insurance on a credit card without informing the insurance company.
TOP 5 CREDIT CARDS YOU MUST KNOW ABOUT FOR RENTAL CAR INSURANCE
Now it’s time to reveal the top 5 credit cards you can consider for your rental car insurance:
|Credit Card Name||Type of Coverage You Will Receive||For How Long It Will Offer You Coverage||What Are Its Limits?||What is the Annual Fee?|
|Chase Sapphire Reserve Credit Card||Primary Insurance||You can receive up to 31 Days’ coverage while using this card||You can use up to $75,000||$550|
|Chase Ink Business Preferred Credit Card||Primary insurance if rented for business purposes||You can receive up to 31 Days’ coverage while using this card||Can you receive the actual value of the car you rented||$95|
|Chase Freedom Flex Credit Card||Secondary Insurance||You can receive up to 31 Days’ coverage while using this card||The card can offer you the actual value of the car you rented.||$0|
|United Explorer Credit Card||Primary Insurance||You can receive up to 31 Days’ coverage while using this card||You can receive the actual value of the car you rented.||For the first year, you don’t have to pay any money. Then it’s $95 every year.|
|Chase Sapphire Preferred Credit Card||Primary Insurance||You can receive up to 31 Days’ coverage while using this card||The card can offer you the actual value of the rented car.||$95|
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So, here’s everything about credit card rental car insurance. We’ve tried to cover every important section you must learn while applying for a credit card for car insurance.
Go through every word thoroughly and evaluate every option before applying for the card.
Best of Luck!
Will I get insurance on rental cars from my credit card company?
If your credit card company offers insurance on car rentals, you will definitely receive it while renting a car. However, please check with your credit card company before you set out to rent.
Can You please name some credit card companies that offer rental car insurance?
Chase Sapphire Credit Cards and American Express Credit Cards are popular credit cards for insuring your rented cars. Apart from these two companies, Capital One’s Venture Cards also offer great benefits.
Is there any company that offers Primary Insurance for Rental cars?
Chase Sapphire cards offer primary insurance for almost every rental car. Hence, you can apply for a Chase Sapphire card, after reading their legal documents.
Will I get car insurance on every type of credit card?
No, getting rental car insurance on every type of credit card is impossible. You must specifically apply for a Travel Rewards car to explore and receive such benefits. Otherwise, your entire money will go to waste.