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If you\u2019ve rented a car in the past, you probably know that rental companies offer insurance coverage to protect you on the road. The most common coverage type is a loss damage waiver, which protects your rental from damage due to theft, vandalism, a collision, and more. While this coverage gives you valuable protection, you might not actually need it. That\u2019s because your credit card might offer the coverage you need as a complimentary benefit.<\/p>\n
Here\u2019s how credit card rental car insurance works and which cards offer primary insurance as a safeguard for your travels.<\/p>\n
Credit card rental car insurance can serve as alternative protection to a rental company\u2019s coverage. But there are a few caveats to consider. First, you\u2019ll need a credit card offering complimentary rental car insurance as a perk. You\u2019d also need to rent a car with your card in order to access its insurance benefit. And finally, you must decline the rental agency\u2019s collision damage waiver if you want to rely on your credit card\u2019s rental car insurance for protection.<\/p>\n
Rental car insurance options and limits vary by card. Secondary coverage, which supplements your own car insurance, is the most common option. For example, if you back into another vehicle while driving your rental, you\u2019d need to first file a claim with your primary car insurance company. Your personal insurer could cover the cost of repairs to the rental, and your credit card\u2019s secondary coverage could pay for things like your insurance deductible.<\/p>\n
Primary coverage is a rarer option, but it\u2019s still available with certain credit cards \u2014 often higher-tier rewards credit cards. With primary coverage, you don\u2019t need to file a claim with your personal insurer first. Instead, you can simply call your credit card company for assistance after an accident or incident, and your personal insurance serves as backup to your primary coverage. Relying on this coverage could help you avoid potential premium increases that might happen after filing a claim with your personal insurer.<\/p>\n
A card with primary rental car coverage could be beneficial no matter how often you travel. In addition to primary coverage, many of the following cards offer added benefits like cash back or travel rewards, credits, and more.<\/p>\n
Rewards rate<\/p>\n
Benefits<\/p>\n
With the Capital One Venture X Rewards Card (COF) you\u2019ll get primary rental car coverage and a host of other perks. Unfortunately, Capital One isn\u2019t very transparent about how much rental car coverage the Venture X Rewards provides.<\/p>\n
Rewards rate<\/p>\n
Benefits<\/p>\n
The Chase Sapphire Reserve (JPM) is another premium travel rewards card offering big benefits and primary rental car insurance. Cardholders who rent cars using their card get up to $75,000 in coverage for most rentals of up to 31 consecutive days.<\/p>\n
Rewards rate<\/p>\n
Benefits<\/p>\n
If you want primary rental car coverage but you\u2019d prefer a lower annual fee, the Chase Sapphire Preferred may be worth considering. You\u2019ll get up to $65,000 in primary coverage for most rental cars valued at $125,000 or less, and this card\u2019s annual fee is just $95. Remember that you\u2019ll need to use your card to rent your car and decline the rental agency\u2019s coverage to be eligible for this primary insurance.<\/p>\n
Rewards rate<\/p>\n
Benefits<\/p>\n
The Ink Business Cash, a small business credit card, offers rental car coverage similar to that of the Chase Sapphire Preferred. When you use your card to book your car rental and decline the rental company\u2019s collision damage waiver, you\u2019ll get up to $60,000 in primary insurance on most rental cars. And the best part? The Ink Business Cash has a $0 annual fee.<\/p>\n
Rewards rate<\/p>\n
Benefits<\/p>\n
The Ink Business Preferred is a small business travel rewards credit card offering up to $65,000 in primary rental car coverage for most rentals. Like the Ink Business Cash, this card offers a range of perks, including a hefty 90,000-point welcome offer if you spend $8,000 within three months of account opening.<\/p>\n
Cardmembers also benefit from business-focused rewards categories, free employee cards, and other perks. This card has a $95 annual fee.<\/p>\n
Benefits<\/p>\n
Another great option for small businesses is the Ink Business Unlimited. This card gives you primary auto rental coverage of up to $60,000 for cars valued at $125,000 or less. Unlike other cards on our list, the Ink Business Unlimited offers a generous introductory APR on purchases for 12 months, which could be ideal if you plan on a large purchase in the near future.<\/p>\n
Editorial Disclosure: The information in this article has not been reviewed or approved by any advertiser. All opinions belong solely to the Yahoo Finance and are not those of any other entity. The details on financial products, including card rates and fees, are accurate as of the publish date. All products or services are presented without warranty. Check the bank\u2019s website for the most current information. This site doesn’t include all currently available offers. Credit score alone does not guarantee or imply approval for any financial product.<\/em><\/p>\n<\/p><\/div>\n