Credit Cards with Primary Car Rental Insurance Coverage

Does your credit card offer primary car rental insurance coverage? And how about for foreign travel abroad? Most credit cards offer some amount of rental car insurance, but it's typically secondary to your existing auto insurance coverage.

Keep in mind that for U.S. drivers, when you're traveling overseas, even secondary coverage is effectively primary because your U.S. auto insurance policy doesn't cover you when renting abroad. Also, for folks like me that don't have a car and therefore no auto insurance, secondary coverage is effectively primary coverage even for U.S. rentals, because there they don't have any other auto insurance policy.

First, let's be clear on the coverage we're talking about for primary car rental insurance: Collision Damage Waiver (CDW) insurance.

CDW covers (up to the policy coverage limit):

• Damage to the rental car
• Theft of the car
• Loss of use (loss to the rental car company for not being able to rent the car, while it is being repaired)
• Towing

But, there are other liabilities that CDW does NOT cover:

• Damage to any other car
• Damage to any property
• Injuries to people (whether in the other car, pedestrians, you, or your passengers)

Only a few credit cards offer primary car rental insurance coverage–here are my picks:

1. Chase Sapphire Reserve

• Primary coverage up to $75,000 for physical damage and/or theft of a covered car rental
• Also covers “reasonable and customary towing charges” to take the car to the nearest qualified repair facility
• Covers “valid loss-of-use charges” incurred by the car rental company
• Must decline the rental car company's collision damage waiver (CDW); if you accept it, you will not be eligible for Chase Sapphire Reserve auto rental CDW coverage.
• Does NOT cover antique cars; vans designed to carry more than 8 passengers; vehicles with an open cargo bed; trucks; motorcycles, mopeds and motorbikes; limos; and recreational vehicles
• If traveling to a country such as Israel, Ireland, Jamaica or New Zealand, I recommend calling the Benefits Administrator at 888-675-1461 to get a letter that explicitly states that the card covers CDW for the country in question. Otherwise, the car rental company may not permit you to decline its own CDW.

2. Chase Sapphire Preferred

• Primary coverage on car rentals for theft and collision damage costs up to the actual cash value of the vehicle
• Also covers “reasonable and customary towing charges” to take the car to the nearest qualified repair facility
• Covers “valid loss-of-use charges” incurred by the car rental company
• Must decline the rental car company's collision damage waiver (CDW); if you accept it, you will not be eligible for Chase Sapphire Preferred auto rental CDW coverage.
• Does NOT cover expensive or exotic automobiles such as the following (not an exhaustive list): Aston Martin, Bentley, Bricklin, Daimler, DeLorean, Excalibur, Ferrari, Jensen, Lamborghini, Lotus, Maserati, Porsche, Rolls Royce. However, selected models of BMW, Mercedes-Benz, Cadillac and Lincoln are covered.
• Also does NOT cover antique cars over 20 years old and any vehicle that has not been manufactured for 10 years or more; vans designed to carry more than 8 passengers; vehicles with an open cargo bed; trucks; motorcycles, mopeds and motorbikes; limos; and recreational vehicles
• If traveling to a country such as Israel, Ireland, Jamaica or New Zealand, I recommend calling the Benefits Administrator at 888-320-9961 to get a letter that explicitly states that the card covers CDW for the country in question. Otherwise, the car rental company may not permit you to decline its own CDW.

3. United MileagePlus Explorer

• “Your MileagePlus Explorer Card provides you with primary coverage for physical damage and theft of most rented vehicles”
• Coverage for rentals up to 15 consecutive days in your country of residence and 31 days outside your country of residence
• Must decline rental car company's CDW coverage

4. Fairmont Visa

• Primary coverage for physical damage and theft of most rented vehicles
• Coverage for rentals up to 15 consecutive days in your country of residence and 31 days outside your country of residence
• No foreign transaction fees
• Must decline rental car company's CDW coverage

5. United Club Card

• Primary coverage for physical damage and theft of most rented vehicles
• Coverage for rentals up to 15 consecutive days in your country of residence and 31 days outside your country of residence
• No foreign transaction fees
• Must decline rental car company's CDW coverage

6. AMEX Premium Car Rental Protection

• Primary coverage
• Free to enroll
• Flat rate of $24.95 ($17.95 for California residents) for up to 42 consecutive days (up to 30 consecutive days for WA Cardmembers) of coverage
• Up to $100,000 in CDW primary coverage (against damage or theft of the rental car)
• No deductibles
• Coverage worldwide excluding Australia, Ireland, Israel, Italy, Jamaica, and New Zealand
• Must decline rental car company's CDW coverage
• Covers most vehicles, including convertibles, exotic cars, minivans, pickup trucks and full sized SUVs