Ellen B. Kennedy
We may earn compensation when a customer clicks on a link, when an application is approved, or when an account is opened. We may not cover every available offer. Our relationship with advertisers may impact how an offer is presented on our site but our editorial selection of products is made independently. Terms apply to American Express benefits and offers. Enrollment may be required for select American Express benefits and offers. Visit americanexpress.com to learn more. We calculate a typical annual reward for each card, assuming $36,000 spent annually and less any annual fee. Interest rates, fees, rewards and other terms listed in this article are subject to change. Before you apply for a credit card, check its current terms and conditions with the issuer.
Should you tick the box for rental car insurance at the Avis, Budget or other rental car counter? Or does your personal auto insurance or rewards credit card already offer this benefit?
Given that supplemental insurance for rental cars can cost around $13 to $30 per day or more, it's worth asking these questions first.
Figuring out card benefits before you travel is smart. However, wading through the perks offered by multiple rewards credit cards can be arduous and confusing.
From just $107.88 $24.99 for Kiplinger Personal Finance
Become a smarter, better informed investor. Subscribe from just $107.88 $24.99, plus get up to 4 Special Issues
Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
A recently updated study from WalletHub did the heavy lifting for you, identifying which credit cards provide rental car coverage and comparing the travel benefits of 86 credit cards from the 10 largest issuers.
Comparing credit card issuers
Many financial institutions, such as Bank of America (PDF) or U.S. Bank, offer auto rental benefits. Perks will vary from card to card, so it's important to understand the terms of each card.
Chase Bank offered the best rental car insurance benefits among the personal credit card issuers studied by WalletHub.
Check out the chart below to see how your card compares:
Overall WalletHub Score | Credit Card |
|---|---|
93.5% | Chase Sapphire ReserveⓇ |
91% | Other Chase Consumer Visa Cards |
90% | All Wells Fargo Consumer Cards |
88.5% | American Express Consumer Cards |
88.5% | U.S. Bank Altitude Reserve Visa InfiniteⓇ Card |
87.5% | All Navy Federal Credit Union Visa Cards |
86% | Capital One Visa Consumer Cards |
86% | Citi Strata PremierⓇ Card |
85% | Bank of AmericaⓇ Premium RewardsⓇ credit card |
80% | All Navy Federal Credit Union Mastercard Cards |
79.5% | Navy Federal Credit Union More Rewards American ExpressⓇ |
78.5% | Bank of AmericaⓇ Travel Rewards |
78% | U.S. Bank FlexPerksⓇ Gold American ExpressⓇ |
No coverage: Synchrony and Discover don't offer any car rental coverage on any of their credit cards.
Chase credit cards with car rental insurance
The top two credit card offers with car rental coverage come from Chase, according to WalletHub's analysis.
Chase Cards: Chase credit cards offer the best car rental insurance compared with other issuers. Chase will insure rentals globally, including in countries such as Italy and Ireland that other cards may prohibit.
Chase also boasts the highest per-vehicle coverage amount (up to $75,000), and coverage extends up to 31 days, whereas most competitors will insure only up to 15 days in your home country.
The top-scoring personal credit card is the Chase Sapphire Reserve® Card.
All other Chase consumer cards scored second for car rental benefits. For example, the Chase Sapphire Preferred® Card has a lower annual fee than the Sapphire Reserve card but still offers solid travel benefits.
- Interest rate: 19.99% - 28.49% variable.
- Annual fee: $795; $195 for each authorized user.
- Foreign transaction fee: None
- Rewards: 8-times points on all purchases through Chase Travel, including The EditSM; 4-times points on hotels and flights booked direct; 3-times points on dining worldwide and 1-times points on all other purchases.
- Other benefits: An annual statement credit of up to $300 for travel purchases (purchases that qualify for the credit do not earn points until the $300 travel credit has been applied), a Priority Pass Select membership for airport lounge access and perks at properties in the Luxury Hotel & Resort Collection. Get complimentary access to DashPass, which unlocks free delivery and lower service fees for a minimum of one year when you activate by December 31, 2027.
- Lounges: Access to 1,300-plus airport lounges worldwide after an easy, one-time enrollment in Priority PassTM Select and up to $120 application fee credit every four years for Global Entry, NEXUS or TSA PreCheck®
- When things go wrong: Count on Trip Cancellation/Interruption Insurance, Auto Rental Collision Damage Waiver, Lost Luggage Insurance and more.
- Redemption: Points are transferable to partner airline and hotel loyalty programs, or trade points at a healthy rate of 1.5 cents each when you redeem them for travel bookings through Chase Travel℠, or for statement credits against purchases in rotating categories through Chase's Pay Yourself Back program (including Airbnb, dining, charitable donations, and other categories).
- Sign-up bonus: 125,000 points if you spend $6,000 in the first three months.
- Member FDIC
- Sign-up bonus: 75,000 bonus points after you spend $5,000 on purchases in the first three months from account opening.
- Other benefits: $50 annual Hotel Credit. Get $50 in statement credits annually for hotel stays booked through Chase Travel℠. On each yearly anniversary of opening your account, you get a 10% points bonus on total purchases made the previous year. Also, get complimentary access to DashPass, which unlocks free delivery and lower service fees for a minimum of one year when you activate by December 31, 2027.
- Redemption: Get 25% more value when you redeem for airfare, hotels, car rentals and cruises through Chase Travel℠. You can transfer Chase points to a partner such as British Airways at a one-to-one ratio, in which one Chase point is equal to one British Airways frequent-flyer point. If you book your trip through the Chase travel portal, your points are worth 1.25 miles on British Airway's frequent flier program. This 25% boost doesn't expire, but is built into the Ultimate Rewards program.
- Interest rate: 19.74% to 27.99% variable APR for purchases and balance transfers, and 28.99% variable APR on cash advances.
- Annual fee: $95
- Foreign transaction fee: None, so this is an excellent card for international travel.
- Member FDIC
More top credit cards with car rental insurance
Wells Fargo and American Express also scored highly on WalletHub's ratings of credit cards that offer travel insurance.
Third Place — Wells Fargo. The study found that Wells Fargo cards slightly edged out last year's third-place winner, American Express.
Most Wells Fargo credit cards offer rental car insurance, including popular cards like the Wells Fargo Active Cash®, Wells Fargo Autograph® and the BILT Mastercard®.
Coverage is typically for up to 31 days outside of the US and 15 days within. Wells Fargo does not insure cars rented in Israel, Jamaica, the Republic of Ireland or Northern Ireland. Maximum coverage is up to $50,000.
- Sign-up bonus: $200 back if you spend $500 in the first three months.
- Rewards rate: 2% cash rewards on purchases.
- Redemption: Statement credit, cash at the ATM with a Wells Fargo debit or ATM card (in $20 increments), gift cards ($25 increments), or a credit to a qualifying Wells Fargo credit card, checking account or mortgage.
- Other benefits: Up to $600 per claim of protection for your cell phone against damage or theft if you pay your monthly wireless bill with the card.
- Interest rate: 0% intro APR for 12 months from account opening on purchases and qualifying balance transfers, then 18.99%, 23.99% or 28.99% variable APR.
- Foreign transaction fee: 3%, so skip this card if you're planning significant travel outside the U.S.
- Annual fee: None.
Fourth Place — American Express. In addition to excellent coverage, American Express offers Premium Car Rental Protection** for a small fee per rental period, not per day. Unlike many other plans, this benefit extends to SUVs and luxury cars.
There's a fabulous business card sign-up deal if you're in the market for American Express cards. Read more in our article, $2,000 to $4,000 Amex Card Intro Offer.
For a personal Amex card, check out our article on three Delta and American Express co-branded cards: Earn Delta SkyMiles up to $1,140. Consider the Platinum Card from American Express.
How to use your credit card for rental car insurance
Using your credit card's travel benefits, rather than the rental company's insurance, is simple. Once you have obtained or decided to use a card with solid rental car insurance, use that card to reserve a rental car. Then, decline the theft and damage insurance offered by the rental company, and be sure to pay for the car rental with the same credit card.
Hot tip: Don't wait until you get to the car rental counter to set up insurance based on your credit card, especially for international rentals. You might be told that some insurance is required by national law (hello, Italy) and that the car can't be rented without some form of domestic insurance. Clear up any of these issues ahead of time.
Does your car insurance policy cover rentals?
If you live in the U.S. and own a car for personal use, you likely don't need additional insurance when you rent a car in the U.S., because your own auto insurance policy will cover your rental car.
But some U.S. states, such as Florida and New Hampshire, only require more limited coverage for auto insurance. If your personal auto policy lacks collision and comprehensive insurance, your rental car could be underinsured in an accident or mishap.
When it makes sense to get a travel card to cover rental car insurance
Even if you have a personal auto insurance policy, it makes sense to get one of the best travel credit cards to cover a rental car in the following instances:
- Lower value. The car or cars you've insured are worth much less than the car you intend to rent. Since most rental cars are fairly new, this is a common scenario.
- International driving. You plan to rent a car outside the U.S. or Canada.
- Business travel. You plan to rent a car in the U.S. or abroad while traveling for business. The auto insurance on your personal vehicle does not extend coverage to a car rented for business travel.
- Weak personal auto insurance. Your personal auto insurance policy offers much less protection than a good travel credit card.
- Keep your premium low. You want to avoid your personal car's auto insurance premium rising in the event of an at-fault accident, an option if your credit card offers primary insurance.
Whatever you do, you should call your credit card company and auto insurer before you rent a car, as your policy may have changed. Make sure you understand the different types of auto insurance.
Here's a summary of what personal auto insurance and the highest-rated travel credit cards may cover when you rent a car:
| Row 0 - Cell 0 | Row 0 - Cell 1 | Row 0 - Cell 2 |
| Row 1 - Cell 0 | Row 1 - Cell 1 | Row 1 - Cell 2 |
| Row 2 - Cell 0 | Row 2 - Cell 1 | Row 2 - Cell 2 |
Rental Car Insurance Scenarios | Personal Auto Insurance | The Best Travel Credit Cards |
|---|---|---|
Travel in the U.S. | Yes | Yes |
International Travel | No (except Canada) | Yes (though most cards exclude Italy, Ireland, Northern Ireland, Australia, Israel, Jamaica and New Zealand) |
Business Travel* | No | Yes, with some exceptions |
Luxury car rental | You might need additional insurance | Yes |
Exotic cars, off-road, trucks | No | No |
*Government employees, such as military and postal workers, might have auto insurance coverage as an employment benefit. If you work for a private employer, check if you are covered under a company policy.
Avoid rental car fees
Don't just save money by using the right credit card for rental car insurance, watch out for rental car fees that could undo all your savings. For example, price out the cost of taking an Uber, Lyft, Turo or public transportation to the airport and return your car in town to avoid airport-return fees.
You can also avoid high refueling fees by dropping the car off with a full tank of gas. Avoid daily toll transponder fees by bringing your own transponder on your trip. These are just some of the rental car fees to avoid.
**Eligibility and Benefit level varies by Card. Terms, Conditions, and Limitations Apply. Please visit americanexpress.com/benefitsguide for more details. Underwritten by Amex Assurance Company.
Related Content
- The 10 Safest Countries to Visit in the World
- 8 Ways Seniors Can Save on Car Insurance
- Car Insurance Costs Skyrocket: Here's How to Save
- Best Places to Visit Where the Dollar is Strong
As an independent publication dedicated to helping you make the most of your money, the article above is our view of the best deals and is not the opinion of any entity mentioned such as a card issuer, hotel, airline etc. Similarly, the content has not been reviewed or endorsed by any of those entities.
-
I'm want to give my 3 grandkids $5K each for Christmas.You're comfortably retired and want to give your grandkids a big Christmas check, but their parents are worried they might spend it all. We ask the pros for help.
-
If You're Not Doing Roth Conversions, You Need to Read ThisRoth conversions and other Roth strategies can be complex, but don't dismiss these tax planning tools outright. They could really work for you and your heirs.
-
Could Traditional Retirement Expectations Be Killing Us?A retirement psychologist makes the case: A fulfilling retirement begins with a blueprint for living, rather than simply the accumulation of a large nest egg.
-
My Teen Crashed His Car and Now Our Insurance Has Tripled. What Now?Dealing with the costly aftermath of a teen car accident is stressful. Here are your options for navigating it.
-
My First $1 Million: Retired In-House Corporate Lawyer, 74, MidwestEver wonder how someone who's made a million dollars or more did it? Kiplinger's My First $1 Million series uncovers the answers.
-
I'm an Insurance Pro: Going Without Life Insurance Is Like Driving Without a Seat Belt Because You Don't Plan to CrashLife insurance is that boring-but-crucial thing you really need to get now so that your family doesn't have to launch a GoFundMe when you're gone.
-
The Top 22 Gifts for Grandkids from Walmart in 2025From PlayStation to Labubu, you'll find the hottest gifts of 2025 for your grandkids at Walmart this year. Some of them are up to 78% off.
-
CD vs. Money Market: Where to Put Your Year-End Bonus NowFalling interest rates have savers wondering where to park cash. Here's how much $10,000 earns in today's best CDs versus leading money market accounts.
-
Meet the World's Unluckiest — Not to Mention Entitled — Porch PirateThis teen swiped a booby-trapped package that showered him with glitter, and then he hurt his wrist while fleeing. This is why no lawyer will represent him.
-
Smart Business: How Community Engagement Can Help Fuel GrowthAs a financial professional, you can strengthen your brand while making a difference in your community. See how these pros turned community spirit into growth.
-
Smart Money Moves Savers Should Make in 2026These steps will get you on the road to achieving your 2026 savings goals.
