Credit Cards That Cover Rental Car Insurance
Need a car when you travel? Here are the best credit cards that offer rental car insurance.
Ellen B. Kennedy
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.
A 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.
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Comparing credit card issuers
Many financial institutions 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 |
|---|---|
90% | Other Chase Consumer Visa Cards |
88% | Capital One Venture X |
87.5% | Chase Sapphire ReserveⓇ |
87.5% | All Wells Fargo Consumer Cards |
87.5% | U.S. Bank Shield VisaⓇ Card |
87.5% | All Navy Federal Credit Union Visa Cards |
86% | All American Express Consumer Cards |
86% | Capital One Mastercard 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 Credit Card |
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
Two of the top credit card offers with car rental coverage come from Chase, according to WalletHub's analysis.
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.
- 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).
- Member FDIC
- 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: 19.24% to 27.49% 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 also scored highly on WalletHub's ratings of credit cards that offer travel insurance.
Most Wells Fargo credit cards offer rental car insurance, including popular cards like the Wells Fargo Active Cash® and Wells Fargo Autograph®.
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.
- 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: 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.
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:
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.
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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.
