Credit Cards and Rental Car Insurance. Are You Covered?

Will your credit card company pay for claims made in a rental car accident? Perhaps.

It will depend on several factors that start with the credit card itself. Most credit cards offer free collision and theft coverage on rental cars. Visa offers it for all card holders while American Express, MasterCard and Discover offer it to holders of their cards with better credit.

If you already have coverage, in theory, these credit cards will cover expenses that your coverage will not take care of. This can include your deductible amount and towing.

To qualify for the coverage your credit card offers you must decline the insurance offered by the rental car company, use the credit card to cover the complete costs of the rental period, and the cardholder must be the primary driver listed on the rental agreement.

You should also be aware there are other exclusions involving the type of car that is rented, in what country the vehicle is rented and the length of time of the rental period.

It can be helpful to visit your credit card company website or give them a call for details. Their coverage can bridge some gaps in your primary coverage and help you to avoid expensive supplemental rental car company insurance.

Mike Leonard Insurance Agency is an independent agency that may be able to get you improved coverage at a better price. Request a free, no obligation quote today!