Credit Card Rental Car Insurance (split from airport screamer thread)

["Roger"]

Be careful before you sign up for one of these expensive cards to make sure that they include access to lounges that you will actually use. The Amex card, for example, gives you access to Delta lounges and a few generic lounges found at scattered airports. I'm not sure, but I think the CitiBank card is primarily tied to one airline also. Good deal if you fly the right airline, but otherwise not.

With regard to another discussion on TUG, the AmEx preferred card gives you primary insurance on car rentals.

 

[Luanne]

In regards to another discussion on TUG, the AmEx preferred card gives you primary insurance on car rentals.

Other less expensive cards also provide this. The Capital One card I have has no fee and provides coverage on rental cars.

 

[PigsDad]

Other less expensive cards also provide this. The Capital One card I have has no fee and provides coverage on rental cars.

Just a clarification: Roger said primary rental insurance, which kicks in instead of your personal insurance, not in addition to. The Capital One card does not provide that.

Kurt

 

[DeniseM]

We signed up for the AMEX primary insurance program. No sign up fees, or membership fees.

When we use our AMEX card for a car rental, it automatically kicks in, and we are automatically charged $17.95 for primary coverage for the duration of the rental. Good for up to 42 days per rental:

https://www295.americanexpress.com/...+metroCode=862,+timeZone=America/Los_Angeles]

 

[Luanne]

Just a clarification: Roger said primary rental insurance, which kicks in instead of your personal insurance, not in addition to. The Capital One card does not provide that.

Kurt

Well, we'll see. We currently have a claim in with Capital One right now. It is the only claim we filed on a small accident we had with a recent rental. Sounds like this would be primary coverage.

 

[rickandcindy23]

We signed up for the AMEX primary insurance program. No sign up fees, or membership fees.

When we use our AMEX card for a car rental, it automatically kicks in, and we are automatically charged $17.95 for primary coverage for the duration of the rental. Good for up to 42 days per rental:

https://www295.americanexpress.com/...+metroCode=862,+timeZone=America/Los_Angeles]

So we pay $24.95 for the coverage, but CA residents pay $17.95 for the same thing, according to the link. Didn't you move out of CA? :rofl:Now you have to pay what we pay.

 

["Roger"]

Well, we'll see. We currently have a claim in with Capital One right now. It is the only claim we filed on a small accident we had with a recent rental. Sounds like this would be primary coverage.

I didn't check their premium cards, but their Web site clearly states that their other cards provide secondary coverage .

 

[Luanne]

I didn't check their premium cards, but their Web site clearly states that their other cards provide secondary coverage .

This is what I had found under the Benefits section of my Visa Signature Capital One card. It doesn't say primary or secondary coverage.
-----

Auto Rental Insurance

Go ahead. Drive your rental car with confidence. With Auto Rental Collision Damage Waiver* you may be covered for up to the cash value of the vehicle for damage due to collision or theft when you rent a car with your eligible Capital One Visa credit card. Call 1-800-397-9010 to submit a claim.

Here’s how it works:
1.Pay for the entire transaction with your Capital One card.
2.Decline the rental insurance.
3.Within 45 days, notify Visa of the incident.
*Certain terms, conditions and exclusions apply. Check your guide to benefits for further details.

 

[csxjohn]

Other less expensive cards also provide this. The Capital One card I have has no fee and provides coverage on rental cars.

Does it provide primary coverage or secondary coverage? Big difference it it's not primary coverage as the AMEX card is.

Also the free AMEX cards can provide this with a per rental fee of $20 or $25 when you sign up for the service.

 

[Luanne]

Does it provide primary coverage or secondary coverage? Big difference it it's not primary coverage as the AMEX card is.

Also the free AMEX cards can provide this with a per rental fee of $20 or $25 when you sign up for the service.

Maybe I need someone to explain to me what the difference is between primary and secondary coverage.

As I said, we had a small accident with our last rental. We paid for the repair and submitted the claim to Capital One. Since we did NOT submit this to our insurance company as well, nor were we told to do so by Capital One, to me this would be primary insurance.

I'm not arguing whether this is the same benefit you're paying for with the AMEX card. I'm just saying I'm getting an insurance benefit that I'm paying nothing for with my Capital One card. Of course we're still waiting to see if/what they pay out to us.

 

[csxjohn]

Maybe I need someone to explain to me what the difference is between primary and secondary coverage.

As I said, we had a small accident with our last rental. We paid for the repair and submitted the claim to Capital One. Since we did NOT submit this to our insurance company as well, nor were we told to do so by Capital One, to me this would be primary insurance.

I'm not arguing whether this is the same benefit you're paying for with the AMEX card. I'm just saying I'm getting an insurance benefit that I'm paying nothing for with my Capital One card. Of course we're still waiting to see if/what they pay out to us.

I'm not trying to argue either, just trying to find the facts. I have coverage with my Discover card but it is secondary, will pay what my insurance doesn't cover My AMEX policy is primary, I make to claim to my insurance co. and pay no deductible.

If a "no fee" card provides this same benefit, I'll be getting that card.

 

[Luanne]

I'm not trying to argue either, just trying to find the facts. I have coverage with my Discover card but it is secondary, will pay what my insurance doesn't cover My AMEX policy is primary, I make to claim to my insurance co. and pay no deductible.

If a "no fee" card provides this same benefit, I'll be getting that card.

We opted not to involved our primary car insurance for this. Since it didn't appear we were required to do so when filing the claim with Capital One, we didn't. If Capital One denies payment we'll just be paying out of pocket.

 

["Roger"]

Like John, I have been reluctant to reenter this discussion in that my interest is not to argue. Let me just say that until recently I accepted my insurance agent's advise to never buy the rental car insurance when renting a car in that I am already covered by my own car insurance. That is still good advice in that rental car companies charge outrageous fees for their insurance. Recently, however, several events came together in a perfect storm that made me look into having my credit card become my primary insurance when renting a car. In the end, like several poster's in this thread, I chose to sign up for a program available to all AmEx card holders (not tied to their platinum card) that makes their card the primary insurer at a cost of $20 per car rental.

As far as the (secondary) rental card insurance offered with most credit cards, this is a description of what is actually covered (taken from a Capital One Signature card terms of service, but typical of all secondary card insurance):

If you do have personal automobile insurance or other insurance covering this theft or damage, the Auto Rental CDW benefit reimburses you for the deductible portion of your personal automobile insurance and any unreimbursed portion of valid administrative and loss-of-use charges imposed by the auto rental company, as well as reasonable towing charges resulting from covered theft or damage of the rental vehicle while it is your responsibility.

In other words, you will have to arrange to have your personal auto insurance cover the costs for any theft or damage (can be more or less burdensome) and they will cover the deductible. You will then, in all likelihood, be rewarded with an increase in your insurance premiums for having made a claim.

 

[rickandcindy23]

My stepdad backed his rental car, a Toyota RAV4, into a pole in Atlanta (he is 81).

He rarely rents cars and I told him not to pay for the extra insurance because I wouldn't think he would ram a pole, for heaven's sake. He went to my stepsister's deathbed (his oldest daughter who is my age). He had to get to the hospital quickly, so he was probably more upset and flustered than he would be otherwise. This incident added to his stress. He stayed for her funeral, and when he went to return the car, he hit the pole in the airport lot for Alamo. They were so understanding, and he was crying and visibly upset over Colleen's death....so sad to lose a daughter at the age of 58.

Anyway, he said the damage was $450, and so he called Wells Fargo, his credit card company, and they paid the entire amount. His own insurance didn't come into play at all, and he was very grateful because he is on a very fixed income.

 

[Luanne]

Anyway, he said the damage was $450, and so he called Wells Fargo, his credit card company, and they paid the entire amount. His own insurance didn't come into play at all, and he was very grateful because he is on a very fixed income.

This is what we are doing with Capital One. Accident was reported to them, NOT to our insurance. According to the Capital One website, we didn't have to report it to our insurance.

 

[easyrider]

Maybe I need someone to explain to me what the difference is between primary and secondary coverage.

As I said, we had a small accident with our last rental. We paid for the repair and submitted the claim to Capital One. Since we did NOT submit this to our insurance company as well, nor were we told to do so by Capital One, to me this would be primary insurance.

I'm not arguing whether this is the same benefit you're paying for with the AMEX card. I'm just saying I'm getting an insurance benefit that I'm paying nothing for with my Capital One card. Of course we're still waiting to see if/what they pay out to us.

Primary auto rental insurance covers the car without using your regular auto policy for damage to the rental car. There is no liability insurance benefit regarding the credit card insurance weather it is primary or secondary .

Secondary auto rental insurance covers the car after your insurance pays the primary, which means secondary auto rental insurance regarding damage to the rental car is almost worthless.

In foreign countries where your personal auto insurance can not be applied the secondary auto rental credit card insurance becomes primary. An example is Mexico where your personal auto insurance will not cover the rental car but the credit card will.

Some credit cards will not cover loss of use by the rental car company.

It is a good idea to look at the terms and conditions and call the credit card company to understand the auto rental coverages. Amex is the best and is primary if you enroll into the Amex auto rental insurance program. There are also a few other benefits when using Amex for car rentals.

I was looking at the Citi Bank car rental insurance page the other day because of the Costco dealio and couldn't see what it covered. I guess my Costco Amex is turning into a Citi Bank card eventually.

We dumped Capitol One about 8 years ago. The coverage for rental cars is secondary.

How does this coverage work with other insurance?
Within your country of residence, this benefit supplements, and applies
excess of, any valid and collectible insurance or reimbursement from
any source. This means that, subject to the terms and conditions of this
benefit, Auto Rental CDW applies to eligible theft or damage or expenses
that are not covered by insurance or reimbursement.

If you do not have personal automobile insurance or any other insurance
covering this theft or damage, this benefit reimburses you for the covered
theft or damage as well as valid administrative and loss-of-use charges
imposed by the auto rental company and reasonable towing charges that
occur while you are responsible for the rental vehicle.

If you do have personal automobile insurance or other insurance
covering this theft or damage, the Auto Rental CDW benefit reimburses
you for the deductible portion of your personal automobile insurance and
any unreimbursed portion of valid administrative and loss-of-use charges
imposed by the auto rental company, as well as reasonable towing
charges resulting from covered theft or damage of the rental vehicle while
it is your responsibility.

Bill

 

[Luanne]

Primary auto rental insurance covers the car without using your regular auto policy for damage to the rental car. There is no liability insurance benefit regarding the credit card insurance weather it is primary or secondary .

Secondary auto rental insurance covers the car after your insurance pays the primary, which means secondary auto rental insurance regarding damage to the rental car is almost worthless.

In foreign countries where your personal auto insurance can not be applied the secondary auto rental credit card insurance becomes primary. An example is Mexico where your personal auto insurance will not cover the rental car but the credit card will.

Some credit cards will not cover loss of use by the rental car company.

It is a good idea to look at the terms and conditions and call the credit card company to understand the auto rental coverages. Amex is the best and is primary if you enroll into the Amex auto rental insurance program. There are also a few other benefits when using Amex for car rentals.

I was looking at the Citi Bank car rental insurance page the other day because of the Costco dealio and couldn't see what it covered. I guess my Costco Amex is turning into a Citi Bank card eventually.

We dumped Capitol One about 8 years ago. The coverage for rental cars is secondary.



Bill

From the Capital One website:

Auto Rental Collision Damage Waiver – Receive coverage, at no additional cost, for damage due to collision or theft. Just charge your entire rental transaction to your eligible Visa Signature card and decline the rental company’s collision damage waiver.
-----
This does not state that the coverage kicks in only after my primary auto insurance has paid.

 

[bogey21]

When we use our AMEX card for a car rental, it automatically kicks in, and we are automatically charged $17.95 for primary coverage for the duration of the rental. Good for up to 42 days per rental...

Back when I was traveling a lot I always used the AMEX card insurance as described by Denise. Reason is that it was primary and the price was right as most of my rentals were for a week or more. Fortunately I never had to make a claim but I felt well covered with it.

George

 

[philemer]

Here is an awesome thread on Primary Auto Ins: http://www.flyertalk.com/forum/cred...best-cc-primary-rental-car-cdw-insurance.html I moderate the thread so contact me if you see any errors. Almost all cards that offer primary coverage, w/o an extra fee, are issued by Chase.

@Luanne: Here is some info about your auto ins. benefits:
Within your country of residence, this benefit supplements, and applies excess of, any valid and collectible insurance or reimbursement from any source. This means that, subject to the terms and conditions of this benefit, Auto Rental CDW applies to eligible theft or damage or expenses that are not covered by insurance or reimbursement. It's secondary coverage. Just needed to read a little further.

See: https://www.capitalone.com/media/do...ww.capitalone.com/credit-cards/benefits-guide

 

[Luanne]

Here is an awesome thread on Primary Auto Ins: http://www.flyertalk.com/forum/cred...best-cc-primary-rental-car-cdw-insurance.html I moderate the thread so contact me if you see any errors. Almost all cards that offer primary coverage, w/o an extra fee, are issued by Chase.

@Luanne: Here is some info about your auto ins. benefits:
Within your country of residence, this benefit supplements, and applies excess of, any valid and collectible insurance or reimbursement from any source. This means that, subject to the terms and conditions of this benefit, Auto Rental CDW applies to eligible theft or damage or expenses that are not covered by insurance or reimbursement. It's secondary coverage. Just needed to read a little further.

See: https://www.capitalone.com/media/do...ww.capitalone.com/credit-cards/benefits-guide

Since we have a claim pending, we'll see what happens.

 

[philemer]

Since we have a claim pending, we'll see what happens.

Please let us know. Personally, we use a Chase United Airlines MP Explorer card for primary auto coverage. You also get 30K UA miles the first year + two United Club passes. See offer at www.united.com/

 

[BocaBoy]

If the damage is less than your own insurance deductible, the credit card insurance would cover you regardless of whether it is primary or secondary. Very few cards have primary insurance. We have used the United Mileage Plus Explorer Card from Chase, which has primary coverage included (no per rental extra charge). Most Chase cards do NOT have primary coverage.

 

[philemer]

If the damage is less than your own insurance deductible, the credit card insurance would cover you regardless of whether it is primary or secondary. Very few cards have primary insurance. We have used the United Mileage Plus Explorer Card from Chase, which has primary coverage included (no per rental extra charge). Most Chase cards do NOT have primary coverage.

The short list is here, in the WIKI: http://www.flyertalk.com/forum/cred...best-cc-primary-rental-car-cdw-insurance.html

 

[dioxide45]

If the damage is less than your own insurance deductible, the credit card insurance would cover you regardless of whether it is primary or secondary. Very few cards have primary insurance. We have used the United Mileage Plus Explorer Card from Chase, which has primary coverage included (no per rental extra charge). Most Chase cards do NOT have primary coverage.

That was my thought as well. The credit card company may also ask for a declaration page of your auto insurance to see what your deductible is and then pay out in full without needing to file a claim against your own insurance if the damage is less than the deductible. I would suspect with damage of less than $500, they wouldn't even bother asking to see your insurance declaration.

If the amount of the damage is not much higher than your deductible they may just pay the car rental agency the amount of your deductible, leaving you to either pay the difference or file a claim with your insurance company.

I also think the comment was that most cards that offer primary CDW are offered by Chase. Not that most Chase cards offer primary CDW. We also always use the United MileagePlus Explorer card for car rentals.

 

[Luanne]

That was my thought as well. The credit card company may also ask for a declaration page of your auto insurance to see what your deductible is and then pay out in full without needing to file a claim against your own insurance if the damage is less than the deductible. I would suspect with damage of less than $500, they wouldn't even bother asking to see your insurance declaration.

If the amount of the damage is not much higher than your deductible they may just pay the car rental agency the amount of your deductible, leaving you to either pay the difference or file a claim with your insurance company.

I also think the comment was that most cards that offer primary CDW are offered by Chase. Not that most Chase cards offer primary CDW. We also always use the United MileagePlus Explorer card for car rentals.

At this point we have not been asked for a declaration page from our auto insurance company. Total amount of damage, which has been paid, was around $800.

Since this is only the second time we've ever had any kind of incident with a rental car we really hadn't thought about how we'd handle an accident. I only came across the benefit from Capital One when I was looking for something else. We'd already decided not to involve our own insurance company with this claim. So I guess this is more of an experiment to see exactly what, if anything, Capital One will pay out on this claim.