Here are some things you should know about your credit card's car rental collision coverage.
- All four major credit card networks require cardholders to charge their entire rental car purchase on their credit card and decline supplemental insurance/Collision Damage Waivers (CDW) offered by the rental company in order to be eligible.
- None of the four major networks provides coverage for the rental of: 1) exotic, expensive, or antique cars; 2) trucks; 3) vehicles with open beds; or 4) off-oad vehicles.
- VISA is the only network that does not cover accidents occurring on dirt and gravel roads. MasterCard only covers accidents on dirt and gravel roads if they are “regularly maintained.”
- All card networks exclude rentals that exceed specified time limits, and a lot of cards come with country limitations as well.
- American Express is the only network not to provide coverage for renting certain popular SUVs – including the Suburban and Tahoe from Chevrolet, GMC Yukon, Ford Expedition, Lincoln Navigator, Toyota Land Cruiser, Lexus LX450, Range Rover, and full-sized Ford Bronco.
Here are some recommendations for consumers weighing car rental insurance:
If you have any questions about this please contact Suzanne Brown at Suzanne@SuzanneBrownAgency.com or call 281-558-2210 so we can help you.
- Contact your insurance agent or carrier and find out if rentals are covered under your standard policy. Older policies may not offer this coverage.
- Ask your credit card issuer what limitations apply to the car rental coverage they provide.
- Long-term rentals might not be covered by your existing auto insurance, as time limitations may be imposed by your policy.
- Even if your personal auto policy covers rentals, it might not apply for rentals used for business travel.
- Rent a car of similar value to your own car to increase the likelihood that your existing coverage is adequate for the rental car.
- If your existing policy does not offer coverage for a particular type of rental car, ask about adding an insurance rider for a small fee.
- If you are not a car owner but drive from time to time, consider purchasing a non-owner auto insurance policy.