Do you know the benefits of your credit cards?
Credit cards like Mastercard Black and Visa Signature cards, and some Platinum or Infinite cards, often offer comprehensive collision, theft, and other damage coverage for rental vehicles. To secure this coverage, it's critical to pay the full cost of the rental with your eligible card and decline damage waivers.(CDW or deductible) offered by the rental company. However, coverage varies, and it is crucial to review your card’s specific terms and conditions.
Common card types and brands:
- Mastercard:
Mastercard Black cards typically include “MasterSeguro de Autos,” which covers collision, theft, fire, vandalism, and weather-related damage, up to a limit of $75,000.
- Visa:
Visa Signature and Visa Infinite cards also often offer rental car insurance. It provides coverage against collision damage, theft, and vandalism with no deductible and no coverage limit, as long as the rental was paid in full with the card and you are the registered driver. In other cases, coverage may also be secondary.
- American Express:
Some American Express cards, such as the Platinum Card, offer rental car insurance, but these benefits may be secondary. The Platinum Card and The Gold Card cover collision, theft, and fire damage up to a specific limit (for example, $75,000 for the Platinum Card).
To activate coverage, the rental must be paid with the eligible card, rental agency coverage (CDW/LDW) must be declined, and the cardholders and authorized drivers must be listed on the contract.
- Chase Sapphire Reserve:
Provides primary coverage against theft or collision damage up to $75,000.
How coverage works:
- Pay the full rent:
You must pay the full cost of the vehicle rental with an eligible credit card.
- Reject agency insurance:
When picking up the vehicle, you must decline collision damage waivers (CDW or deductible) or loss and damage waivers (LDW) that the rental company offers you.
- Check your card policy:
Coverage details vary by card. Always check the terms and conditions for coverage limits, types of vehicles covered, and exclusions.
Important to keep in mind:
- Primary or secondary coverage:
Primary or secondary coverage: Some cards offer primary coverage (directly covering damages), while others offer secondary coverage (covering what the rental agency's insurance doesn't cover, or the deductible).
- Exclusions:
There are vehicles and situations not covered by insurance.
- Duration:
Coverage is usually limited in number of days (for example, up to 30 or 60 consecutive days).
- Contact your bank:
If you're unsure of your card's coverage, call the number on the back of your card to obtain the full policy and confirm your coverage before you travel.
