Author Topic: car rentals- using a credit card to cover insurance?  (Read 1227 times)

dandypandys

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car rentals- using a credit card to cover insurance?
« on: May 12, 2019, 06:28:30 AM »
Hi there! Pandy and I have an international trip planned where we will rent a car and drive around the coast, tent camping along the way. So looking forward to it!
We are wondering about car hire.. normally it is the insurance that shafts, not the actual car hire. The one time we didn't get the full thing, the darn tires got knicks, and we had to pay out, yuck!
We have just started research into credit cards that can cover the insurance for us. Any advice?
We were looking at the Chase Sapphire Preferred- which I don't have yet. Seems to cover Primary, but not sure about tires and scratches and windscreens, etc. Also not sure if we need the Sapphire Reserve instead to get this coverage.
I noticed that the Quicksilver capital one card, that I already have, might cover some too.
I just am no expert at what all the insurance stuff means and am worried about the fine print.
Would be great to hear from people who actually do this and trust the process.

dandypandys

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Re: car rentals- using a credit card to cover insurance?
« Reply #1 on: May 13, 2019, 02:09:11 PM »
so no one reading has any thoughts on credit cards covering the car rental insurance abroad?
Probably just go the normal way then, so pricey, but I would rather have peace of mind than get done for tires etc again.

Enigma

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Re: car rentals- using a credit card to cover insurance?
« Reply #2 on: May 13, 2019, 02:46:46 PM »
I use the insurance on my Capital One Venture Signature card.  I believe it is pretty good and will look it up in a minute.  The whole point to the card is to be used as a travel card and it has 0 foreign transaction fees.

mjb

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Re: car rentals- using a credit card to cover insurance?
« Reply #3 on: May 13, 2019, 02:51:11 PM »
I've used the car rental insurance a couple of times with my Chase Sapphire Preferred, Sapphire Reserve, and Capitol One Venture. Just read up the correct way to use the benefit (i.e. make sure you turn down the rental agency's insurance and you use the same card for the entire reservation) and you should be fine.

Enigma

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Re: car rentals- using a credit card to cover insurance?
« Reply #4 on: May 13, 2019, 02:52:18 PM »
Cap1 Venture Signature VISA

-No Foreign Transaction Fees
You won’t pay a transaction fee when making a purchase outside of the United States. Learn more about foreign transaction fees
-Travel Accident Insurance
Get automatic insurance for a covered loss at no extra charge when you purchase the entire fare with your credit card.
-Auto Rental Collision Damage Waiver
Rent an eligible vehicle with your credit card and you can be covered for damage due to collision or theft.

Also look over the whole car as carefully as you can before you rent it.  One big mistake is driving it off the lot without knowing the blemishes from 100 other individuals whom have rented it.

dandypandys

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Re: car rentals- using a credit card to cover insurance?
« Reply #5 on: May 13, 2019, 04:43:02 PM »
thank you for looking that up Enigma.
We have a capital one Quicksilver card, it says

"The Capital One Quicksilver rental car insurance policy provides coverage in case of collision and theft. All you need to do is pay for your rental with your Capital One credit card and reject the optional collision damage waiver offered by the rental company"

Wondering how to get the excess covered- tires and windscreens etc. Do you use another insurance company for that? I've read on Tripadvisor about people doing that instead of insuring via the car hire place.

jpdx

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Re: car rentals- using a credit card to cover insurance?
« Reply #6 on: May 15, 2019, 01:34:18 AM »
I recently filed a claim with my Chase Business Ink card for a scratch on my rental car. The process requires lots of documentation and lots of waiting! Fingers crossed.

Parizade

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Re: car rentals- using a credit card to cover insurance?
« Reply #7 on: May 15, 2019, 05:14:32 AM »
Just FYI, I rented a car in Hawaii last December and the agent told me that my credit card insurance wasn't valid in Hawaii. I'm pretty sure that was a lie but at that point it was nearly midnight and I had been traveling all day so I didn't bother to argue. In the future I will do some digging before I travel so I don't end up in the same situation.

I too use Capital Venture 1 and have been very happy overall, though I've never had to use the insurance.

Enigma

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Re: car rentals- using a credit card to cover insurance?
« Reply #8 on: May 15, 2019, 01:28:00 PM »
Just FYI, I rented a car in Hawaii last December and the agent told me that my credit card insurance wasn't valid in Hawaii. I'm pretty sure that was a lie but at that point it was nearly midnight and I had been traveling all day so I didn't bother to argue. In the future I will do some digging before I travel so I don't end up in the same situation.
I too use Capital Venture 1 and have been very happy overall, though I've never had to use the insurance.
https://www.capitalone.com/credit-cards/benefits-guide/
I feel like they lied to you. I got down to the grit of my card:

AUTO RENTAL COLLISION DAMAGE WAIVER
Where am I covered?
This benefit is available in the United States and most foreign countries.
However, no benefit is provided for motor vehicles rented in Israel,
Jamaica, the Republic of Ireland, or Northern Ireland. Additionally,
this benefit is not available where precluded by law or in violation of the
territory terms of the auto rental agreement or prohibited by individual
merchants. Because regulations vary outside the United States, it
is recommended you check with your auto rental company and the
Benefit Administrator before you travel to make sure Auto Rental CDW
will apply.

This benefit is in effect while the rental vehicle remains in your control
or in the control of an authorized driver permitted to operate the rental
vehicle in accordance with the rental agreement between you and the
auto rental company. This benefit terminates when the auto rental
company re-assumes control of the rental vehicle.

Parizade

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Re: car rentals- using a credit card to cover insurance?
« Reply #9 on: May 15, 2019, 01:42:21 PM »
Just FYI, I rented a car in Hawaii last December and the agent told me that my credit card insurance wasn't valid in Hawaii. I'm pretty sure that was a lie but at that point it was nearly midnight and I had been traveling all day so I didn't bother to argue. In the future I will do some digging before I travel so I don't end up in the same situation.
I too use Capital Venture 1 and have been very happy overall, though I've never had to use the insurance.
https://www.capitalone.com/credit-cards/benefits-guide/
I feel like they lied to you. I got down to the grit of my card:

AUTO RENTAL COLLISION DAMAGE WAIVER
Where am I covered?
This benefit is available in the United States and most foreign countries.
However, no benefit is provided for motor vehicles rented in Israel,
Jamaica, the Republic of Ireland, or Northern Ireland. Additionally,
this benefit is not available where precluded by law or in violation of the
territory terms of the auto rental agreement or prohibited by individual
merchants. Because regulations vary outside the United States, it
is recommended you check with your auto rental company and the
Benefit Administrator before you travel to make sure Auto Rental CDW
will apply.

This benefit is in effect while the rental vehicle remains in your control
or in the control of an authorized driver permitted to operate the rental
vehicle in accordance with the rental agreement between you and the
auto rental company. This benefit terminates when the auto rental
company re-assumes control of the rental vehicle.

Yes, I thought as much. I just looked up this article on renting a car in Hawaii and it certainly looks like I would have been fine without the additional insurance. I was dead on my feet at the time, however, and sometimes the battle is just not worth it.
https://lyslaw.com/2015/03/24/do-i-need-rental-car-insurance-in-hawaii/

dandypandys

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Re: car rentals- using a credit card to cover insurance?
« Reply #10 on: May 20, 2019, 08:37:49 AM »
thanks for all the posts! We decided to just go with the rental place's insurance- I just want peace of mind. Maybe I will figure out the credit card idea for another trip, but sometimes research like this is more hassle than it is worth- I've def got more fun things to do, and there is a cost/value to how much research i am willing to do. (just listened to Ramit on mad fientist so thinking about that idea)

Boofinator

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Re: car rentals- using a credit card to cover insurance?
« Reply #11 on: May 20, 2019, 09:13:03 AM »
Here's my anecdotal story about using my credit card insurance for my rental car (sorry for the long story, hope it helps in some small way):

My family was finishing up a trip to Texas for my brother's wedding when I was on the interstate heading to the airport to fly home. When I had picked up the car a week earlier, I was kind of pissed because they were out of compact cars, and had 'upgraded' me to a tank of a Jeep SUV. Anyways, about five minutes from the airport and the conclusion of my trip, a truck a few vehicles in front of me in the left lane dumped a load of tree branches onto the interstate, causing a chain reaction of hard braking. Plenty of time for everyone to stop, but the girl behind me in the compact car was texting her boyfriend and slammed into the rear of my vehicle at full speed.

When I pulled over and stepped out to inspect the wreckage, I first see that her car was completely and utterly totaled. I then looked over to my Jeep, which had a scratch and a loose exhaust pipe. Thankfully everyone was physically ok.

The police showed up, and it appeared the police officer was the girl's buddy, as she didn't get ticketed, but the guy who dumped the trees did. The girl even hugged the cop after it was all done.

I finished my drive to car rental agency, pointed out the minimal damage, and asked what to do next. They said I would be contacted, but the party-at-fault's insurance would likely cover it. I then called my credit card company, and they too informed me that the party-at-fault's insurance would likely cover it, but I could fill out the paperwork if desired.

I declined filling out the paperwork, which turned out to be a mistake. Over two months later, the car rental company calls to tell me that the other party had fraudulent insurance, and I was on the hook to cover the damages (~$250). I called the credit card company (Capital One), and they stated the paperwork needed to be filed within two months of the accident, but they would allow for a waiver if I can get a letter from the rental car company (Enterprise) outlining the situation. I called and emailed the rental car agent handling my case, but she thoroughly ignored me and promptly sent me to collections. Two years later, I think the collections agents finally stopped calling me on a daily basis.

TL;DR: Seems like credit card insurance should work, but in the case of an accident be sure to fill out the paperwork even if you don't think you'll need it.

dandypandys

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Re: car rentals- using a credit card to cover insurance?
« Reply #12 on: May 20, 2019, 09:41:06 AM »
thank you- I will log this advice!

ObviouslyNotAGolfer

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Re: car rentals- using a credit card to cover insurance?
« Reply #13 on: May 20, 2019, 11:02:19 PM »
Unless I missed it, you don't say which country you're going to

We rented a car for two weeks in Ireland (after a week in Dublin with no car), and, as an example of a country not covered by most insurance, you should take note: In Ireland, unless you buy all the CDW, etc, they WILL take a very large deposit (thousands of euros) on your card, as, many first-time drivers (especially from the U.S., Canada) cause damage, sometimes significant. It is strongly recommended to just take all the damn insurance (including coverage of glass and tires), as it is very easy for a first-time driver to damage a  car over there due to the narrow roads and driving on the left side. Drive the Ring of Kerry as we did, and you will be confronted by signs "Caution: Oncoming traffic in the middle of the road!" (It's true, but not as bad as it sounds)


« Last Edit: May 20, 2019, 11:04:10 PM by ObviouslyNotAGolfer »

ObviouslyNotAGolfer

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Re: car rentals- using a credit card to cover insurance?
« Reply #14 on: May 20, 2019, 11:39:39 PM »
Three other VERY IMPORTANT things:

1.) In Europe, cars with manual transmissions vastly outnumber those with automatic. Your rental agency may SAY you have reserved an automatic, but then just give you any bullshit they happen to have--manual or automatic. Ruined your plans? Guess how much they care. (I LOATHE car rental agencies!!) This did not happen to us in Ireland, but you have to be vigilant about this. Pester the agency about it. Also, the farther out you are from a major city, the more likely you are to get screwed on this. We reserved an automatic in St. Malo (Brittany), but are prepared with alternate arrangements if they cannot deliver the car. I advise you to ask yourself what would happen if they cannot deliver an automatic (maybe you can drive a manual?)

2.) Also, pay VERY CAREFUL ATTENTION to: 1.) Whether your car is a diesel (far more common in Europe) or gasoline (petrol), and 2.) The COLOR of the nozzles: In the U.S. BLACK is gasoline and GREEN is diesel. However in Ireland, BLACK is diesel and GREEN is petrol!!  Auto insurance/CDW will not pay if you screw this up! If you put the wrong fuel in the car BEFORE starting the engine, the agency can send someone out to drain the fuel tank---Costly, but far better than your fate if you start the engine--a ruined engine will set you back quite a bit, and insurance will not cover this!

3.) Also, speed limits are quite strict in the EU, and speed cameras are all over the place! If you are caught speeding, you will receive a ticket in the mail. Pay it soon, or it will double, then quadruple, then octuple, then the collection agencies, and black unmarked helicopters come after you!
« Last Edit: May 20, 2019, 11:44:52 PM by ObviouslyNotAGolfer »

dandypandys

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Re: car rentals- using a credit card to cover insurance?
« Reply #15 on: May 21, 2019, 05:29:39 AM »
thank you for your info :)
We are heading to the UK actually. Have booked an automatic because it will be nicer on the hills and small roads. We have done this before with a manual, it was too much work. Automatics are more expensive but worth it imo. A few people on tripadvisor rec'd taking out a years insurance with another company, as it is cheaper. That would be interesting to research later.

bostonjim

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Re: car rentals- using a credit card to cover insurance?
« Reply #16 on: May 23, 2019, 11:12:11 AM »
One thing to check is whether your card provides "primary" or "secondary" coverage.  Secondary is basically worthless - it just covers you after your primary auto insurance, which means they will pick up the deductible but your insurance company will jack up your rates anyway.  Primary insurance will cover the whole thing and your insurance company never even finds out about it (unless you get ticketed for it, of course).  My Chase Sapphire Reserve has primary up to $75000, and it makes for a lot of peace of mind on vacation...

Dicey

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Re: car rentals- using a credit card to cover insurance?
« Reply #17 on: June 11, 2019, 01:48:55 AM »
Late to the party, but chiming in to suggest you get your camera out and take pics or video of the entire car before you drive off the lot. Then email them to someone (or yourself) so you have a record should you lose your phone. I also hope you never need this advice ;-)

dandypandys

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Re: car rentals- using a credit card to cover insurance?
« Reply #18 on: June 15, 2019, 09:44:12 AM »
Thank you Dicey. I hope not too!