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Have you heard? Several credit card companies are scaling back on their travel perks, including coverage for car rental insurance. It’s a perk that some credit card issuers have decided to drop. Card companies say they are dropping this perk due to “low usage.” If you’re someone who uses car rental insurance, listen up. Your card may be on this list.

credit cards discontinued car rental insurance
These credit cards have discontinued their car rental insurance perks. Photo by Pixabay

Credit Cards With Discontinued Car Rental Insurance

A number of Citi credit cards are dropping car rental insurance, including some of the best Citi credit cards. Discover and American Airlines are also on this list.

Here are the Citi cards with discontinued perks:

  • Citi Prestige® Credit Card
  • Citi Premier® Card
  • Citi®/ AAdvantage® Platinum Select® World Elite™ Mastercard®
  • Citi® Dividend Card
  • Citi® Double Cash Card

Other credit cards with discontinued perks:

Do you need car rental insurance from your credit card?

This really depends on things like:

  • How often you rent a car
  • Your level of risk and wanting peace of mind
  • Your personal car insurance and what it offers for rentals

Depending on your personal car insurance, you may not need car rental insurance. Mainly, it depends on what your personal car insurance covers and if there’s a deductible.

However, car rental insurance is often a free perk from many credit cards. If your credit card is discontinuing car rental insurance and you feel strongly about needing this line of defense, consider switching to a different credit card.

Learn more: Best credit cards with car rental perks

Cards That Still Offer Car Rental Insurance

Not all credit cards are dropping car rental insurance. Here are two best credit cards with travel insurance that continue to offer car rental insurance.

Chase Sapphire Reserve

Though the Chase Sapphire Reserve® has a high $550 annual fee, it comes with many great travel perks (including car rental insurance).

  • Trip cancellation and trip interruption insurance
  • Baggage delay reimbursement
  • Trip delay reimbursement
  • Primary auto rental collision damage waiver
  • TSA Pre-Check fee credit
  • $300 annual travel credit
  • Priority Pass membership

If you travel a lot, this is a great card. It has top-tier protection plus, the Chase Sapphire Reserve benefits also far exceed the cost from the annual fee. But if you don’t travel often, consider its sister, the Chase Sapphire Preferred® Card.

Learn more: Chase Sapphire Rental Car Insurance Benefits Guide

United Explorer Card

As with many airline co-branded credit cards, the United℠ Explorer Card earns you many additional perks when you fly United. It’s also one of the best miles credit cards.

  • Trip cancellation and trip interruption insurance
  • Baggage delay reimbursement
  • Trip delay reimbursement
  • Primary auto rental collision damage waiver
  • Two United Club one-time passes per year
  • Priority boarding
  • 25% back for in-flight purchases
  • Fee credit, up to $100 for Global Entry or TSA PreCheck

One advantage of the United Explorer Card car rental insurance is that it also covers international rentals.

The United Explorer Card has a sign-up offer of 60,000 bonus miles after you spend $3,000 on purchases in the first 3 months your account is open.

Learn more: Airline Credit Cards

What does car rental insurance cover?

When you’re at the counter getting your rental car, there’s one topic that always comes up: rental car coverage. If your credit card offers car rental insurance, do you need the extra coverage?

Car coverage purchased at the rental car company

Let’s look at what the rental car coverage is. First of all, the coverage offered by rental car companies is not technically insurance. They have their own insurance. Instead, if you pay the daily fee for coverage, the rental car company will not come after you financially if the car is damaged or stolen. Think of it as a waiver, releasing you of liability.

For instance, if you bought the coverage and accidentally crash the car, you won’t have to pay a cent. Your credit card’s car rental insurance does not help if you buy rental car coverage.

If you don’t buy rental car coverage

You still have two lines of defense if you choose not to buy rental car coverage:

  1. Your personal car insurance may cover some or most of the costs. The exact details depend on your insurance plan. You will probably still need to pay your deductible. This is where car rental insurance comes in.
  1. If your personal insurance does not cover all the damage or you have a deductible, your credit card’s car rental insurance may cover the costs.

In case it’s still confusing, here’s an overview of how costs are paid when you don’t buy rental car coverage.

  • Your personal car insurance
  • Your credit card’s car rental insurance
  • You, out of pocket

Credit card car rental insurance is often called secondary coverage because it comes after your primary car insurance. Check with your insurance and your credit card for exact details.

Final Words Regarding Credit Cards Discountinued Car Rental Insurance

Credit card perks are useful to help you through the toughest travel situations that may arise, including accidents when renting a car. If you travel frequently and rent a car on the regular, you may want to consider switching to a card that still offers this perk. Then, you can use one of the best gas credit cards and hit the road.


Chase Sapphire Preferred® Card

  • Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $750 when you redeem through Chase Ultimate Rewards®.
  • Enjoy new benefits such as a $50 annual Ultimate Rewards Hotel Credit, 5X points on travel purchased through Chase Ultimate Rewards®, 3X points on dining and 2X points on all other travel purchases, plus more.
  • Get 25% more value when you redeem for airfare, hotels, car rentals and cruises through Chase Ultimate Rewards®. For example, 60,000 points are worth $750 toward travel.
  • With Pay Yourself Back℠, your points are worth 25% more during the current offer when you redeem them for statement credits against existing purchases in select, rotating categories.
  • Get unlimited deliveries with a $0 delivery fee and reduced service fees on eligible orders over $12 for a minimum of one year with DashPass, DoorDash's subscription service. Activate by 12/31/21.
  • Count on Trip Cancellation/Interruption Insurance, Auto Rental Collision Damage Waiver, Lost Luggage Insurance and more.
  • Get up to $60 back on an eligible Peloton Digital or All-Access Membership through 12/31/2021, and get full access to their workout library through the Peloton app, including cardio, running, strength, yoga, and more. Take classes using a phone, tablet, or TV. No fitness equipment is required.

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1 Comment On "These Travel Credit Cards Have Discontinued Their Car Rental Insurance"
  1. George|

    “One advantage of the United Explorer Card car rental insurance is that it also covers international rentals.”

    I would think the advantage is that it also covers domestic as primary, not just international. I haven’t seen a card that only covers domestic, whether primary or secondary. The paragraph on primary/secondary could also use a revision – the two cards you featured both offer primary insurance worldwide.

    Also, isn’t the AT&T Access also a Citi card?

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