My family travels around 15 to 20 weeks of the year, with those trips typically made up of cruises, all-inclusive resort stays, and sightseeing vacations around the world. We usually drive our own car when we take road trips from home, but we also rent cars when we’re sightseeing somewhere we can’t drive to — like when we rented a car to drive across Scotland with our kids last summer.
Wherever we are, we always pay for our rental cars with a specific credit card: the Chase Sapphire Reserve®. And we rarely ever pay for the auto rental coverage they offer at the counter. Here’s why we do this, and why you might want to consider doing the same.
While the Chase Sapphire Reserve is popular for its exceptional earning rates for dining and travel and its connection with the Chase Ultimate Rewards program, this card also offers the best travel insurance benefits of any card on the market today. Coverages include trip cancellation and interruption insurance, lost luggage reimbursement, emergency medical evacuation coverage, and plenty of other benefits most people pay for when they buy travel insurance.
On top of that, the card offers primary rental car insurance that applies before any other insurance you have. This means you can decline the car rental protection offered for a fee by rental car companies and use this protection in its place.
Auto rental coverage offered on the Chase Sapphire Reserve comes with high limits compared to other travel insurance plans. For example, you can pay for a top-tier travel insurance plan through a company like Generali Global Assistance, and you would only qualify for up to $25,000 in car rental coverage per person and per plan.
Primary auto rental coverage through Chase with this card includes up to $75,000 in coverage for damage or theft for most rental periods that last up to 31 consecutive days. Certain types of vehicles aren’t eligible for coverage, including cargo vans and vehicles with open cargo beds, but my husband and I rent normal cars and small SUVs for our family. Also, Chase Sapphire Reserve car rental coverage works throughout the United States and in most countries around the world.
I also pay for car rentals with Chase Ultimate Rewards points from time to time, which can be a good deal since the Chase Sapphire Reserve offers 50% more value for points redeemed for travel through Chase. Fortunately, rental periods covered with points also qualify for Chase primary auto rental coverage, and it’s clearly spelled out in the card’s benefits guide:
“You are covered when Your name is embossed on an eligible card issued in the United States, and You use Your credit card Account and/ or rewards programs associated with Your Account to initiate and complete Your entire car rental transaction.”
While booking car rentals through Chase Travel℠ can be more expensive from time to time, I find good deals and better prices on some rentals. Before I book a car rental through Chase with points, cash, or a combination of the two, I take the time to compare prices with a few rental car companies directly, as well as on Expedia and Costco Travel.
Earn 5 points on flights and 10 total points on hotels and car rentals when you purchase travel through Chase Travel℠ immediately after the first $300 is spent on travel purchases annually. Earn 3 points on other travel and dining & 1 point per $1 spent on all other purchases.
$550
N/A
21.49% – 28.49% Variable
Earn 60,000 bonus points
Good to Excellent
If you’re new to rewards credit cards you may want to start elsewhere, but if you know you want to earn Chase points and you spend a lot on travel and dining, the Sapphire Reserve is one of the most rewarding options.
Finally, I use the Chase Sapphire Reserve to pay for all types of travel (including car rentals) in order to rack up my favorite rewards currency: Chase Ultimate Rewards.
Not only does this card earn 10 points per dollar on hotels and car rentals booked through Chase, but it doles out 5 points on flights booked through Chase and 3 points on other travel purchases (all after the card’s $300 annual travel credit has been applied). Other bonus rewards include 10 points on Chase Dining purchases and 3 points on dining worldwide. All other purchases earn 1 point per dollar spent.
Spending $300 on a car rental nets me 900 points if I book through a car rental company directly or any other provider, but I can earn 3,000 points for the same car rental if I book it through Chase Travel℠ and pay with cash. Either way, I can spend the points I earn on more travel bookings through Chase (including car rentals), or transfer them to popular airline and hotel partners like British Airways, United MileagePlus, Marriott Bonvoy, or World of Hyatt. Chase points can also be redeemed for easy options like statement credits, cash back, or gift cards.
Why would I pay for more rental car insurance at the counter?
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