Mastercard car rental insurance: How does it work?

Get it only with select cards depending on the issuer.

Posted

Fact checked

You might find Mastercard car rental insurance with your credit card, but this ultimately comes down to your issuer. Here’s a rundown of how the benefit works, what it covers and how to use it.

Does Mastercard have car rental insurance?

Mastercard offers car rental collision damage waiver insurance with select cards depending on the card issuer. If you’re not sure if your card comes with it, call your issuer and ask.

What does Mastercard car rental insurance cover?

Mastercard car rental insurance covers your rental vehicle against physical damage and theft. It may also pay for reasonable loss-of-use and towing charges.

To get this coverage, use your Mastercard to pay for the entire rental and decline the rental company’s coverage.

How much does Mastercard car rental insurance cover me for?

This coverage will typically pay the lesser of:

  • $65,000 (vehicles with an MSRP of $65,000 or less)
  • The actual repair amount.
  • The wholesale market value of the vehicle.
  • The purchase invoice from the rental agency.

Where is Mastercard car rental insurance valid?

Mastercard car rental insurance applies worldwide, except where it’s prohibited by law or where it conflicts with a country’s laws.

What Mastercard car rental insurance doesn’t cover

Mastercard car rental insurance doesn’t cover all types of vehicles. These are excluded:

  • Trucks, including pickups, cargo vans, off-road vehicles, sport utility trucks and more.
  • Trailers, motorcycles, motorbikes and any other vehicle with fewer than four wheels.
  • Antique vehicles.
  • Limousines.
  • Any vehicle with an MSRP over $65,000.

Additional items and events not covered by Mastercard car rental insurance

There’s a long list of instances when your Mastercard car rental insurance will be void. But here are the highlights that cover the vast majority of exceptions:

  • Personal items, vehicle keys and portable GPSs aren’t covered.
  • You aren’t covered for damage or theft to your vehicle due to negligence, such as driving intoxicated, not locking or securing your vehicle, or using your vehicle in a manner contrary to your rental agreement.

Is Mastercard car rental insurance primary or secondary?

Mastercard car rental insurance is secondary, which means you can claim through it only after you’ve claimed through the following:

  • Your — or your authorized driver’s — primary auto insurance.
  • Coverage from the rental agency.
  • Other forms of insurance.

There is good news: in most cases, your Mastercard policy will cover your deductible for your primary auto insurance or other forms of coverage.

How to use Mastercard car rental insurance

Follow these steps to use your Mastercard car rental insurance:

  1. Pay for your entire rental with your eligible Mastercard. Decline the rental company’s coverage.
  2. In the event of an incident, call your Mastercard benefit administrator immediately at 1-800-MASTERCARD. A representative will give you the next steps and tell you which documentation to submit.
  3. If necessary, file a police report immediately.
  4. Within 180 days of the incident, return the documentation requested by your benefit administrator.

Information to include with your claim

The list of information to include with your claim is fairly standard, though you’ll have to do a bit more legwork if you’re claiming for loss of use. Required documentation includes:

  • Your claim form, signed and completed.
  • The receipt for your rental.
  • Your credit card statement showing you paid for the rental with your Mastercard.
  • A copy of the rental agreement — front and back.
  • A copy of your driver’s license — front and back.
  • A copy of the declarations page of your primary insurance or other coverage.
  • A police report if your vehicle isn’t drivable, was stolen or vandalized, was involved in a multivehicle collision or was involved in a collision that required the vehicle to be towed.
  • An itemized repair estimate from an authorized repair facility.
  • If applicable, a copy of the promotion or discount from the rental company.
  • If you’re claiming for loss-of-use charges, a copy of the vehicle’s class-specific fleet utilization log from the rental company.
  • Other information requested by your benefit administrator.

Compare Mastercard credit cards

Not every Mastercard comes with car rental insurance coverage. Make sure you check with your issuer to make sure your card qualifies.

Name Product Purchase Interest Rate Cash Advance Rate Annual Fee Minimum Income Benefits with this card Description
BMO World Elite Mastercard
19.99%
22.99%
$0 annual fee for the first year ($150 thereafter)
$80,000
Get 3 BMO Rewards points per $1 spent on eligible travel, dining and entertainment purchases (up to $50,000 spend annually), and get 2 BMO Rewards points per $1 spent on all other eligible purchases (and once you reach the $50,000 annual spend).
Get up to $575 in value in your first year. Get a bonus of 40,000 BMO Rewards points ($285 travel value booked on bmorewards.com). Plus, get the $150 annual fee waived in the first year.
Shell AIR MILES World Mastercard from BMO
19.99%
22.99%
$99
$60,000
Get 5x the Miles at Shell until December 31, 2020 and earn 1 Mile per $15 spent for all other purchases.
Get 5x the Miles at Shell until December 31, 2020 and earn 1 Mile per $15 spent for all other purchases.
BMO CashBack World Elite Mastercard
19.99%
22.99%
$0 annual fee for the first year ($120 thereafter)
$80,000
Earn 1.5% cash back on all eligible purchases.
Get up to 10% cash back in your first 3 months and the $120 annual fee waived in the first year.
BMO Rewards Mastercard
19.99%
22.99%
$0
$15,000
Get 1 BMO Reward point for every $1 spent on eligible purchases, and get 2 BMO Rewards points for every $1 spent at participating National Car Rental and Alamo Rent A Car locations.
Get a bonus of 15,000 BMO Rewards points. Plus, get a rate of 1.99% on balance transfers for 9 months. A 1% fee applies to transferred balances.
BMO AIR MILES World Elite Mastercard
19.99%
22.99%
$0 annual fee for the first year ($120 thereafter)
$80,000
Get 1 AIR MILE for every $10 spent on eligible purchases and get 5x the Miles at Shell until December 31, 2020.
Earn a bonus of up to 2,000 AIR MILES. Terms apply. Plus, get the annual fee of $120 waived in the first year. Get 5x the Miles at Shell until December 31, 2020.
BMO AIR MILES Mastercard
19.99%
22.99%
$0
$15,000
Get 2 AIR MILES for every $20 spent at eligible AIR MILES partners, and get 1 AIR MILE for every $20 spent elsewhere. Get 5x the Miles at Shell until December 31, 2020.
Get 950 AIR MILES Bonus Miles (enough for $100 towards purchases with AIR MILES Cash). Plus, get 5x the Miles at Shell until December 31, 2020. Get a rate of 1.99% on balance transfers for 9 months. A 1% fee applies to transferred balances.
BMO CashBack Mastercard
19.99%
22.99%
$0
$15,000
Earn 3% cash back on groceries, 1% on recurring bill payments and 0.5% on all other eligible purchases.
Get 5% cash back on all eligible purchases in the first three months of card membership (up to a maximum spend of $2,000, and earn 3% cash back on groceries, 1% on recurring bill payments and 0.5% on all other eligible purchases thereafter). Plus, get a rate of 1.99% on balance transfers with a 1% balance transfer fee for nine months.
BMO AIR MILES Mastercard For Students
19.99%
22.99%
$0
$15,000
Earn 2 AIR MILES for every $20 spent at eligible AIR MILES partners, and earn 1 AIR MILE for every $20 spent elsewhere. Get 5x the Miles at Shell until December 31, 2020.
Get 950 AIR MILES Bonus Miles (enough for $100 towards purchases with AIR MILES Cash). Plus, get 5x the Miles at Shell until December 31, 2020. Get a 1.99% introductory interest rate on balance transfers for 9 months. A 1% fee applies to balance amounts transferred.
BMO CashBack Mastercard For Students
19.99%
22.99%
$0
$15,000
Earn 3% cash back on groceries, 1% on recurring bill payments and 0.5% on all other eligible purchases.
Get up to 5% cash back in the first three months (up to a maximum spend of $2,000, and earn 3% cash back on groceries, 1% on recurring bill payments and 0.5% on all other eligible purchases thereafter). Plus, get a rate of 1.99% on balance transfers for 9 months, with a 1% fee for every transferred balance.
Shell CashBack World Mastercard from BMO
19.99%
22.99%
$79
$60,000
Get 3% cash back per $1 spent at Shells stations, 1.25% cash back on all other spend.
Earn 3% cash back at Shell stations in Canada, plus 1.25% cash back on all other spend.
BMO Sobeys AIR MILES Mastercard
19.99%
22.99%
$0
$15,000
Get 2 AIR MILES for every $20 spent at Sobeys, Foodland and eligible AIR MILES partners, and get 1 AIR MILE for every $20 spent elsewhere.
Get 950 AIR MILES Bonus Miles (enough for $100 towards purchases with AIR MILES Cash). Plus, get 5x the Miles at Shell until December 31, 2020.
Scotia Momentum Mastercard
7.99% intro APR for the first 6 months, 19.99% thereafter
22.99%
$0
$12,000
Get 1% cash back on all eligible gas station, grocery store and drug store purchases and recurring bill payments, and get 0.5% cash back on all other eligible purchases.
Get a 7.99% introductory interest rate on all eligible purchases for the first 6 months. Apply by October 31, 2020.
Tangerine World Mastercard
19.95%
19.95%
$0
$60,000
Earn 2% cash back in two categories of your choice (or three categories if you open a Tangerine Savings Account and directly deposit your cash back into the account), and 0.5% cash back on everything else.
Get a 1.95% interest rate on balance transfers for the first six months (valid within the first 30 days of account opening).
loading

Compare up to 4 providers

Who gets to use Mastercard car rental insurance?

You and individuals you add to the rental agreement are covered by Mastercard car rental insurance.

Bottom line

While certain Mastercard products do offer car rental insurance, this benefit’s inclusion ultimately comes down to the issuer’s discretion. Check with your issuer to see if you have access to the feature. If this feature is important to you and you don’t necessarily want a Mastercard, compare other credit cards with car rental insurance.

Frequently asked questions

Related Posts

Ask an Expert

You must be logged in to post a comment.

Go to site