Does Mastercard Cover Car Rental Insurance: Unveiling the Truth.!!!
When you rent a car, you may wonder if you need to buy the extra insurance that the rental company offers.
You may also wonder if your Mastercard credit card can help you save money and hassle by covering some of the risks of renting a car.
In this blog post, we will explain how Mastercard’s car rental insurance works, what it covers, what it doesn’t, and how to use it.
Understanding Mastercard’s Car Rental Insurance
Mastercard’s car rental insurance, also known as MasterRental, emerges as a complimentary perk for most Mastercard cardholders.
Functioning as secondary coverage, it steps in for physical damage or theft of the rental vehicle, covering up to its actual cash value.
In essence, should an accident occur, or your rental car be pilfered, Mastercard steps up to cover repair or replacement costs once your primary insurance or other coverage sources have been utilized.
However, it’s crucial to be aware of some limitations and exclusions inherent to Mastercard’s car rental insurance:
- It exclusively covers rentals of 15 consecutive days within your country of residence or 31 consecutive days outside your country of residence.
- Eligible vehicles must be rented from a commercial rental agency and be listed in the Guide to Benefits.
- Exclusions encompass liability, personal injury, personal property, or any damages or expenses unrelated to the rental car.
- It doesn’t extend coverage to rentals paid for with rewards, points, coupons, or discounts unless at least one full day of rental is billed to your Mastercard.
- Rentals for business, commercial, or illegal purposes, or those violating rental agreement terms and conditions, are not covered.
Making the Most of Mastercard’s Car Rental Insurance
Steps to Follow
To leverage Mastercard’s car rental insurance effectively, adhere to these steps:
- Payment Method: Use your eligible Mastercard to pay for the entire rental transaction, rejecting the optional collision damage waiver (CDW) or similar coverage offered by the rental company.
- Timely Reporting: Report the incident to Mastercard within 30 days and submit the required documents within 180 days.
- Cooperation: Collaborate with Mastercard and the rental company throughout the investigation and settlement of the claim.
Comparing Mastercard’s Car Rental Insurance with Alternatives
While Mastercard’s car rental insurance is a valuable cardholder benefit, it might not be the sole or optimal solution for your car rental requirements.
Consider these alternatives:
- Personal Auto Insurance:
Your personal auto insurance policy may extend coverage to your rental car, contingent on your existing coverage and deductible.
However, you may need to front the costs and later file a claim with your insurance provider.
- Rental Company’s Insurance:
The rental company may offer various insurance options, such as CDW, liability, personal accident, or personal effects coverage.
These could offer more comprehensive coverage than Mastercard’s insurance but might come at a higher cost.
- Other Credit Cards’ Insurance:
Some alternative credit cards may also provide car rental insurance with varying terms and conditions.
It’s essential to examine these benefits in comparison to Mastercard’s coverage, considering factors like:
Primary coverage, rental period, vehicle types, and types of damages or expenses covered.
Insurance Writer, Insurance Blob
Former Insurance Writer, New York Times
JOINED INSURANCE BLOB
Benson Clyde, an experienced Insurance Writer at Insurance Blob, brings a wealth of knowledge and expertise to the realm of insurance. With a distinguished background as a former Insurance Writer at the New York Times, Benson’s writing journey has been marked by a commitment to providing valuable insights and information to a wide audience.
Benson’s writing career took a significant turn when he joined the esteemed New York Times as an Insurance Writer. During his tenure, he honed his skills in producing insightful and informative content related to the insurance industry, gaining recognition for his ability to break down complex concepts for readers.
In May 2023, Benson Clyde transitioned to Insurance Blob, marking a new chapter in his commitment to delivering high-quality and engaging insurance content. His experience and expertise contribute to the platform’s mission of educating and empowering readers with valuable insurance insights.