Navigating Insurance Claims When Using Loyalty Points to Reduce Car Rental Costs
Recently, I encountered an unexpected challenge following a minor car rental mishap. I used my loyalty points to significantly lower the cost of renting a vehicle from Enterprise’s online platform. As a result, the total due at pickup was just $5.47, which I paid in full with my Chase Sapphire Reserve (CSR) credit card.
Understanding the Insurance Coverage
The CSR credit card offers comprehensive primary insurance coverage for rental cars, provided two key conditions are met:
- The entire rental amount must be charged to the CSR card.
- You must decline the rental company’s Collision Damage Waiver (CDW).
In my case, I adhered to both guidelines. I charged the full amount to my CSR card and declined additional coverage.
The Incident and Insurance Claim
During the rental period, I experienced a minor accident. Upon returning the vehicle, I filed a claim with CSR’s insurance provider, Virginia Surety/Assurant. I’ve successfully used this benefit before without issues; however, this time, I’ve hit an unexpected snag.
The insurer is requesting a billing statement that explicitly shows the full rental cost. Despite submitting the original statement indicating a charge of $5.47—matching the total paid at pickup—they continue to insist on additional documentation and have not processed the claim.
The Core Issue
The fundamental concern is whether the insurance provider is disputing coverage because the rental was paid partly with points, reducing the total owed. Since the actual charge was only $5.47, they seem to be questioning whether this constitutes the “full amount” of the rental.
Important Details
- The total amount charged to my credit card was $5.47.
- I declined the CDW offered by Enterprise.
- The CSR benefits specify that the entire rental cost must be charged to the card; there’s no mention of excluding points or discounts.
What I Would Have Done Differently
Had I known this could be problematic, I might have avoided using points to lower the rental cost. Unfortunately, I was in a hurry to return the vehicle and catch a flight, so I didn’t anticipate this issue.
Seeking Advice and Insights
Has anyone faced a similar situation? Is there a legal or policy-based argument that supports my case—namely, that paying the full rental amount via the credit card qualifies for insurance coverage regardless of discounts or points used? Any insights or shared experiences would be
