Title: Navigating Insurance Claims When Using Rewards Points for Car Rentals
Are you relying on rewards points to cover your car rental costs? Here’s a real-world scenario that highlights some potential pitfalls and what you need to consider to protect your coverage.
Recently, I rented a vehicle from Enterprise through their online platform, applying my loyalty points to significantly reduce the bill. When I arrived at the rental counter, the total due was just $5.47—thanks to my points. I paid this amount with my Chase Sapphire Reserve (CSR) credit card, which I rely on for its comprehensive rental insurance benefits.
The CSR offers primary coverage for rental cars provided you pay the full rental amount with the card and decline the rental company’s collision damage waiver (CDW). I followed both steps diligently. However, shortly after returning the vehicle, I was involved in a minor accident. I filed a claim with CSR’s insurance provider (Virginia Surety/Assurant) but encountered unexpected complications.
Here’s where it gets complicated: the insurance provider is requesting a credit card billing statement that clearly shows the full amount charged for the rental. Despite submitting the statement that reflects the $5.47 charge—dated the same day as the rental—they keep insisting on additional proof, seemingly ignoring the documentation provided.
This raises an important question: could the use of points to reduce the rental cost impact my insurance coverage? Specifically, does the insurance provider see the full rental cost differently when the amount paid was minimal, even if the official transaction was for $5.47? Am I at risk of having my claim denied simply because I used points to offset the charge?
Contextual Details:
- The total amount charged at the rental counter was $5.47.
- I declined the rental company’s CDW, aligning with CSR’s policy.
- The credit card statement clearly indicates the $5.47 charge on the rental date.
- The CSR terms specify that the full rental amount must be charged to the card, with no mention of restrictions related to discounts or point applications.
In my haste to return the vehicle and catch a flight, I opted to use points—something I now wish I had questioned beforehand. I’m curious if others have experienced similar issues, or if there are legal or contractual arguments that might help defend my claim.
Key Takeaways:
- When relying on credit card insurance for rentals, ensure that the full rental amount is charged to your card, not just a discounted or
