You’ve probably heard that using your American Express card to rent a car gives you all the protection you need. Our team would like you to know that there are limitations to the Basic coverage you are provided as well as Premium benefits that you can purchase. Here is the explanation we received from American Express when we asked about renting a car.
Basic provides just that – basic coverage. The coverage is secondary or excess over any automobile insurance that you carry. For example, if you have a personal auto policy with a $500 deductible, American Express will only pay your deductible. The remaining coverage must come from your personal auto policy.
Premium is primary coverage – not secondary or excess and Premium provides coverage for Damage to or Theft of the Rental Car for a higher maximum limit. With Premium, your personal auto policy does not impact coverage.
There is a fee for Premium and you must enroll your card in Premium before you reserve or rent a car.
Here is a link to American Express Car Rental and Damage Insurance that you can review based on your card type. Note, AmEx is issuing a new policy that will take effect on 9/01/2017.