American Express does not charge a separate fee for rental car coverage — it comes included with most of their premium credit cards

The cost of American Express rental car insurance is built into your annual card fee, not billed separately when you rent. Cards like the Platinum Card and Business Platinum include rental car damage coverage at no additional charge beyond the annual membership fee. If you carry the card, the coverage activates automatically when you charge a rental to that card — you do not pay extra per rental or per day.

The coverage itself is secondary insurance, meaning it covers damage after your personal auto policy or the rental company's insurance pays first. This matters because you are not paying for primary protection; you are paying for a backup layer. The annual card fee ranges depending on which American Express card you hold, but the rental coverage is one of several benefits included in that single annual cost.

Key Takeaways

  • American Express rental car coverage is included with premium cards like Platinum and Business Platinum at no cost beyond the annual card membership fee.
  • The coverage is secondary insurance, meaning it pays only after your personal auto policy or the rental company's insurance covers the damage first.
  • You must charge the entire rental to the American Express card to activate the coverage — paying part of the rental with a different payment method may void it.
  • Coverage limits and exclusions vary by card type, so you should review your specific card's benefits guide before relying on it for a rental.
  • Rental companies still offer their own damage waiver at checkout, which is primary insurance and costs extra but covers damage immediately without involving your personal policy.

Which American Express cards include rental car coverage

The American Express Platinum Card and Business Platinum Card are the primary cards that include rental car damage coverage. Both charge an annual membership fee — currently $695 for the personal Platinum and $595 for the Business Platinum, though American Express adjusts these periodically. The coverage is one of many benefits bundled into that annual cost.

Other American Express cards, including some Gold and Green cards, may include limited rental car coverage, but the scope and limits differ. You should check your specific card's benefits guide or call American Express directly to confirm what your card includes. The coverage is not automatic across all American Express products.

How much damage the coverage actually protects

American Express rental car coverage typically covers damage to the rental vehicle up to the actual cash value of the car, with a limit that varies by card. For the Platinum Card, the limit is usually around $75,000, though this can change. The coverage pays for collision damage, theft, and vandalism — the same types of damage a rental company's damage waiver would cover.

The coverage does not include liability (damage you cause to other vehicles or property), personal belongings left in the car, or damage from wear and tear. It also excludes damage from off-road use, racing, or driving under the influence. You need your personal auto policy to cover liability, which is the larger financial risk in most accidents.

Why this coverage is secondary, not primary

Secondary insurance means American Express pays only after another insurance source has already paid. If you have personal auto insurance and you rent a car, your personal policy is primary — it pays first up to its limits. American Express covers what your personal policy does not, up to the card's limit.

This structure protects American Express from paying claims that your own insurance should cover. It also means you cannot use the American Express coverage to avoid paying your personal auto insurance deductible. If your personal policy has a $1,000 deductible and damage costs $3,000, your insurance pays $2,000 and you pay $1,000 — then American Express would cover additional costs only if they exceeded your policy's limit.

What you have to do to activate the coverage

You must charge the entire rental to your American Express card for the coverage to apply. If you pay part of the rental with a different card or with cash, the coverage may not activate. This includes the base rental rate, taxes, and any add-ons you purchase at the rental counter.

You also need to decline the rental company's damage waiver at checkout. If you purchase the rental company's coverage, your claim goes to them first, and American Express coverage becomes secondary to that purchase. Since you are already paying for American Express coverage through your card fee, buying the rental company's waiver is paying twice for the same protection.

The rental company's damage waiver costs more but covers you immediately

When you rent a car, the rental company offers a damage waiver (sometimes called Loss Damage Waiver or LDW) at checkout. This typically costs $15 to $30 per day, depending on the car type and location. This is primary insurance — it covers damage before any of your personal policies are involved.

The trade-off is cost versus convenience. The rental company's waiver is expensive per day but removes the hassle of filing a claim with your personal insurance or American Express. If you decline it and use your American Express coverage instead, you save the daily fee but you have to file a claim and wait for reimbursement. For a one-day rental, the rental company's waiver might cost $20 to $30; for a two-week rental, it could cost $210 to $420.

When American Express coverage does not apply

The coverage does not apply if you do not charge the rental to the American Express card. It also does not apply if you rent from a company that American Express excludes — though most major rental companies are covered. Some specialty rentals, like exotic cars or commercial vehicles, may not be covered.

The coverage also does not apply if you are renting in a country where American Express does not operate or if the rental agreement explicitly excludes credit card coverage. A few rental companies, particularly in certain international locations, do not recognize credit card insurance at all. Before you travel internationally, confirm with American Express that your destination is covered.

Frequently Asked Questions

Do I have to buy the rental company's damage waiver if I have American Express coverage?

No. If you have American Express rental car coverage and you charge the full rental to your card, you can decline the rental company's waiver. You are already paying for coverage through your card fee, so purchasing the waiver means paying twice. However, if you want immediate coverage without filing a claim later, the rental company's waiver provides that convenience at an additional cost.

What happens if I get in an accident and I have both American Express coverage and personal auto insurance?

Your personal auto insurance pays first up to its limits and deductible. You pay your deductible, and your insurance covers the rest. American Express then covers any remaining damage up to its limit. You file a claim with American Express after your personal insurance settles, providing proof of what your insurance paid.

Does American Express rental coverage work if I rent a car in another country?

Coverage applies in most countries where American Express operates, but some destinations have restrictions. Certain countries do not recognize credit card insurance, and some rental companies in specific regions exclude it. Contact American Express before your trip to confirm coverage in your destination.

If I decline the rental company's waiver and damage occurs, how long does it take to get reimbursed?

The timeline depends on how quickly you file a claim with American Express and provide documentation. Most claims take two to four weeks to process after you submit all required paperwork. During that time, the rental company may charge your card for the damage, and you have to wait for American Express to reimburse you.

Does the American Express coverage include liability if I damage someone else's car?

No. American Express rental car coverage covers only damage to the rental vehicle itself. Liability — damage you cause to other vehicles, property, or people — is covered by your personal auto insurance. Make sure your personal policy covers rental cars before you decline liability coverage at the rental counter.