Many premium credit cards include rental car insurance as a cardholder benefit. Understanding how credit card rental car coverage works can save you money and provide peace of mind the next time you rent a vehicle. Below we review top Canadian credit cards that include rental car insurance, highlight their key features, and explain what the coverage usually includes and excludes.
Best credit cards for rental car coverage
BMO CashBack World Elite Mastercard
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TD Cash Back Visa Infinite Card
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Scotiabank Gold American Express Card
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MoneySense is an established personal finance publication helping Canadians since 1999. Our editorial team works with independent finance experts to evaluate credit cards from major banks, credit unions and card issuers. We compare features, fees and insurance details to help readers choose the products that best meet their needs. Our editorial assessments are independent; affiliate partnerships do not influence our rankings.
Credit cards that provide rental car insurance
Below is a comparison of several cards that include rental car insurance. If you prefer a quick overview, keep scrolling for our top picks and summaries of each card’s strengths and limitations.
| Annual fee | Rewards earn rate | Rental car theft & damage coverage | Rental car limit | Coverage period | Rental car discounts | Free roadside assistance | Discount on gas | Recommended income | Recommended credit score | Apply now | |
|---|---|---|---|---|---|---|---|---|---|---|---|
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BMO CashBack World Elite Mastercard
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$139 | Up to 5% cash back | MSRP up to $65,000 | MSRP up to $65,000 | 48 days | Up to 20% at National and Alamo | Yes | n/a | $80,000 (personal) or $150,000 (household) | 760 or higher | Go to site |
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TD Cash Back Visa Infinite Card
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$139 | Up to 3% cash back | MSRP up to $65,000 | MSRP up to $65,000 | 48 days | Minimum 10% off at Avis and Budget (Canada & U.S.) | Yes | n/a | $60,000 (personal) or $100,000 (household) | 680 or higher | Go to site |
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Scotiabank Gold American Express Card
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$120 | Up to 6 Scene+ points per $1 | MSRP up to $65,000 | MSRP up to $65,000 | 48 days | Up to 25% off at Avis and Budget | No | n/a | $12,000 | 725 or higher | Go to site |
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American Express Cobalt Card
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$192 | Up to 5 Membership Rewards points per $1 | MSRP up to $85,000 | MSRP up to $85,000 | 48 days | n/a | No | n/a | n/a | 725 or higher | Go to site |
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Scotiabank Platinum American Express Card
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$399 | Up to 2 Scene+ points per $1 | MSRP up to $65,000 | MSRP up to $65,000 | 48 days | n/a | No | n/a | $12,000 | 760 or higher | Go to site |
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Scotiabank Passport Visa Infinite Card
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$150 | Up to 3 Scene+ points per $1 | MSRP up to $65,000 | MSRP up to $65,000 | 48 days | Complimentary upgrades and 5–25% discounts at Avis in Canada & U.S. | No | n/a | $60,000 (personal) or $100,000 (household) | 725 or higher | Go to site |
MoneySense award winners
Below we break down the pros and cons of our Gold, Silver and Bronze winners and explain why each card stands out for rental car insurance.
Gold: BMO CashBack World Elite Mastercard
At a glance: The BMO CashBack World Elite Mastercard is our top pick for rental car insurance in Canada. It covers vehicles up to $65,000 MSRP for up to 48 days for damage, theft or collision. The card also includes complimentary roadside assistance through a Dominion Automobile Association membership, and strong cash-back rewards across everyday categories.
BMO CashBack World Elite Mastercard
Annual fee: $139 (waived first year)
Rewards: 1%–5% cash back (higher rates in categories such as groceries and transit)
Welcome offer: Up to $650 in value; 0% introductory balance transfer offer available for new applicants under specific conditions.
Card details
| Interest rates | 21.99% purchases; 23.99% cash advances and balance transfers (21.99% in Quebec) |
| Income required | $80,000 personal or $150,000 household |
| Credit score | 680+ |
Pros
- Includes roadside assistance with several services each year (towing, battery boost, lockout assistance and more).
- Extensive insurance suite for a cash-back card, including rental car coverage.
- Strong earn rates in major everyday categories.
Cons
- Bonus category caps are fairly low, which limits the higher cash-back earnings for large monthly spending.
- High income requirements may make it less accessible for some applicants.
Silver: TD Cash Back Visa Infinite
At a glance: The TD Cash Back Visa Infinite offers rental car insurance for vehicles up to $65,000 MSRP for 48 days and includes a complimentary Deluxe TD Auto Club membership for roadside assistance. Cardholders earn strong cash back in several categories and receive discounts with major rental companies.
TD Cash Back Visa Infinite Card
Annual fee: $139 (rebated first year)
Rewards: 1%–3% cash back on common categories including groceries and gas
Welcome offer: Up to $600 in promotional value for new cardholders under certain spending conditions.
Card details
| Interest rates | 21.99% purchases; 22.99% cash advances and balance transfers |
| Income required | $60,000 personal or $100,000 household |
| Credit score | 680+ |
Pros
- Rental discounts at Avis and Budget and other partners.
- Complimentary roadside assistance with 24/7 emergency services.
- Solid cash-back rates for everyday purchases.
Cons
- Travel medical coverage is limited to short trips (10 days), and coverage for older cardholders is shorter.
Bronze: Scotiabank Gold American Express
At a glance: The Scotiabank Gold American Express card covers rental cars up to $65,000 MSRP for 48 days. It offers generous rewards—especially at grocery stores and restaurants—plus no foreign transaction fee, which is rare among Canadian credit cards.
Scotiabank Gold American Express
Annual fee: $120
Rewards: 1–6 Scene+ points per dollar, with elevated earn rates at select grocery stores, restaurants and entertainment.
Welcome offer: Promotional bonus points and first-year value offers may be available for new applicants.
Card details
| Interest rates | 21.99% purchases; 22.99% cash advances and balance transfers |
| Income required | $12,000 per year |
| Credit score | 725 or higher |
| Point value | 1 Scene+ point ≈ $0.01 redeemable for travel, retail and entertainment partners |
Pros
- Significant rental-car discounts with participating Avis and Budget locations.
- Comprehensive travel insurance suite and no foreign transaction fees on purchases.
- Higher rewards on groceries and dining.
Cons
- Limited travel medical coverage for seniors and lower merchant acceptance for American Express in some places.
Runner up: American Express Cobalt
At a glance: The American Express Cobalt provides rental car coverage for vehicles up to $85,000 MSRP for up to 48 days—one of the highest coverage limits available on Canadian consumer cards. It delivers strong rewards on dining and groceries and flexible points redemptions.
American Express Cobalt
Annual fee: $15.99/month (approximately $191.88/year)
Rewards: 1–5 points per dollar depending on the category (5x on dining and groceries).
Welcome offer: Monthly spending bonuses that add up to additional points for new cardholders.
Card details
| Interest rates | 21.99% on purchases and cash advances; higher penalty rates may apply for missed payments |
| Income required | Not specified |
| Credit score | 725 or higher |
Pros
- Highest rental coverage limit among many cards (up to $85,000 MSRP).
- Flexible point redemptions and high earn rates on dining and groceries.
- Comprehensive travel insurance included for many cardholders.
Cons
- Annual fee is higher than many competitors.
- Some travel insurance limits exist (for example, limited medical or cancellation coverage for older cardholders).
- American Express is not accepted everywhere compared with Visa or Mastercard.
What is credit card car rental insurance?
Credit card rental car insurance generally includes a collision damage waiver (CDW) or loss damage waiver (LDW), which protects you financially if a rented vehicle is damaged or stolen. Coverage usually applies only when the rental is charged in full to the card and you decline the rental agency’s CDW/LDW. Some issuers require you to explicitly note on the rental agreement that you declined the agency coverage.
Coverage terms vary across cards, and certain types of damage or vehicles may be excluded. Always read the card’s policy wording before relying on this benefit.
What does credit card rental car insurance cover?
Typical coverages include:
- Damage to the rental vehicle from collision or an accident
- Theft of the rental vehicle
- Loss-of-use charges while the vehicle is out of service
- Towing charges related to a covered incident
Common exclusions (these vary by issuer):
- Liability for damage to other vehicles or property (this is usually covered by a separate liability policy)
- Personal injury or death
- Theft of personal belongings from the vehicle
- Exotic, luxury, specialty or oversized vehicles that exceed the issuer’s coverage limit
- Rentals in certain countries and rentals that exceed the maximum coverage period
Does roadside assistance apply to rental cars?
Some roadside assistance benefits extend to rental vehicles because coverage is tied to the cardholder rather than a specific car. If coverage applies, it typically covers services like towing, battery boosts, fuel delivery and lockout assistance. Because coverage terms differ, verify the roadside assistance policy or contact customer service before relying on it for a rental.
Frequently asked questions
Many premium credit cards include rental car insurance, but coverage typically requires that you charge the full rental amount to the card and decline the rental agency’s collision damage waiver. Check your card’s policy to confirm eligibility and any exclusions.
Claim procedures vary by issuer, but common steps include:
- Take photos of the damage and obtain a police report if applicable.
- Notify your card issuer or insurer as soon as possible (many require notification within a short time frame).
- Complete the claim forms provided by the insurer and submit supporting documents: driver’s licence, rental agreement, repair estimates, and a credit card statement showing the rental charge.
- Wait for claim assessment and payout. Processing times vary by issuer, and some have specific deadlines for submitting claims.
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