Rental car insurance: worth it or just a money grab?

My credit card covered the repair, but the rental company tried to tack on “loss of use” and admin fees. That part wasn’t covered, so I ended up paying out of pocket.

That’s exactly the part that always trips me up. I’ve read through my card’s benefits a few times, and there’s always some fine print about “loss of use” or “diminished value” that makes me wonder if I’m really as covered as I think. Did you ever get a clear answer from your card company about why those fees aren’t included? Or is it just standard that they only pay for direct repairs?

I get why people skip the extra insurance, but after reading stories like yours, I’m not sure it’s worth the risk. The admin fees especially feel like a gray area—almost like the rental company is just looking for ways to tack on extra charges. I guess the real question is, how much peace of mind is worth to you? For me, if I’m traveling with the family and don’t want to deal with paperwork or surprise bills, I’m leaning toward paying a bit more upfront. But it’s frustrating that it’s never as straightforward as it should be.

Man, I’ve run into that “loss of use” thing before and it’s such a pain. A few years back, I rented a car for a road trip and got a little fender bender—nothing major, just a scrape. My card covered the repair, but then the rental company hit me with a bill for “loss of use” and some random admin fee. I called my card company and they basically said it’s standard—they’ll pay for fixing the car, but not for the money the rental place claims they lost while the car was in the shop. Felt like a loophole to me.

Honestly, I usually skip the extra insurance because I figure I’m careful and my card’s got my back. But after that hassle, I started thinking twice, especially if I’m traveling somewhere unfamiliar or with family. Sometimes paying a bit more upfront is just easier than dealing with surprise charges later. Still bugs me how rental companies seem to invent fees out of thin air, though...

I get where you’re coming from, but honestly, I see it a bit differently. Here’s why I usually take the rental insurance, even if it feels like a money grab:

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“Sometimes paying a bit more upfront is just easier than dealing with surprise charges later.”

Yeah, it stings to pay more, but for me, it’s about avoiding hassle down the road.

Rental Car Insurance: Worth It or Just a Money Grab?

I get the peace of mind argument, and honestly, I’ve been on both sides of this debate. The first time I rented a car on my own, I declined the insurance because my credit card supposedly covered everything. I’d read all the terms, thought I was good. Then someone sideswiped the car in a parking lot—no note, just damage. The rental company hit me with not just repair costs but “loss of use” fees and some admin charge that wasn’t covered by my card. Took weeks to sort out, and I ended up paying more than if I’d just taken their coverage.

Since then, I tend to lean toward getting at least the basic insurance, especially if I’m traveling somewhere unfamiliar. It’s not just about the money—it’s the hassle factor. Dealing with claims, paperwork, and back-and-forth with both the rental company and my credit card issuer was a headache I don’t want to repeat.

That said, it does feel like a bit of a racket sometimes. The prices for insurance can be all over the place, and half the time the person at the counter is upselling you on every possible add-on. But after my experience, I’d rather pay a little extra upfront than risk another drawn-out dispute.

I guess it comes down to risk tolerance and how much you value convenience over saving a few bucks. For me, especially as someone who’s still pretty new to renting cars, the insurance is worth it—at least until I feel more confident navigating all those fine-print exceptions.

Rental Car Insurance: Worth It or Just a Money Grab?

That “loss of use” fee is the one that catches people off guard every time. I’ve seen it plenty—folks think their credit card covers everything, but the fine print almost always excludes admin fees, diminished value, or those pesky downtime charges. Had a case where a renter was sure their personal auto policy would pick up the tab, but the claim dragged on for months because the rental company wanted payment upfront and the insurer needed a mountain of documentation.

I get why people feel like it’s a racket, especially with the upsell pressure at the counter. But after seeing how messy these claims can get—especially if you’re out of state or in another country—I lean toward at least some level of coverage. The headache factor alone is huge. The only time I skip it is when I’m renting for work and know my company’s got bulletproof coverage lined up. Otherwise, I’d rather pay extra than end up arguing about terms and exclusions for weeks. It’s not perfect, but sometimes peace of mind is worth more than the savings.