Does a credit card Collision Damage Waiver insurance apply for peer to peer car-sharing like Getaround and Turo
Getaround (my Review of the service) has recently changed its insurance policy. Instead of the full coverage for liability (damage you do to others) and a collision damage - this is the insurance policy.
Renters are covered in our insurance policy up to the liability limits carried by the vehicle owner or with a combined single limit of three times the state minimum, whichever is greater. Car owners are covered up to a combined single limit of $1,000,000 for liability. Coverage includes personal liability for the renter, third-party liability for passengers and other affected parties, and third-party property damage arising from a car accident.
Comprehensive and Collision Coverage
The comprehensive and collision coverage provided protects the owner's vehicle in the event of an accident. This covers for theft, fire, vandalism, weather damage, and any damage to the vehicle in the event of an accident up to the actual cash value of the vehicle.
However now a damage fee applies.
In the event of any loss or damage to the car, or any personal property or bodily injury claim, that occurs during the rental period due to any cause regardless of fault, including, but not limited to, collision, rollover, theft, vandalism, seizure, fire, flood, hail or other acts of nature or God, the renter is held responsible, and is required to pay Getaround a fee of $1000. For Exotic and Classic cars, a fee of $2500 applies. In the event a renter has violated Getaround's Terms of Service, the fee does not apply, and the renter may be held responsible for the full amount of the claim.
Essentially Getaround is now using a deductible of $1,000 for standard cars and $2,500 for premium cars.
Turo does something similar - here is the policy information.
“Premium” Package: The renter's out-of-pocket exposure is limited to payment of a deductible of $500. When damage is reported, the renter will be charged $500, and if the total costs (direct costs of damage, plus all “Related Costs”, as defined below) are less than $500, the renter will be refunded the difference.
“Basic” Package: The renter's out-of-pocket exposure is limited to a payment of a deductible of $3000, under the same structure described in the Premium package.
“Decline Coverage” Package: The renter's financial responsibility is essentially unlimited, and is bounded only by the actual cash value of the car, plus all Related Costs. This means that if the car is lost, stolen, or damaged so extensively that the expected cost of repairs exceeds 75% of the actual cash value, the renter is responsible to pay the entire actual cash value of the car, plus all Related Costs, minus any residual salvage value.
But the question occurred to me - is your credit card collision damage waiver stepping in for a rental from a peer-to-peer device like Getaround or Turo? If so - they would cover the deductible, right?
Chase Cards Collision Damage Waiver insurance apply for peer to peer car-sharing like Getaround and Turo
My first call was to Chase and a friendly agent at the Chase Sapphire Reserve line greeted me with 'welcome VIP customer'. I asked what makes me a VIP customer and she said she does not know - but about 1 out of 10 customers shows as VIP for her.
The specialist that she connected me with spoke perfect English and right away told me that Getaround and Turo are EXCLUDED form any coverage (and a number of similar services). Quick answer and I pinned my hope on AMEX...
American Express Cards Collision Damage Waiver insurance apply for peer to peer car-sharing like Getaround and Turo
The AMEX rep connected me quickly as well. However 'insurance specialist' had never heard of GetAround or Turo and I needed to spell it out and explain a number of times. Eventually she called a supervisor and came back with a quick NO. Getaround rentals are not covered.
However Turo has a 'commercial fleet' (I have yet to use) and 'commercial rentals' are covered.
Citibank Cards Collision Damage Waiver insurance apply for peer to peer car-sharing like Getaround and Turo
My call to Citibank took much longer as the automated system would not understand my card number and once I had an 'insurance specialist' she spoke just broken English. It took us a couple of back-and-forth before she understood my request - eventually the query to a supervisor would yield the same outcome. No they are not covered!
While it is possible other credit cards may not exclude peer to peer car-sharing like Getaround and Turo - the major card issuers do and you likely have no coverage besides the one offered by the car sharing provider.