Some credit cards make changes by adding new benefits. Others make changes by taking benefits away.
The Fidelity Rewards Visa Signature Card is doing both.
Fidelity recently notified cardholders that it’s adding a pair of travel-related benefits while eliminating two existing protections at the beginning of 2027. It’s not an across-the-board improvement, but the shuffle makes this already-solid 2% cash-back card even more interesting for travelers.
In fact, it raises a reasonable question: Is the Fidelity Rewards Visa now the best no-annual-fee card on the market?
What Fidelity Is Adding
The first addition is one complimentary year of National Car Rental Emerald Club Executive status. Cardholders need to enroll by December 31, 2026, making this more of a limited-time offer than a permanent card benefit.
Executive status provides access to the Executive Area at participating National locations, where members can reserve a midsize car and choose from a broader selection of vehicles. Members also earn a free rental day after six rental credits instead of the usual seven.
That’s a worthwhile perk for anyone who rents from National, although it’s probably not a reason by itself to get the card. Several premium travel cards already offer National Executive status, but it’s unusual to see it on a no-annual-fee card.
The more interesting addition is Emergency Medical and Dental Coverage.
When cardholders use the Fidelity Rewards Visa to purchase an eligible trip, they can be reimbursed up to $2,500 for emergency medical or dental expenses caused by an illness or accidental injury. The deductible is $50, and the coverage also extends to a spouse or domestic partner and eligible dependent children.
This isn’t comprehensive travel medical insurance. The trip generally must be at least three days, no more than 60 days and at least 100 miles from home. The coverage is also secondary to any other valid insurance or reimbursement.
Still, $2,500 could pay for an overseas doctor visit, emergency dental treatment or a relatively minor hospital bill. It’s a legitimate insurance benefit covering an expense that airlines, hotels and other travel providers generally aren’t going to reimburse.
That’s impressive for a no-annual-fee card.
What Fidelity Is Taking Away
Beginning January 1, 2027, the Fidelity Rewards Visa will no longer offer Purchase Security or Lost Luggage Reimbursement.
Purchase Security currently covers eligible new purchases for 90 days against theft and certain types of damage. Coverage is limited to $500 per claim and $50,000 per cardholder.
Of the two disappearing benefits, this is probably the more significant loss. Purchase protection can apply to many different types of purchases, like when your dog chews the zipper on your new bag, and doesn’t depend upon something going wrong during a trip.
The elimination of Lost Luggage Reimbursement sounds like a major travel downgrade, but I’m not convinced it will matter to many cardholders.
How Valuable Was Lost Luggage Reimbursement?
The existing benefit provides up to $3,000 when checked or carry-on baggage is lost or stolen during an eligible trip. However, this doesn’t cover a bag that arrives several hours or even several days late. The luggage must be lost or stolen.
If an airline permanently loses a checked bag, the airline is already responsible for reimbursing the passenger, subject to its applicable liability limits. The Fidelity benefit is secondary, so it only covers eligible losses remaining after reimbursement from the airline, personal insurance or another source.
There’s also a lengthy list of exclusions. Among other things, the benefit doesn’t cover cameras, cell phones, business equipment, cash, travel documents, eyeglasses or cosmetics. Those exclusions remove many of the items travelers would be most concerned about losing.
I’m sure there are situations where the benefit could be useful. But how often does an airline permanently lose a bag, fail to reimburse the passenger fully and leave behind eligible expenses that aren’t excluded by the card’s coverage?
It happens, but probably not very often.
That makes Lost Luggage Reimbursement a reassuring benefit to see listed in a card’s Guide to Benefits, even if relatively few cardholders will ever receive money from it.
The Fidelity Card Already Had Some Unusual Travel Benefits
These changes come after Fidelity has spent the past several years quietly improving its card.
As I explained in my full review of the Fidelity Rewards Visa Signature Card, it earns 2 points per dollar on eligible purchases. Those points are worth 2% cash back when deposited into an eligible Fidelity account.
The card has no annual fee and no foreign transaction fees. It also provides up to $100 in reward points once every four years when cardholders pay an eligible Global Entry or TSA PreCheck application fee.
Then there’s the rental car coverage.
The Fidelity Rewards Visa provides Auto Rental Collision Damage Waiver coverage of up to $75,000 for eligible rentals lasting up to 31 consecutive days. The coverage is secondary when renting within your country of residence if you have applicable personal auto insurance.
However, the Fidelity Guide to Benefits says the coverage becomes primary when renting outside your country of residence. That makes it much more useful for international rentals than I initially gave it credit for.
Is It The Best No-Annual-Fee Card?
There’s no single best credit card for everyone.
Some no-annual-fee cards earn more in specific categories. Others offer introductory bonuses, 0% APR periods or rewards that can become transferable points when combined with another card. If you’re willing to carry several cards and remember which one earns the most for each purchase, you can certainly do better than 2% in many situations.
But that isn’t where the Fidelity Rewards Visa shines.
This card is designed for someone who wants to put almost everything on one card without worrying about bonus categories, monthly credits or an annual fee. It earns 2% back on purchases when rewards are deposited into an eligible Fidelity account, doesn’t charge foreign transaction fees and now includes a surprisingly useful collection of travel benefits.
After the changes, cardholders will have rental car coverage that can become primary internationally, a Global Entry or TSA PreCheck benefit, limited emergency medical and dental coverage and, at least temporarily, National Executive status.
That’s an unusually strong package for a no-annual-fee 2% card.
Final Thought
Losing Purchase Security is a legitimate downgrade. Losing Lost Luggage Reimbursement looks more significant on paper than it’s likely to be in real life, particularly because airlines already reimburse passengers for permanently lost luggage and the card’s secondary coverage contains numerous exclusions.
In exchange, cardholders get emergency medical and dental coverage that could pay for an expense no airline will cover. The complimentary National Executive status is also a nice addition, even if it’s only available for one year.
I don’t know whether I’d call the Fidelity Rewards Visa the best no-annual-fee card for everyone. But for someone who already has an eligible Fidelity account and wants a single, uncomplicated card that earns 2% at home and abroad, it may now be the best all-around option.
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