+1

Sometimes I charge my car rental to my card and then, if nothing happens, use points for reimbursement. So, in essence, insurance costs me the 20% bonus I would get if I paid with points to start with.

But, usually, I save my points for paying for airfare and get the 20% bonus (when the cost of airfare make it better than an award ticket .... which, unfortunately, doesn't happen much anymore).

FYI - Edited to add:

With the Chase Sapphire Premier credit card when you use your Ultimate Rewards to book travel directly (air, hotel, car, etc) thru the Chase Ultimate Rewards site, you get a 20% bonus; for example, a $50 car rental requires just 4000 points. However, if I charge the rental to the card and then later reimburse myself using points (thru the "Pay Yourself Back" option), a $50 credit requires 5000 points.

But that's with the Chase Sapphire Premier credit card. If you have the "regular" Chase Sapphire credit card, you don't get that 20% bonus.

So, bottom line is, if you have the "regular" card, you should always charge the car rental to the credit card and then, if nothing happens, use points for reimbursement.

In hindsight, I guess I could/should have mentioned that ....