Rental Car
 

I have both TD Gold Elite and MBNA Smart Cash, both has insurance for coverage rental car.

I was in LA last month and was told by AVIS Rental Company that the State of California requires to purchases extra coverage my credit card doesn't cover.

I declined and later I signed saying that I declined etc...

So I am wondering. Was that a BS from the AVIS Rep saying the State of California requires extra coverage that Credit Cards doesn't cover?

Probably. If you read the fine print on your TD Visa rental car insurance policy, it says something to the effect that it only applies if you decline the insurance offered by rental company.

The Cardholder must decline on the rental contract the CDW option or its equivalent
offered by the Rental Agency. (The VISA Collision/Loss Damage Insurance coverage
does not pay for the premium charged by the Rental Agency for the CDW offered by the
Rental Agency).

Hmm, Of course I declined the Collision/Loss Damage Insurance, (by not purchasing their C/LDI isn't like a way of declining it?) I said, no thanks, my credit card covers that.

The they ask, State of California requires us to purchase XXX insurance, Possible its a Third Party Liability one? But isn't our ICBC covers that?

they're on commission, so that is the reason why he pressured you to buy something.

Last time I was in Seattle, same deal, so I paid the extra $15/day for extended liability insurance. ICBC Roadstar should give you $1 million liability, but I was unsure of whether it worked across the border or not. Credit card LDW/CDW is usually superior to the one they sell you because it has no deductible, there's no paperwork for you to fill out, and the credit card company will (in my experience) always refund you your money way faster than any other coverage (basically just email them the rental agreement + incident report and they revert the charges)

1. Requirement to purchase "xxxx" insurance - No. This is BS. There is no state law stating this. dhillon09 nailed it with his explanation.
2. I recommend you check your insurance through ICBC, but if you buy Roadside Plus, it covers rental insurance. :)