diff --git a/litellm/proxy/management_endpoints/key_management_endpoints.py b/litellm/proxy/management_endpoints/key_management_endpoints.py
index cd9dabbc34f..df5c5aae6b4 100644
--- a/litellm/proxy/management_endpoints/key_management_endpoints.py
+++ b/litellm/proxy/management_endpoints/key_management_endpoints.py
@@ -1862,7 +1862,11 @@ async def regenerate_key_fn(
             user_api_key_cache,
         )
 
-        if premium_user is not True:
+        is_master_key_regeneration = data and data.new_master_key is not None
+
+        if (
+            premium_user is not True and not is_master_key_regeneration
+        ):  # allow master key regeneration for non-premium users
             raise ValueError(
                 f"Regenerating Virtual Keys is an Enterprise feature, {CommonProxyErrors.not_premium_user.value}"
             )