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- How does credit card travel insurance work?
- What does credit card travel insurance cover?
- What is credit card travel insurance good for?
- How to file a credit card travel insurance claim
- Should you rely on credit card travel insurance or buy separate coverage?
- Which credit cards offer travel insurance?
- Is credit card travel insurance worth it?
- Frequently asked questions about credit card travel insurance
While many people choose a credit card based on attributes like a large welcome bonus or high rewards in the places they spend, travel insurance is a lesser-known perk that can be extremely valuable when traveling away from home. Coverage can vary significantly between issuers and cards, but commonly includes reimbursements for travel delays or cancellations, loss, damage or delays to your baggage, emergency medical and dental care, and emergency medical transportation and evacuation.
How does credit card travel insurance work?
Credit card travel insurance coverage can be incredibly valuable, but like with anything, it’s important to always pay attention to the fine print, as “covered reasons” can be specific and limited.
Two popular cards offering trip insurance, card_name and card_name, for example, cover “accidental bodily injury, loss of life, or sickness experienced by the cardholder, a traveling companion or an immediate family member of the cardholder or a traveling companion.” If you dig through the fine print, however, Chase also states that the accidental bodily injury or sickness must be considered life-threatening or require hospitalization. So, in short, if you catch the common cold during a trip and want to head home early, you likely won’t be covered. If you’re hospitalized for a more serious sickness, though, you may receive reimbursement. Note, however, that you have to actually be sick for the insurance to kick in. The threat of illness, or the outbreak of an epidemic in the location of your trip, is very unlikely to be covered by credit card trip insurance or any other trip insurance for that matter – even if the CDC or WHO issues travel warnings and bans. For example, a COVID outbreak in the area you are traveling to is unlikely to be considered a covered reason.
Sometimes airlines and hotels will adjust their trip change policies in response to a global crisis. In these cases, it’s not that you’ll get your money back necessarily, but you can possibly alter your trip to another place or date without paying the typical fee to do so. Your best bet is to call your airline or hotel directly and see if they’ll work with you.
What does credit card travel insurance cover?
Coverage can vary greatly between issuers and cards, but some things commonly offered include:
- Trip delay insurance: If your covered trip has been delayed for a specified period of time, trip delay insurance could provide reimbursement for covered expenses, including meals and lodging.
- Trip cancellation/ interruption insurance: This coverage is used if your trip is cancelled or cut short by sickness, severe weather, and other covered situations; you can be reimbursed for your covered travel expenses up to a specified amount.
- Car rental insurance: Car rental collision damage coverage provides reimbursement for theft and collision damage for covered rental cars in the U.S. and abroad, depending on the specific coverage offered by the card. Usually, this coverage requires you to decline the rental company’s collision insurance and charge the entire rental cost to your card. Depending on the particular card, the coverage is usually applied as either primary or secondary insurance on the rental. With primary coverage, the insurance is applied without incorporating your personal insurance coverage, while with secondary coverage, the credit card insurance is applied as supplemental coverage after your personal insurance. Note that even on cards that offer this, some countries may be excluded from this coverage.
- Delayed baggage insurance: Delayed baggage insurance provides coverage if your checked baggage is delayed for a specified period of time. The coverage typically provides reimbursement for necessary personal or business expenses while you wait for your baggage if delayed by a common carrier with certain restrictions and exclusions.
- Lost luggage reimbursement: Lost luggage reimbursement insurance can be used if your checked or carry-on luggage is damaged or lost by the carrier. It typically provides for reimbursement up to a specified amount by the card provider.
- Roadside assistance: A common benefit offered by premium rewards credit cards is a form of roadside assistance. Coverages vary widely from card to card, but can include services like providing help if you need a jump start on the side of the road, while some cards only provide help in arranging assistance (not the roadside assistance itself).
What is credit card travel insurance good for?
Credit card travel insurance is best for things like severe weather interruptions, everyone in your party getting sick the day before your departure, trip delays, and lost luggage. What’s great about this perk, though, is if your credit card offers any type of travel insurance benefits, you’re automatically entitled to them as long as you pay for your trip expenses with that card. There’s no signing up or extra fees to worry about.
How to file a credit card travel insurance claim
Each issuer has different policies regarding filing a claim, but the process is similar no matter which card you hold. Visit the online claim center for your issuer.
When you file a claim, you’ll be asked to fill out information with the details of what occurred, along with any supporting documentation, such as a doctor’s note, any receipts showing how much you paid for the expense, and any other relevant information. You’ll also be asked to include the date the loss occurred and any other supporting information.
Once submitted, it can take anywhere from a week or more to hear back about your claim. Sometimes you might be asked to provide additional information, which can further extend the time it takes to receive a decision on your claim.
Should you rely on credit card travel insurance or buy separate coverage?
Whether or not you should rely solely on your credit card’s travel insurance for enough coverage will depend on both the trip you’re taking and the coverage available on your card. For example, if you’re traveling abroad with a big group and plan on renting a minivan, that might not be covered. Certain luxury vehicles may also be excluded, and even certain countries may not be covered by your credit card car rental coverage.
Additionally, if you have a complex itinerary involving multiple stops or are trying to make a cruise sailing that requires travel to get there, it may make sense to buy more comprehensive coverage.
Another scenario where it may be worth buying additional coverage is if you’re traveling somewhere that isn’t close to good medical facilities. You may want to consider separate emergency evacuation coverage or similar protection just in case of a problem.
Which credit cards offer travel insurance?
Card issuers don’t always highlight benefits like travel insurance, but if it’s a perk that comes with your credit card, it’s an incentive worth digging through the fine print for next time you’re planning a trip. Some of our favorite credit cards offering travel insurance include:
card_name
The card_name has some of the most extensive travel insurance coverage offered by a credit card, including:
- Auto rental collision damage coverage, which provides reimbursement up to $75,000 for theft and collision damage for rental cars in the U.S. and abroad
- Roadside assistance up to $50 per incident, up to four times a year
- Trip cancellation/interruption insurance up to $10,000 per person and $20,000 per trip for your pre-paid, non-refundable travel expenses
- Trip delay reimbursement up to $500 per ticket if you’re delayed more than six hours or require an overnight stay
- Baggage delay insurance up to $100 a day for five days for baggage delays over six hours
- Lost luggage reimbursement up to $3,000 per passenger
- Emergency medical and dental reimbursement up to $2,500 for medical expenses if you or your immediate family member becomes sick or injured more than 100 miles from home
- Emergency evacuation and transportation coverage up to $100,000
This card does have a relatively steep annual fee of annual_fees, but has features in addition to travel insurance which can help to offset that fee, including a generous new card member bonus, lounge access, and an annual travel credit.
card_name
With a much more affordable annual_fees annual fee, the card_name offers less extensive coverage than the card_name, but it’s valuable coverage nonetheless.
The card_name includes:
- Trip delay reimbursement up to $500 per ticket if you’re delayed more than 12 hours or require an overnight stay
- Trip cancellation/interruption insurance up to $10,000 per person and $20,000 per trip for your pre-paid, non-refundable travel expenses
- Baggage delay insurance up to $100 a day for five days for baggage delays over six hours
- Lost luggage reimbursement coverage up to $3,000 per covered passenger
- Travel accident insurance up to $500,000
- Auto rental collision damage coverage, which provides reimbursement up to $60,000 for theft and collision damage for most rental cars in the U.S and abroad
card_name
card_name includes:
- Trip cancellation/interruption insurance of up to $10,000 per trip and $20,000 per card for prepaid, qualifying non-refundable travel expenses
- Lost luggage insurance with reimbursement up to $2,000 per covered person for checked luggage and up to $3,000 per person for carry-on luggage
- Secondary rental car coverage up to $75,000 per rental agreement for damage or theft
- See Rates and Fees
This card’s annual fee is also steep, at annual_fees, but it comes with a number of great travel benefits to help offset it such as statement credit of $120 for Global Entry or up to $85 for TSA PreCheck application fees; access to the Global Lounge Collection® (for eligible card members), including Centurion Lounge locations around the world; and up to $200 statement credit per calendar year in baggage fees and more at one qualifying pre-selected airline (enrollment required). See Rates and Fees
card_name
This card has a manageable annual_fees annual fee and is loaded with great travel benefits, including:
- Trip delay reimbursement
- Trip cancellation/interruption reimbursement
- Baggage delay insurance provides reimbursement
- Lost luggage reimbursement
- Emergency evacuation coverage
- Auto rental collision damage waiver
- Roadside dispatch program
card_name
The card_name has a very reasonable annual fee of only annual_fees. Some of its travel protection perks include:
- 24-hour travel and emergency assistance services
- Travel accident insurance, which provides automatic insurance for a covered loss at no extra charge when you use your credit card to purchase your fare
- Auto rental collision damage waiver, which offers insurance coverage for rentals, providing reimbursement for the actual cash value on damage due to collision or theft on most rental vehicles
Is credit card travel insurance worth it?
Credit card travel insurance is absolutely worth it. The coverage provided is included with the annual fee to the cardholder and is not an additional expense. It’s a great perk that many cardholders don’t even realize they have access to. There are exceptions, however, so people with specific needs/concerns might still want to purchase supplemental travel insurance for larger or more expensive trips.
Frequently asked questions about credit card travel insurance
Is credit card travel insurance enough?
Depending on the specific coverage and benefits that come with your specific credit card, that travel insurance may be enough for your needs. However, there’s no way to know what could happen on a trip, and supplemental coverage might be worth the extra expense. The best credit card travel insurance is the one that’s right for the way you travel. Your risk tolerance and type of trip will dictate what coverage is best for you.
How do I know if my credit card includes trip cancellation insurance?
If you’re wondering, “Does my credit card have travel insurance?” know that your credit card issuer will often include the details of any benefits it offers, like trip cancellation insurance, on the main website for the card and offer the details within the Guide to Benefits. Keep in mind that trip cancellation insurance does not mean you can cancel for any reason. Review your terms and conditions to know what is and isn’t covered.
Does credit card travel insurance cover family members or companions?
Often, credit card travel insurance will cover family members and companions traveling on the same reservation as you, booked with your card. However, specific terms and details will vary by card, so it’s worthwhile to understand the details of your card’s coverage.
Should you buy supplemental travel insurance coverage if you already have insurance through your credit card?
The insurance offered by credit cards can be quite useful, but it is not exhaustive. Depending on the issuer and card that you use to pay for a trip, there are usually limitations and exclusions in the fine print. For the most comprehensive coverage, which can include cancel for any reason (CFAR) coverage, the safest bet would probably be to pay for your travel expenses with a credit card that includes travel insurance, and then purchase supplemental travel insurance on top of that. That way, your bases are covered.
You may get to take advantage of the coverage provided by your credit card insurance– maybe it’ll even cover your entire loss if something goes wrong; however, if something goes really wrong, it won’t hurt to have some extra protection.
Your specific travel plans (non-refundable vs. refundable reservations) and risk tolerance can help determine if using only the travel coverage provided by a credit card is sufficient or if you should purchase additional coverage.
See Rates and Fees for the CardName
