Credit card travel protection varies wildly by card and provider. Cardholders looking for comprehensive coverage can purchase standalone medical or trip cancellation insurance policies to maximize coverage limits.
Many premium travel cards include trip cancellation and interruption coverage, baggage loss/damage coverage, rental car collision damage waivers and emergency medical evacuation/assistance services as part of their benefits package. It’s important to know exactly which provisions these travel cards cover before making decisions based on them.
Coverage
Many credit cards provide travel insurance, although coverage varies by card. Some provide only trip cancellation and interruption protection while others include rental car collision damage waivers, travel accident insurance and emergency medical evacuation support – though typically only when booking travel using that specific credit card, and annual fees may apply.
Credit cards typically offer three types of travel insurance policies to protect travelers on trips: cancellation/interruption protection, trip delay insurance and lost luggage reimbursement. Some cards even provide additional medical coverage and emergency assistance services such as translation services and transportation support.
Johnson uses her credit card travel insurance when an unforeseen snowstorm disrupts her vacation plans and finds it convenient to file claims online. But, due to exclusion of preexisting conditions and insufficient coverage of expenses like her primary health plan deductible, she still purchases an independent travel medical plan separately.
Limits
Credit card travel insurance policies often contain specific restrictions that should be noted before purchasing coverage. For example, most cards only cover trip cancellation if it occurs for an approved reason (which varies between card providers), while medical emergencies up to a certain limit are covered; others only offer coverage to immediate family traveling with the cardholder and rental car damage claims only apply when the primary driver of their credit card policy. Understanding these limitations is important in planning travel accordingly.
Exclusions
Credit card travel protection plans generally do not cover high-risk activities like adventure sports or travel to countries with government advisories or conflict zones. They also may offer less comprehensive protection for other issues related to travel such as lost luggage, trip delays or cancellations and changes in financial circumstances.
Furthermore, many cards feature deductibles and coverage limits that should be carefully considered when comparing coverage options. Some credit cards provide benefits like trip cancellation coverage that reimburses nonrefundable prepaid travel expenses; however, this reimbursement is typically limited by amount paid back each time a trip is cancelled; furthermore, credit card insurance typically doesn’t provide preexisting medical condition coverage so independent travel insurance might provide better coverage than what a credit card policy might.
Payments
Most credit cards offer some form of travel coverage, though not all provide comprehensive protection. The ideal travel insurance offers flight accident and trip delay protection as well as rental car collision damage waiver coverage and emergency medical evacuation and repatriation coverage in case travelers require emergency transport due to illness or accident.
In order to maximize the benefits of your card’s travel insurance, you must submit a claim within the specified timeframe. When filing, be sure to submit all receipts and key documentation including correspondence from travel service providers that does not reimburse, doctors’ notes or police reports as needed.
Johnson’s credit card includes some travel insurance coverage, but not everything she would like reimbursed for. Because of this, she purchases an annual plan with travel medical coverage as an add-on. Johnson advises other travelers to read all fine print before choosing their card’s benefits and read any fine print regarding coverage before selecting one.
