Before making your choice, it’s essential to assess your individual travel needs when choosing between standalone travel insurance or credit cards offering complimentary coverage. While many cards include limited benefits like trip delay/cancellation coverage as well as rental car coverage, it may not meet all of them.
Exclusions, minimum spend requirements and age limitations may also apply.
Coverage for pre-existing conditions
Credit card travel insurance typically offers protection against medical emergencies, trip cancellation or interruption and lost or delayed baggage – though its exact features vary widely depending on the issuer and card used for travel.
Benefits may include emergency medical and hospital coverage (although pre-existing conditions aren’t always covered), trip cancellation coverage, legal liability protection and rental car collision damage waiver coverage. Most cardholders and immediate family members qualify, though age limits may apply.
Some cards provide coverage for other incidents while traveling, including theft and lost personal items. But bear in mind that credit card policies tend to offer less extensive protection. Before embarking on your next trip, review your cardholder’s guide of benefits in order to understand what’s included and excluded.
Exclusions for high-risk activities
Credit card travel insurance can provide valuable support in times of emergency travel, but it is vitally important that travelers read the fine print carefully to understand exactly what coverage is excluded. For instance, many cards only provide trip cancellation coverage under specific conditions while medical coverage typically only lasts a limited amount of time before becoming ineligible due to preexisting conditions or waiting too long before beginning treatment.
Consideration should also be given to the annual fee of any credit card as this can add significantly to the overall cost of coverage. Therefore, it’s advisable to compare credit card travel insurance offerings against standalone policies before selecting your ideal policy. Keep in mind that cards with lower annual fees typically offer less extensive coverage and some low-cost cards don’t even include rental car or luggage protection as standard features.
Coverage for pre-existing medical conditions
Some credit cards include travel protection benefits that reimburse if you must cancel or shorten your trip due to pre-existing medical conditions that were treated prior to purchasing insurance and have an inception period of up to three years. Other benefits may include roadside assistance reimbursement for damage done to rented cars as well as lost passports or travel documents.
Credit card travel insurance doesn’t cover every expense, however. A basic plan typically won’t reimburse for trip cancellation or interruption costs related to known hazards like Covid-19; additionally, preexisting medical conditions that arise during your journey might not be covered unless a waiver has been secured beforehand.
Coverage for lost or damaged baggage
Credit card travel protections may provide peace of mind if your airline loses your luggage, or your flight is delayed due to bad weather, yet coverage varies by card issuer and it’s essential that you understand any exclusions that could exist.
Some cards also provide rental car collision damage waivers and emergency evacuation assistance; these benefits typically apply only to expenses charged on the card and come secondary to any other insurance policies you might already possess.
Credit card travel protections often don’t cover activities deemed high-risk by credit card issuers – such as extreme sports or traveling to destinations subject to government advisories or conflict zones – or preexisting medical conditions; as well as lower claim limits than standalone policies could make credit card insurance less comprehensive than standalone policies; so for optimal protection it is wise to combine credit card travel protections with an annual travel insurance plan.
Coverage for emergency medical evacuation
Travelers looking for coverage against unexpected events that interrupt their trip should look beyond credit cards for coverage, like Seven Corners Trip Protection policies that include emergency medical evacuation. Medevac services allow travellers to be quickly taken from resource-poor regions to a hospital that can offer them appropriate treatment.
The most comprehensive credit cards cover up to $100,000 of medical and transportation costs, plus repatriation (transport back home). While this level of coverage might be sufficient for some, others may need additional protection; paid travel insurance can offer up to 20 times greater coverage.
