There are many credit card travel insurance benefits, including trip cancellation/interruption coverage, primary auto rental coverage, lost luggage reimbursement and more. Unfortunately, however, many cards require you to use them when paying for travel if they want coverage, with certain limits and exclusions possibly applying.
Card-specific travel protections vary significantly based on issuer and card. To make sure you’re covered, familiarize yourself with your coverage before embarking on your trip.
Cancellation and Interruption Coverage
Credit card travel insurance typically reimburses non-refundable expenses you charged to your card if your trip is canceled or cut short, such as flights, hotels and tours charged to it. Depending on the card’s specific policies, coverage can extend to family members traveling with you at the time of the incident; however this type of policy typically excludes certain circumstances such as job loss, terrorism or jury duty.
Credit cards that provide travel protection usually do not offer comprehensive coverage and often have lower benefit limits than an independent policy purchased separately. Therefore, travelers with premium credit cards that include trip cancellation and interruption insurance might want to consider purchasing an additional policy to supplement their coverage; if their trip is domestically priced however, additional coverage might not be needed since many credit card travel policies can reimburse up to $1,500 in reimbursement per covered person already included within their policies.
Emergency Medical Coverage
Many credit cards that include travel insurance also provide medical coverage as a stand-alone or as an added feature of card benefits, either as an independent benefit or part of their package of benefits. These policies can reimburse medical expenses incurred while traveling and assist with emergency transportation home when necessary; to qualify you must typically purchase your trip using your card and remain an eligible cardholder; limits tend to be lower than standalone policies but can still prove helpful if an unexpected trip interruption or cancellation arises.
Some cards also provide rental car collision damage coverage or reimburse for lost luggage, though these typically serve as secondary coverages to your primary auto or homeowners insurance policies. For more comprehensive protection, supplemental travel insurance policies should be purchased. If you’re planning a trip, check your credit card’s benefits guide to see which protections and limits may apply.
Rental Car Coverage
Credit cards often provide car rental collision damage waiver coverage, enabling you to forego paying any additional insurance offered by rental agencies. Depending on the card and country in which you travel, this coverage may also extend to liability charges.
The top travel credit cards usually offer extensive rental car coverage, often considered secondary insurance as it kicks in only after you have exhausted other sources (like auto or travel policies) of protection ( like your auto policy or separate travel insurance policies ). Before renting your vehicle, carefully review your card’s benefits guide in order to learn about which types of rentals are covered and how to file claims should an accident occur.
Some credit cards, like Chase Sapphire Reserve(r) and Capital One Venture X Rewards Card, provide travel medical and emergency evacuation coverage, allowing you to avoid expensive healthcare bills should something go wrong on your trip. However, these policies tend to provide more comprehensive protection and may come with higher maximum costs that will be covered.
Trip Delay Coverage
Credit card trip delay coverage covers expenses you incur during an unexpectedly delayed flight, such as meals, accommodations and transportation expenses. Depending on your policy, up to $500 per ticket could be reimbursed in terms of reimbursement claims for food, accommodation and transport expenses incurred due to your delay. Some cards such as the Marriott Bonvoy Bold Credit Card provide unlimited travel delay reimbursement claims while others restrict them to two per 12-month period.
This benefit applies to travel booked on common carriers such as airlines, ferry operators and passenger railroads. Policies vary in their requirements for receiving compensation: some cards require delays lasting 12 hours or more before offering benefits while others only cover delays that require overnight stays.
Even though a variety of cards provide travel insurance benefits, it’s essential that you compare coverage limits and deductibles of each to find one best suited to your needs. Also take note of any annual fees charged by those offering such benefits – these will help determine which credit card will meet this goal best.
