Most credit cards offering travel protection require that your entire trip is charged on their card to apply coverage. Some also provide optional upgrades like “cancel for any reason” coverage which reimburses nonrefundable expenses should an unexpected cancellation take place.
However, there may be circumstances in which your travel insurance won’t cover you; for example if your Covid test result is unacceptable.
Trip Cancellation & Interruption
Coronavirus-related cancellations will depend on the terms of your travel insurance policy; generally speaking, most cards provide trip cancellation and interruption coverage for cardholders, spouses or dependent children who charge all or part of the cost to their credit cards.
Huffman notes that some policies cover cancellation due to doctor-ordered quarantine as an acceptable reason for canceling travel plans, such as American Express Platinum Card or Chase Sapphire Reserve policies that cover up to three travelers for this reason (ie: The Platinum Card from American Express and Chase Sapphire Reserve cover cardholder and up to two traveling companions unable to travel due to quarantine order by a physician or government agency).
To file a claim, you’ll require documents like receipts and weather advisories to prove the expenses you incurred were valid. Your credit card’s benefits administrator may accept these electronically while in other instances it might require meeting face to face or mailing paper copies directly to them.
Trip Delay
Credit card travel insurance policies typically provide trip cancellation and interruption coverage that reimburses non-refundable expenses prepaid when an insured event disrupts a trip – such as health issues, severe weather, terrorism or mandatory hotel quarantines.
Most cards that include trip insurance also provide trip delay coverage, though this doesn’t typically kick in until your mode of transport has been delayed for 12 hours or more and requires an overnight stay. Some cards even provide secondary auto rental collision damage coverage and emergency evacuation assistance.
Some premium travel credit cards provide “cancel for any reason” coverage that allows you to cancel up to 48 hours before departure and still receive reimbursement of eligible, prepaid expenses. Although this type of insurance has higher limits than traditional policies, it’s still important to read through its fine print carefully in order to understand any restrictions or limitations that apply.
Medical Expenses
Credit card travel insurance can help cover costs that your standard health or personal injury policies don’t, like medical care in a foreign country, as well as providing extra coverage against cancellation fees and lost luggage.
Some cards provide both travel medical and trip protection coverages; others only one. Both typically include emergency medical and evacuation benefits as well as potentially higher benefit limits than standalone third-party policies.
Medical expenses coverage provides reimbursement for pre-paid, non-refundable medical and dental expenses such as hospitalization, ambulance transport, repatriation of deceased beneficiaries or death benefits, prescription medication costs and more. Some cards also come equipped with travel accident insurance that works similar to accidental death and dismemberment coverage in that it pays out an up to the policy limit lump sum in case you’re injured or killed during travel up to your policy limit; rental car coverage reimburses in cases where it becomes damaged or stolen during use of rental cars.
Rental Car Insurance
Many credit cards offer rental car insurance coverage that allows you to avoid expensive policies sold at the counter, however these policies generally only provide secondary coverage and require you to file a claim with your auto insurer first before filing with theirs. Furthermore, these policies often have caps on how much the card will reimburse in case your trip is delayed or canceled as a result of COVID-19 regulations.
Similar to how “cancel for any reason” travel protections work, card’s “cancel for any reason” policies typically only cover jury duty, severe weather events, terrorism and doctor-imposed quarantines as cancellation reasons – fear of outbreak is typically not covered, even with premium travel cards like Chase Sapphire Reserve.
Your credit card’s travel protections may vary significantly between cards, as outlined in your card agreement. For optimal results, familiarize yourself with these coverages prior to booking any trips so you can make an informed decision as to whether this type of protection fits with you and your family’s travel needs.
