Many credit cards provide travel protections such as trip cancellation and interruption insurance; however, these benefits only become available if all travel expenses are charged to the card.
This coverage reimburses nonrefundable travel expenses like airline tickets, hotel stays and guided tours in the event that your vacation is canceled due to illness verified by a physician, severe weather or another covered reason.
Coverage
Credit cards offering trip cancellation insurance may reimburse you for pre-paid and non-refundable expenses incurred should your trip have to be cancelled, depending on its coverage amounts and exclusions. Check your card’s guide of benefits to learn more.
Travel expenses purchased with credit cards that offer trip cancellation insurance are eligible for reimbursement, since card issuers specify which events might cause it to be canceled or interrupted – it is therefore essential that you know what types of events may cause such interruption in advance of making plans for a vacation trip.
Some credit cards provide cancellation coverage regardless of reason, while others only cover specific conditions like severe weather or bereavement of family. Some cards also don’t cover trips lasting over 60 days and preexisting medical conditions – to get the most from your travel insurance program, consider supplementing it with additional policies.
Exclusions
Credit card travel protection policies vary between issuers, but usually cover unexpected events like trip cancellations or interruptions as well as lost luggage coverage and rental car coverage. Understanding exactly what each policy covers and excludes is vital before booking your travel arrangements.
As an example, most credit card trip cancellation insurance only reimburses nonrefundable prepaid travel expenses purchased with their card, while many won’t cover trips cancelled due to preexisting medical conditions.
As part of selecting the appropriate travel rewards credit card with travel cancellation insurance, annual fees should also be taken into consideration. Premium cards may offer benefits that help offset this cost; additionally, many premium travel cards will only offer coverage to primary cardholders while other cards cover authorized users as well. Furthermore, coverage for specific destinations may not apply if booked through unaffiliated third parties.
Documentation
Credit cards that offer travel cancellation insurance may reimburse you in the event that your trip is interrupted for covered reasons, such as extreme weather patterns, terrorist acts or jury duty obligations – or due to illness or injury of either yourself or a traveling companion.
Your card issuer usually provides an extended reimbursement timeframe and you should submit all pertinent documentation, such as receipts, correspondence with travel providers, medical records and police reports to support your claim. A benefits administrator will walk you through each step necessary to submit it successfully while many card issuers now offer online claim filing for added convenience.
Third-party travel insurance policies offer similar protection; they’re just not tied directly to any qualifying credit card. These can be particularly helpful for medical coverage in remote locations where your card might not provide enough coverage.
Claims
Credit card travel insurance typically reimburses you for nonrefundable travel expenses if your trip is canceled or interrupted due to illness, injury or severe weather. Usually refunds from travel providers must first be pursued before filing a claim with your card issuer.
To file a claim, contact your card issuer’s benefits or claims department or visit their website (contact numbers and web addresses can be found in your cardholder benefits guide). Keep in mind there may be time limits associated with making your claim.
Generaly speaking, credit cards with trip cancellation insurance cover common carrier fares, tours and accommodations while other cards may offer more extensive coverage, including medical evacuations and transportation services. For optimal protection consider cards with annual fees between $300 to $500 or purchasing a supplemental travel policy that’s less costly – these plans can typically be bought online in minutes!
