With a credit card with travel protections, you may be entitled to reimbursement in certain losses or situations. Each card offers different coverage; some provide trip cancellation and interruption insurance while others cover medical expenses or provide rental car collision damage waiver coverage.
To qualify for coverage, it is necessary to charge your trip directly onto a card; coverage limits vary according to each card issuer.
Coverage
Credit cards provide travelers with various travel protections, from lost luggage and cancellation coverage to comprehensive medical and evacuation assistance services. It is wise to read all fine print before relying on these perks.
Many credit card travel insurance policies require payment of at least part of your trip with their card in order to activate coverage, with adults aged 18 or over qualifying as covered passengers and certain items such as hearing aids, artificial teeth, prosthetic devices tickets and jewelry typically not covered.
Credit card travel insurance benefits typically include loss of baggage and travel accident coverage, which typically cover accidental deaths or dismemberments as well as speech, sight or limb loss or dismemberment. Some policies even reimburse part of your primary health plan’s deductible amount; additional coverages such as cancellation and delay coverage as well as rental car protection may also be included in a policy’s benefits package.
Exclusions
Credit card travel insurance can help cover unexpected or unforeseen events, but it’s essential to understand its limits and restrictions. While credit cards with travel protection typically offer similar coverage as standalone policies, their annual fees tend to be higher due to them.
Chase Sapphire Reserve and American Express’ Platinum Card are two popular credit cards with travel benefits, offering travel accident/trip cancellation/rental car collision damage insurance as well as rental car collision damage waiver. Unfortunately, certain activities like extreme sports or trips to countries with government advisories are excluded from coverage.
Other exclusions may include non-emergency medical care that isn’t administered by a healthcare professional and travel to locations deemed unsafe for tourists, while some travel credit cards don’t cover rental car theft. Get personalized credit card offers quickly by finding your CardMatch(tm) with Bankrate and participating partners in four steps, without impacting your credit score!
Claims process
Credit card travel insurance provides various protections. Some cards provide trip cancellation and interruption insurance, baggage loss/delay coverage and auto rental collision damage waivers; while others provide medical evacuation and emergency assistance services. But these benefits only apply if using your card to pay for travel expenses.
Some credit cards offer travel accident insurance that provides coverage for injuries or deaths sustained while traveling on covered trips, with payout amounts depending on which card is being used and reduced if it happens during transit; additionally, certain cards exclude high-risk activities like extreme sports as activities to which coverage applies.
To file a claim, it’s essential that you notify the card issuer within their claim timeframe of any losses or situations within their policy’s claim timeline. You will also likely need key documentation like receipts, correspondence with travel providers that won’t reimburse you, doctor’s notes and police reports as evidence.
Cost
Credit card travel insurance offers travelers a cost-effective solution who don’t want to purchase separate policies. While exact coverage varies among cards, some premium cards include both trip cancellation and interruption coverage as well as travel assistance services to help rework itineraries, access resources or provide other assistance services during their journeys.
However, it’s important to keep in mind that credit card travel protections may not provide as comprehensive a level of coverage than standalone policies do. While they may offer limited protection in specific events like lost luggage or car rental insurance coverage, their limits and exclusions tend to be lower and their restrictions more stringent.
Additionally, some credit cards require you to charge the full cost of your travel to their card before activating coverage – this is common among travel rewards credit cards that include flight and hotel benefits like Chase Sapphire Preferred, Reserve or Platinum from American Express; conditions should be clearly listed on their websites or benefit guides.
