Many credit cards provide some protection as part of their perks, also often covering your trip investment, health, and stuff. However, the benefits can vary widely depending on the card issuer (like Visa, MasterCard, or Amex) and the card tier (Platinum, Gold, Silver, etc.), and they often come with important limitations. For example, coverage might only apply to domestic trips, only protect the primary cardholder (not your children or travel companions), or only be valid if you paid for the entire trip with that specific card.
According to The Daily Navigator, if you’ve invested a significant amount of time or resources into booking the trip, you should protect it. But which should you choose: credit card insurance or a proper travel insurance plan? In general, travel insurance is the suggested choice for:
When credit card protection might be enough
Some trips are riskier than others. If you are camping near your house, purchasing a separate travel insurance plan may not be necessary. Some other times your credit card insurance may be enough include:
You don’t necessarily have to choose between credit card protection and a travel insurance plan—they can work together to help cover your trip. One may fill in gaps the other doesn’t. However, you can’t file the same claim with both—that’s considered insurance fraud.