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Travel is returning this summer, but everything hasn’t been smooth for vacationers.
On the verge of bankruptcy during the pandemic, commercial airlines are now facing a myriad of problems, including fuel and staff shortages, and a shortage of aircraft, making it difficult for them to respond to rising customer demand.
A combination of these issues resulted in thousands of Americans, mostly American Airlines and Spirit Airlines passengers, stranded this past weekend when their flights were canceled or delayed. This growl put many travelers in precarious situations, forcing them to pay the bills for hotels, meals, and other ancillary expenses.
A last minute hotel room is expensive Airport meals can be outrageously expensive and before you know it, travelers dealing with a delayed or canceled flight can spend hundreds of dollars unplanned. However, the right Travel credit card that includes some Travel insurance can save you money on these unexpected expenses.
As long as you can book your trip with a qualified credit card and provide evidence of receipts and travel plans, the travel insurance programs offered by credit card issuers will reimburse consumers for the costs of delayed or canceled travel plans.
So before you panic the next time your flight is canceled, To choose is here to walk you through the different travel insurance policies that credit cards offer and how they work, as well as the best credit cards that these policies offer.
Travel insurance through credit cards
There are several types of travel insurance that are included in certain credit card benefit programs, including trip cancellation / cancellation insurance, travel delay insurance, and baggage insurance. In addition, many maps offer a travel assistance service in case you need help creating new itineraries or accessing resources while away from home.
Here are the different types of insurance and what each one covers.
Travel cancellation / termination insurance
Trip Cancellation / Cancellation Insurance is a two-in-one policy that helps travelers when their itineraries are canceled due to unforeseen circumstances such as weather, a medical emergency, or even a jury requirement.
Cancellation Insurance covers your losses if a qualifying event prevents you from traveling on or before your departure date and results in your trip being canceled.
The trip interruption insurance covers damage if your trip is interrupted on the way to the place of departure or after departure. This means you may be eligible for insurance if, for example, you have a problem with your car on the way to the airport, or if you suffered a serious injury during your trip or any other event that disrupts your travel plans.
Travelers can also be reimbursed for expenses incurred when a trip is postponed and they have to book an additional hotel room, rent a car, or pay for additional meals.
Each credit card issuer has different conditions. So read the fine print carefully so you understand what is covered by your insurance and how much you can be reimbursed.
For example the Chase Sapphire Preferred® card offers up to $ 10,000 per person and $ 20,000 per trip for prepaid non-refundable travel expenses. This applies to the cardholder and immediate family members, even if the main cardholder does not travel with them. So, if you have to cancel your Cancun vacation because of a hurricane, you can get a refund of part or all of the cost of the trip.
Travel delay insurance
If your vacation was ruined because of a canceled or delayed American Airlines or Spirit Airlines flight last weekend, you probably could have taken advantage of travel delay insurance.
The policy takes effect when your trip is delayed by a certain number of hours or when an unexpected overnight stay is required.
You can obtain travel insurance from American Express Platinum Card®, which is activated if your flight is delayed by more than six hours. You are entitled to compensation of up to $ 500 per trip that covers expenses such as meals and accommodation. The compensation will be sent as a check in the mail.
Luggage insurance
In 2019, US airlines had nearly 3 million mishandled bags Air travel consumer report. While this may sound like a large number, over 480 million bags have been checked in, meaning that over 99% of the bags made it to their final destination with no problems. But for less than 1%, their bags were either misplaced, lost, damaged, or stolen.
Credit card issuers usually offer two different policies: baggage insurance and reimbursement for lost baggage.
Policyholders with baggage insurance will be reimbursed if they have to buy the bare essentials while waiting for their baggage to be returned. For example, if you a Chasing credit card Delayed Baggage Insurance offers reimbursement of up to $ 100 per day for essential items such as toiletries and clothing for five days.
If your baggage is completely lost, Chase Sapphire Reserve® Cardholders can get $ 3,000 with their lost baggage refund policy.
Travel assistance services
When there are system-wide problems at a particular airline or airport (whether it’s computer failure or bad weather), it puts a heavy strain on the call centers. This can result in customers facing long waiting times and there is no easy solution to get on the next flight.
If your travel plans are derailed, check to see if your travel credit card offers travel assistance services. This is a credit card customer hotline that provides advice on travel issues, medical / legal referrals, emergency ticket replacement, lost baggage location services, and other emergency resources.
These services are typically offered 24/7 and can be found on several travel credit cards, including the Bank of America® Premium Rewards® credit card, Chase Ink Business Preferred® credit card and the Delta SkyMiles® Reserve American Express card.
How to file a travel insurance claim with a credit card
Insurance is great, but you hope you will never need it. In this unfortunate case, you can make a claim with any credit card service provider.
- American Express Card Holders: Submit a claim by calling Amex at 1-844-933-0648 or making a claim on the app within 60 days of the incident.
- Chase cardholder: Make a claim by calling 888-320-9961 or online at http://www.eclaimsline.com/
- Citi cardholder: Call the benefits administrator at 800-847-2911
- Visa Signature Card Holders (including some Capital One cards): Make a claim by calling 800-757-1274 within 20 days of lost luggage.
When filing the claim, you will need to provide receipts and documentation of the incident. So make sure you get your records together in advance.
The best credit cards with travel insurance
There are a handful of credit cards that offer travel insurance, and most come with an annual fee. This can be worthwhile for frequent travelers, but it’s important to choose a card that works best for your financial situation.
Here are some credit cards that offer travel insurance.
That Chase sapphire preferred offers a long list of travel insurance policies including: Trip Cancellation / Trip Interruption Insurance, Car Rental Insurance, Baggage Delay Insurance, Trip Delay Reimbursement, Lost Baggage Reimbursement, and Travel Emergency Assistance.
That Chase sapphire reserve offers the same travel insurance as the Sapphire Preferred.
That Amex Platinum offers trip cancellation / interruption insurance, rental car insurance, baggage delay insurance, travel delay reimbursement, luggage reimbursement and travel emergency assistance.
The Delta SkyMiles® Reserve American Express Card offers the same insurance protection as the Amex Platinum.
That American Express Business Platinum Card offers the same insurance protection as the Amex Platinum.
Bank of America Premium Rewards offers travel delay reimbursement, cancellation / cancellation insurance, baggage delay, lost baggage reimbursement, emergency services, and emergency transportation insurance.
That Chase Ink Business Preferred credit card offers travel cancellation / interruption, rental car insurance, breakdown service and emergency assistance.
Travel Insurance FAQs
Does travel insurance cover medical expenses?
Yes, depending on the directive. If your policy includes travel interruption / cancellation insurance, it is likely to cover medical expenses incurred during the trip, including if you suffers from Covid-19.
Also, cards are like that Chase Sapphire Preferred® card Have an Accidental Death and Dismemberment (AD&D) Policy that covers eligible cardholders up to $ 500,000.
Is travel insurance worth it?
Travel insurance offered through a credit card can potentially save you hundreds in the event your travel plans go wrong. And not all travel credit cards with travel insurance have exorbitant annual fees, including the one Chase Sapphire Preferred® cardthat offers rugged travel insurance coverage along with other perks for $ 95 per year.
How do I get travel insurance?
The easiest way to get travel insurance is to sign up for a credit card that offers customers a discount. By simply using a card with travel insurance for your travel purchases (including flights and hotels), your trip is automatically insured.
However, if a travel credit card isn’t the best for you, liability insurance can cover your trip. These can sometimes be expensive and difficult to use. So read the fine print before buying a plan like this.
Information about the Bank of America® Premium Rewards® credit card was independently collected by Select and was not verified or provided by the card issuer prior to publication.
Note to editors: Opinions, analysis, reviews or recommendations expressed in this article are solely those of the Select editors and have not been reviewed, approved or otherwise endorsed by third parties.
