According to one airline, 75% of people use their credit cards to pay for their tickets. Credit card firms and banks have spotted this for themselves and are now offering travel insurance with their credit card. But are you really covered and what level of protection does your credit card offer you?
Unfortunately, these credit card insurers are not offering the most comprehensive of insurance policies. You really need to read the small print with credit cards at the best of times but be especially careful if you think you are covered for all holiday eventualities. The small print could reveal some disturbing shortfalls in your cover and it’s most certainly best to discover these before you pack your suitcase.
Many of the credit cards offer travel insurance and then get out of paying by only offering you travel insurance for one particular aspect. You may not even be covered for basic health needs like hospital treatment if the case requires. It is only too easy to think you are covered since you have health insurance but there are many different types.
To add to this confusion, different credit cards offer different levels of cover and have different limits on what they will pay. If you want some sound advice, leave financial credit to the credit cards and opt for an insurance firm for your insurance needs.
Things are much more straight forward when you use an insurance firm and you will have more control over what level of insurance you are getting. Just remember that you pay quite a good price for travel insurance and thus if you are getting it for free with a credit card you should be suspicious.
Having said all of this, some credit card firms offer a higher level of cover than others. This may well be the case but to sum up your best option, you really ought to use a travel insurance firm for you holiday needs. I cannot say you will not be covered on your credit card but the chances are that you only have the most basic of protection.
