When you apply for a credit card, you often believe that you are getting travel insurance with it. However that is not always strictly true and whilst many credit cards do offer travel insurance, it is something that you do need to check when you are applying for a credit card. Even when you are provided with travel insurance on your credit card, it is not always as good as you think that it is.

The Problem with Credit Card Travel Insurance

The main problem with credit card travel insurance is that it is often fairly basic. This means that many things which you thought were included often aren’t. One of the main things which are not covered on credit card travel insurance is travelling to and from the destination and when you actually arrive at your chosen destination. This means that if you lose your luggage, it is not going to be covered.

You will also not be covered if the flights are cancelled for whatever reason or if you miss the departure for whatever reason that is not included either. This means that for many people, credit card travel insurance is actually pretty useless.

Of course there may be an option open to you to upgrade your travel insurance with your credit card provider. You will have to read through the terms and conditions to see if this is an option that is available to you and if it is then it may be worth considering. If not then you should ideally get a separate travel insurance package.

Credit Card Insurance versus Stand Alone Insurance

When it comes to travel insurance, you are looking for the plan which gives you the most benefits for less. Now whilst credit card travel insurance is often free with the card, unfortunately as you have already discovered, it does not include very much in its cover. Stand alone insurance on the other hand covers quite a bit.

Of course it all depends upon the company you apply with and the individual plan you have chosen, but generally stand alone travel insurance options are better. It would be more convenient to use credit card insurance and it is possible to see if your current credit card issuer can offer you a better plan. However usually even if they can, it is twice as expensive as what it should be.

So overall travel insurance is a necessity and it is something which you should not hold back on. Ensure that everything is covered and then you can get on and have an excellent holiday without the worry.