You might never know. You need not spend extra money for rental car insurance or travel insurance if you just have your credit card insurance policy. Let’s check out the hidden benefits of a credit card insurance policy.
1. Trip cancellation insurance
If you book a trip using your credit card and eventually you could not make it due to illness then you may get trip cancellation insurance coverage from your card company and get back the refund either in full or in a substantial amount.
2. Travel accidents insurance
If you meet with an accident in a trip which was booked through your credit card, you will be eligible for certain benefits. In case you die your dependents will get the benefits. You should remember that travel accident insurance is far different from life insurance or disability insurance.
3. Luggage insurance
If you book a flight using your credit card and your luggage is missing or will be delayed then you can claim for compensation either for the full luggage or until the time your luggage arrives. You need to make a written claim and the fund will reach you after a reasonable time.
4. Hotel mishap insurance
If you book a hotel with your credit card to stay in but unfortunately you encounter a burglary in your room then you will get coverage for that.
Along with your free credit card insurance you can also buy additional insurance policies for yourself.
- Credit life insurance: In case you expire, the total card bill will be borne by the insurance company.
- Unemployment insurance: The insurance company will pay your minimum bill in case you lose your job.
- Credit disability insurance: The insurance company will pay your minimum bill in case you suffer from disability and cannot work.
Now, it is a matter of argument whether you need credit card insurance. There is no doubt that you will get certain benefits but is it actually necessary to have a credit life insurance if you already have a separate life insurance policy? So, it is you who will decide whether credit card insurance is required or not because you need to assess your needs and current position and then it will be clear to you.
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