How to Find the Best Credit Card for Travel Insurance

Many credit cards offer the convenience of embedded travel insurance, meaning you can leave the task of buying additional insurance off your to-do list and potentially save money. However, between the different coverages and features, choosing the travel insurance credit card that’s right for you may be challenging.

To help you choose the card for you, here’s information on how travel insurance on credit cards works, how to make the most of your travel insurance, and the different types available to Canadians.

How does credit card travel insurance work?

Most travel rewards cards offer travel insurance as a benefit. Unlike other forms of travel insurance, credit card travel insurance is included in the card’s annual fee, so you don’t have to purchase it separately before a trip.

Travel insurance on credit cards may cover anything from emergency medical treatment to trip cancellations, and some cards may include more types of travel coverage than others. Typically, to be eligible for coverage, purchases like flights, hotel stays, and car rentals must be paid for with your credit card in full.

In most cases, you won’t need to do anything else to activate the travel insurance on your credit card. However, read your credit card’s certificate of insurance. The certificate explains your insurance coverage in detail. It will help you understand the types of travel insurance included, when coverage begins and ends, the number of days you’re covered for, the maximum coverage amounts, and any limitations and exclusions.

How to make the most of your credit card travel insurance

The travel insurance included with your credit card is an easy and convenient way to help protect yourself when you travel. However, you might do a few things to help get the most out of your benefits.

Read the fine print

The most important thing to do — even before you book your trip — is to read your credit card’s certificate of insurance. You’ll get this certificate when you get your credit card. You can usually find a link to it on your credit card provider’s website.

Make sure you understand all the requirements, limitations, and exclusions of your credit card travel insurance so you don’t face any unpleasant or costly surprises later. If you still have questions, call the phone number on the card to speak with an agent.

Save all the receipts from your trip

It’s good practice to save the receipts for all the major purchases related to your trip, such as flights, hotels, tour packages, and car rentals. But remember, credit card travel coverage only applies to purchases made with your credit card. Also, if you experience a medical emergency during your trip, keep all the original bills, invoices, and receipts, as you will need them to make a claim.

Keep your insurance documents handy

You don’t want to be scrambling to find your travel insurance during an emergency. Keep a copy of your certificate of insurance and any other relevant documents in a handy location, such as the inner pocket of your carry-on luggage. You can also email a copy to yourself and save it as a file on your mobile phone.

Tip: If you have an RBC credit card with travel insurance, you can find a PDF version of your card’s certificate of insurance on the Credit Card Documentation page.

Save the contact information of the insurance provider

Before you leave for your trip, make sure you know how to contact your insurance provider. Your insurance provider will let you know what to do to ensure you are covered. You’ll find the insurance provider’s phone number on your certificate of insurance. You may also want to save the number to your phone.

Understand how to make a claim

It’s important you understand how to make a claim before you leave for your trip, as you don’t want to discover you’re missing essential documents if you need them. Your certificate of insurance will outline all the steps for making a claim for each type of coverage (emergency medical, delayed baggage, auto rental collision, etc.).

Register your travel plans with the government of Canada

Though not directly related to travel insurance, if you’re a Canadian citizen traveling abroad, you may want to register your plans with the Canadian government. This free service allows the government to send you important notifications in case of an emergency at your destination.

Registering on the website can help make it easier for the government to contact you if you need help returning to Canada. It also allows the government to notify you of a personal emergency at home.

What to consider when looking for the best credit card for travel insurance for you

Before comparing credit cards with travel insurance, here are a few basic things to look out for so you can quickly narrow down your list.

Types of travel insurance coverage

Most travel credit cards include multiple types of travel insurance, such as emergency medical insurance, trip cancellation insurance, baggage insurance and car rental insurance. You’ll find more details on that below.

The types of coverage included can vary between cards, and some credit cards may also offer additional coverage, like travel insurance for people aged 65+ or hotel burglary insurance. Make sure the credit card you choose has suitable coverage for the traveling you plan to do.

Coverage amounts

The amounts of coverage can vary between credit cards. For example, one card may offer $1,000 in trip cancellation coverage per trip, while another may offer $1,500. Try to find a card that offers good value in terms of insurance coverage amounts.

Coverage duration

The time you’re covered may also differ between credit cards, so if you compare similar offerings, you may want to go with the card offering a longer coverage period. For example, one card may offer emergency medical coverage for eight days of travel, while another may offer similar coverage for 15 days. In some cases, you may be able to purchase additional coverage to extend your coverage beyond the original term.

Age restrictions

Some travel insurance credit cards limit coverage based on age. Most commonly, coverage conditions will be different for seniors. For example, some credit cards may not offer medical travel insurance for people over 65 or may offer coverage for a shorter duration than for people younger than 65.

Covered persons

Some credit cards may cover only the cardholder, while others may also cover a spouse and/or dependent children under 21, within certain limits. Additional cardholders (people other than the primary cardholder who have been approved to use the credit card) are also covered by some cards, but their spouses and dependent children under 21 may not be covered. Some cards also cover traveling companions who are not spouses or children. If you regularly travel with others, you may want to see if they can benefit from your travel coverage.

Credit card requirements

Credit cards, including travel credit cards, have basic requirements, such as being the age of majority in your province or having a good credit score. Some credit cards have additional requirements, like a minimum personal or household income. Before you apply for a travel credit card, check to see if you meet its requirements.

Annual fees

Credit cards with travel insurance typically come with an annual fee. Those with a higher annual fee tend to offer more comprehensive coverage — additional types of travel insurance, higher coverage amounts, or extended coverage periods. However, a card with a lower annual fee may provide just the right coverage for your needs. Consider the extent of coverage you want when comparing cards.

Types of travel insurance included with credit cards

When comparing credit cards with travel insurance, you’ll want to check which types of insurance they include. Below is a list of the most common types of travel insurance and what they cover.

Travel medical insurance

Travel medical insurance can help cover the costs for unexpected health issues you may have on your trip — especially those requiring emergency treatment. When you’re experiencing a stressful situation, the last thing you’ll want to worry about is the cost of your medical bills.

Typical expenses covered under medical insurance include:

• Emergency medical care for an injury or a sudden illness (like a broken leg or appendicitis)

• Medical evacuation (to Canada or to the nearest place that can provide appropriate medical care)

• Medical equipment such as crutches, a wheelchair, braces, canes, walkers, etc.

• Prescription medications (excluding medications for pre-existing medical conditions)

• Diagnostic procedures such as X-rays, lab tests (like bloodwork), and scans (like ultrasounds)

• Ground, air, or sea ambulance services

• Hospital accommodation, including expenses related to your stay, such as meals

• Outpatient services at a hospital

• Private nurse services while at a hospital

• Emergency dental care for pain relief or an accidental injury

• Repatriation in case of death — including the preparation and transportation of the remains, cremation or burial outside Canada, and a round trip for the person legally required to identify your remains

Travel medical insurance for seniors

Medical insurance for seniors will cover similar expenses to those above, but most credit cards don’t provide medical insurance for people aged 65 and above. If they do, they may provide limited coverage. For example, coverage will be for a shorter period than for younger people or have a higher deductible. Some credit cards also have additional limitations for those aged 75 and above.

If you’re a senior citizen planning to travel, choose a travel credit card that provides medical insurance for seniors and look closely at the coverage details.

For example, some cards provide medical insurance for cardholders aged 65 and above, but only the first 3 to 7 consecutive days of the trip are covered. Review the certificate of insurance carefully before you leave for your trip. In some cases, you may want to purchase additional coverage to extend your coverage period.

Trip cancellation/interruption insurance

Sometimes, due to unforeseen circumstances, you may need to cancel your trip before you leave or return home earlier than you planned. For example, you may experience a sudden illness or a death in the family or be notified of a severe storm in your destination.

Trip cancellation insurance covers some of the expenses you’ve already paid for your trip, including non-refundable expenses like flight tickets or organized tours. This type of insurance is important as it allows more flexibility with your plans and could help you save hundreds or even thousands of dollars.

Flight delay insurance

This covers any expenses you may incur because your flight is delayed, such as extra nights at a hotel and meal expenses. For specific coverage details, review your certificate of insurance before your trip. Most credit cards require a minimum of four hours’ delay before providing coverage.

Delayed/lost baggage insurance

Suppose something happens to your baggage during the trip (a delay or damage on the way to your destination, for example). In that case, this insurance reimburses you for necessary purchases such as clothes and toiletries. Typically, this coverage only applies to checked baggage.

Common carrier travel accident insurance

This type of insurance provides coverage in case of an accident that results in a disability or loss of life while traveling on a common carrier. A common carrier usually refers to an air, land, or water vehicle that provides regularly scheduled passenger services. Reimbursement is typically a lump sum paid to the covered person. Make sure to review your certificate of insurance for details.

Auto rental collision/loss damage insurance

If you typically rent a car on your trips, you’ll want to ensure your credit card includes this type of insurance. It protects you if your rental car gets damaged or stolen during a trip and covers repair costs. However, remember that auto rental insurance only covers damage to the vehicle—it does not cover any bodily injuries resulting from an accident.

Also, this insurance has limitations. For example, you won’t be covered if the damage to the car was caused by a dangerous activity like driving under the influence or speeding. In addition, auto rental insurance may exclude damage to parts like mirrors and tires.

Another thing to keep in mind is that not all rental cars are covered by this insurance — only those with an MSRP (manufacturer’s suggested retail price) under a specific value determined by the insurer. If you’re concerned about this when renting a car, check that its MSRP isn’t above the one specified in your certificate of insurance.

Roadside assistance insurance

If you plan to travel by car during your trip, roadside assistance insurance covers the costs of services required if your vehicle experiences a mechanical failure or requires a battery jump-start, towing, or replacing a flat tire. Note that the travel insurance provided on most credit cards doesn’t include roadside assistance; however, you may be able to purchase it as an add-on service.

Hotel/motel burglary insurance

This insurance reimburses you for any personal items stolen from your room while staying at a hotel or motel. It’s meant to cover any expenses required to repair or replace damaged or lost items.

Mobile device insurance

Mobile device insurance is typically not included with travel insurance, but some cards may include it as part of their coverage. It may come in handy at any time, especially when traveling and relying on your phone to stay connected. It provides coverage in case your mobile device is lost, stolen, has a mechanical failure or is damaged by accident.

What are the advantages of credit card travel insurance?

The main advantage of credit card travel insurance is that it can give you peace of mind. You know you’re covered if you experience a medical emergency, such as an injury, or an inconvenience like losing your baggage. In some cases, travel insurance may save you significant money, which you would have had to pay for medical bills or purchasing replacement items.

Credit card travel insurance also has some unique advantages over other types of insurance:

• It comes at no extra cost

• It doesn’t require additional work, such as researching insurance providers

• Travel credit cards often come with perks such as travel points, premium airport benefits like lounge access, and welcome offers

As with any insurance, it’s important to understand the coverage provided. If you plan to use it for a trip, read the certificate of insurance thoroughly to understand what it covers.

Frequently Asked Questions

How do I know if my credit card has travel insurance?

Check your cardholder benefits guide to determine if your credit card provides travel protection. You can also visit the card provider’s website or call their customer service number to find out. Most credit cards with travel insurance have the customer service number on the back of the card.

Do all credit cards have travel insurance?

Not all credit cards have travel insurance. Travel credit cards usually include some travel insurance. Coverage types and limits vary between travel cards, with higher-tier credit cards usually offering more comprehensive travel insurance.

Is credit card travel insurance enough?

It depends. Before you go on a trip, think about your coverage needs and see if you meet the requirements for the travel insurance provided with your card. In addition, some credit cards only offer certain types of travel insurance. For example, they may include flight delay insurance but not emergency medical insurance. Read your card’s certificate of insurance carefully to understand what you’re covered for.

Sometimes, your credit card travel insurance may be sufficient for your needs, for example, if you’re going on a short leisure trip. However, some travelers, like snowbirds who travel abroad for long periods or travelers who plan on doing extreme sports on their trip, may require more comprehensive travel insurance than what credit cards offer.

Tip: If you have an RBC credit card, you can check the type of coverage your card includes on the Card Coverage page. RBC clients also have the option to purchase additional coverage through RBC Travel Insurance, which provides various coverage options for different types of travel.

Does credit card travel insurance cover all passengers?

Only sometimes. You will need to check your certificate of insurance to see who is covered. In some cases, only the cardholder will be covered, while in other cases, their spouse, dependent children, and/or traveling companions who are not family will be covered, within limits. Authorized users of the card may also be covered.

Do I have to buy travel insurance before booking?

No, you don’t have to buy travel insurance before booking. If you’re buying additional coverage, you can buy it any time before you leave for your trip, but it’s advisable to buy it as soon as you make the booking because it could help if you need to cancel your travel plans.

If you plan on using your credit card’s travel insurance, you don’t need to buy it as it’s included in your card’s annual fee. You just need to read the policy thoroughly, make sure you’re eligible for coverage, and ensure that it meets your needs.

What travel purchases does my credit card travel insurance cover?

Generally, your credit card travel insurance will cover travel purchases made with your card in part or full. For example, if you need to make a flight cancellation claim, the flight must have been purchased with the card that has travel insurance. Read your certificate of insurance to confirm which travel purchases your card covers.

Does credit card travel insurance require that I charge all travel purchases to my credit card to get coverage?

Most of the insurance types included with your credit card require you to use your card to pay for travel-related purchases to be eligible for coverage. However, a few types, such as travel medical insurance and road assistance insurance, don’t have that requirement. To fully understand what the travel insurance on your credit covers, read your certificate of insurance thoroughly.

How to apply for a credit card with travel insurance

In Canada, you can apply for a credit card with travel insurance online, by phone, or by visiting a bank branch. As with any credit card, you must be the age of majority in your province or territory to apply and a resident of Canada. Most credit cards also require a good credit score and a minimum individual or household income.

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