4 scenarios where your credit card's travel insurance can save the day, and 7 situations where it falls short

Travel has become increasingly unpredictable. So far this year, I’ve been fortunate that none of my trips have faced significant delays or cancellations. Yet, your next flight could very well be delayed or even canceled.

TPG staff members have encountered their fair share of travel troubles in recent years. For instance, TPG aviation reporter Sean Cudahy had every segment of a flight he booked canceled last year, while TPG senior editorial director Nick Ewen found himself in New Jersey instead of Greece two years ago due to weather-related issues.

If you’ve been following TPG for a while, you might know that certain credit cards offer travel insurance when you use them to book flights (or cover taxes and fees on award travel). You could already be using one of these cards for your bookings, but you might be unaware of what is and isn't included in these benefits when your travel plans hit a snag.

This guide provides an overview of situations in which you can — and cannot — rely on your credit card's travel insurance benefits for assistance.

Travel insurance via credit card

We’ve published in-depth articles about credit cards that offer travel insurance. I suggest exploring the following pieces to gain more insight into the travel insurance options from leading travel rewards cards:

• Flight delayed or canceled? Discover the top credit cards with trip delay reimbursement
• When to purchase travel insurance versus relying on credit card benefits

However, the coverage provided by each card varies. Therefore, I recommend reviewing — or at least skimming through — your card’s benefits guide before your next trip to understand the specifics. You can call the number on the back of your card for a physical copy or link if needed.

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Credit cards such as the Capital One Venture X Rewards Credit Card, Chase Sapphire Preferred® Card, and the Ink Business Preferred® Credit Card offer outstanding travel protections. However, I think the Chase Sapphire Reserve® delivers the most comprehensive travel insurance overall.

In this guide, I’ll highlight the benefits available to Chase Sapphire Reserve cardholders as examples of how they can assist (or not) in various situations. If you typically use a different card for travel, keep in mind that the benefits may vary.

Situations where your credit card's travel insurance can assist

When your travel plans go awry, your travel rewards credit card might offer reimbursement or other forms of assistance. Here are four real-life examples where your credit card's travel insurance could be beneficial.

Your flight experiences significant delays or cancellations

Unfortunately, if your flight is canceled, you'll have to coordinate with your airline for rebooking. If your flight experiences a significant delay, you’ll either need to wait it out or seek alternative arrangements with the airline.

On the brighter side, some credit cards provide trip delay reimbursement if you use them to purchase your flight (including taxes and fees for award tickets). This benefit can be quite useful as you navigate the delay or rebooking process.

For instance, if you booked your initial flight with the Chase Sapphire Reserve, Chase may cover "reasonable expenses incurred during the delay." You could receive up to $500 per ticket for delays longer than six hours or if the delay necessitates an overnight stay. Chase defines reasonable expenses as including "meals, lodging, toiletries, and medication."

However, coverage is only applicable for delays caused by "equipment failure, severe weather, strikes, or hijacking/skyjacking." If your delay is due to crew scheduling issues amidst bad weather, you will still be covered.

On the flip side, if the airline is unable to secure any crew for your flight and fails to provide documentation stating that the delay or cancellation is due to one of the eligible reasons mentioned, you will not be eligible for coverage.

Your luggage is experiencing a significant delay.

Let’s address the bad news once again: You need to report any delayed baggage to the travel provider. For instance, if your checked luggage doesn't show up on the carousel after your flight, you should head to the airline's baggage office to file a report.

Typically, the airline will begin the search for your luggage at this stage. However, they often do not offer reimbursement for any necessary items you may need while your baggage is missing.

Fortunately, some credit cards provide coverage for baggage delays. For instance, if you booked your flight with the Chase Sapphire Reserve, Chase may reimburse you "for emergency purchases of essential items like toiletries, clothing, and chargers for electronic devices (one per device limit)."

Specifically, Chase could reimburse you up to $100 per day for a maximum of five days. To be eligible for this coverage, your baggage must be "delayed or misdirected" for more than six hours each day that you utilize the benefit.

The items you buy for reimbursement should be considered "essential." However, Chase does not cover certain items, including hearing aids, dentures, prosthetic devices, tickets, jewelry, electronics, and recreational gear.

You must cancel or interrupt a trip.

To begin with: No credit card includes "cancel for any reason" trip insurance as a standard benefit. However, you may be covered if you need to cancel or interrupt your trip for specific circumstances.

Holders of the Chase Sapphire Reserve card may qualify for reimbursement of "nonrefundable prepaid travel costs charged by a travel provider" and "redeposit fees imposed by a rewards program administrator."

In instances of trip interruption, cardholders can receive reimbursement for change fees and expenses related to returning a vehicle to their home or the nearest rental agency.

Numerous credit cards provide trip cancellation and interruption insurance. However, reimbursement is only available if you cancel or interrupt your trip for specific reasons outlined in the benefits guide.

For instance, you might qualify for reimbursement if you are unable to defer or avoid a jury duty summons or a court subpoena, and you have prepaid nonrefundable travel costs with your Chase Sapphire Reserve.

Your luggage may be lost or damaged.

Previously, I mentioned a situation where your baggage is delayed. However, it’s also possible for your luggage to become lost, stolen, or damaged. Similar to delayed baggage, you need to file a claim with the travel provider as soon as you notice the problem.

Some travel providers may offer reimbursement for the repair or replacement of your luggage. If that reimbursement falls short, you can also seek additional compensation through the baggage insurance provided by your credit card. If you booked your trip with the Chase Sapphire Reserve, you could receive up to $3,000 per traveler per trip.

Instances when your credit card's travel insurance won't assist.

Naturally, your credit card's travel insurance won't cover every situation. While you may still find support through your travel provider or individual travel insurance, here are some real-life examples where coverage might be lacking, using the Chase Sapphire Reserve's travel protections as a reference once again:

• You wish to switch to a different flight: Flight delays and cancellations can be quite annoying. However, you'll need to coordinate with your airline to secure a new flight. None of the trip delay insurance plans from credit cards will allow you to purchase a new flight and then get reimbursed for it.
• Staffing issues lead to flight delays or cancellations: According to the Chase Sapphire Reserve's benefits guide, only trip delays caused by "equipment failure, inclement weather, strike [or] hijacking/skyjacking" qualify for reimbursement. Thus, if an airline can’t find a crew for your flight due to employee illness, you won't be eligible for coverage.
• Your accommodation canceled your reservation: It can be incredibly frustrating to be walked from a hotel or have your lodging canceled. You may end up facing much higher costs if you need to book a new place. But unless specific circumstances covered by trip cancellation and interruption insurance apply — such as if your lodging becomes "uninhabitable" — your credit card benefits won't assist.
• Your common carrier or travel insurance already provides the needed coverage: For example, if you are delayed overnight and the airline gives you hotel and meal vouchers, you can't claim reimbursement for those same expenses through your credit card's trip delay benefit. The benefits guide for the Chase Sapphire Reserve states that the trip delay benefit "covers reasonable expenses incurred during your delay not otherwise compensated by your common carrier, another party, or your primary personal insurance policy."
• Your delay resulted in missed prepaid activities: Trip delays might lead to missed shows, activities, additional flights, hotel nights, and more. However, the trip delay benefit from Chase Sapphire Reserve is solely for reasonable expenses you incur during your delay, meaning any prepaid costs will not be reimbursed.
• You need to cancel or interrupt your trip for a reason that isn't covered: As mentioned earlier, the trip cancellation and interruption insurance provided by credit cards like the Chase Sapphire Reserve only offers coverage for certain reasons. If you cancel or interrupt your trip for other reasons, your credit card's travel insurance won't be of assistance. For instance, you wouldn't be covered if you failed to obtain a necessary visa or if your airline went bankrupt.
• You forgot an item or bag on the train, plane, or boat: While some cards include recently purchased items lost under purchase protection insurance, most travel insurance associated with credit cards won’t reimburse you for items you accidentally left behind.

Keep in mind that travel insurance benefits differ from one card to another. Additionally, only certain family members may be included for some benefits. Therefore, review your card's benefits guide or contact the number on the back of your credit card to find out if your particular situation will be covered.

In summary

This article assumes you utilized a credit card with travel insurance to cover your trip, and the specific protections can differ between cards. Nonetheless, this guide aims to provide insight into the types of assistance you might receive from your credit card's travel insurance if issues arise during your travels.

Additionally, some premium travel cards come with extra benefits, such as lounge access, which can be advantageous in case you encounter travel disruptions. Waiting out a delay is far more enjoyable in the comfort of a lounge, and you may also gain access to agents who can assist you with rebooking or managing complex itineraries if you're in your airline's lounge.

For Capital One products mentioned on this page, some benefits may be provided by Visa® or Mastercard® and could vary by product. Please refer to the respective Guide to Benefits for further details, as terms and exclusions apply.