Is credit card travel insurance worth it?

While credit card travel insurance isn't exactly a new innovation, it's one of those features that some cardholders may forget they're actually entitled to.

Travel insurance is generally available with premium or rewards credit cards, so it's not exactly free if you're paying an annual fee to access it. But given that it can provide cover for cancellations, medical expenses and more, it may be an option that saves travellers from having to take out a standalone policy.

There are a few caveats. First of all, credit card travel insurance may not provide the level of cover that everyone requires. For instance, if extensive medical cover or cover for certain extreme sports is needed, a standalone travel insurance policy may be more appropriate.

Secondly, credit card providers typically require their customers to spend a certain amount of money on flights or accommodation related to the trip with the card before the insurance is actually activated. In some cases customers will also have to contact their card provider to confirm the insurance.

Read more: Six banking features to make your overseas trip easier

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