Credit cards travel insurance
It all starts when you prepare for your trip: the right card for the right expense. You might be tempted to pay for everything with the same card to make sure you are covered…. think again.
In fact, you have to be familiar with the fine print of credit cards insurance contracts to know which card to use to pay for which expense. Especially when you use miles or points to pay for your trip.
Insure your airline ticket booked with Aeroplan points
The best way to insure a trip paid for with Aeroplan points is to book it with an Aeroplan credit card that offers travel insurance.
Other “non-Aeroplan” credit cards generally require that the entire airline ticket be paid for with the credit card . This assumes that points have not been used.
In my case, when I booked my plane tickets, I had 3 credit cards affiliated with the Aeroplan program in my wallet:
- The American Express® Aeroplan®* Reserve Card
- The TD® Aeroplan® Visa Infinite* Card
- As well as the American Express® Aeroplan®* Card.
I usually pay for my Aeroplan expenses with the American Express® Aeroplan®* Reserve Card. This one provides $1,000 coverage for flight OR baggage delays.
However, this time my choice was the TD® Aeroplan® Visa Infinite* Card. It offers $500 for flight delays AND $1,000 per person for baggage delays.
Why choose this card? The lure of profit perhaps: by paying for my trip with this card – in this case the Aeroplan taxes – I earned 1.5 Aeroplan points per $ spent. Whereas it would have been “only” 1.25 points with the Amex.
But more importantly, it is an opportunity for me to test the assurances provided by TD Bank. In fact, it recently became my main bank!
Cards offering travel insurance AND affiliated with the Aeroplan program provide coverage when travel expenses are paid for with Aeroplan points.
Here are the rules for the TD Aeroplan Visa Infinite card:
TD Visa Infinite Aeroplan Card insurance covers both baggage delay and flight delay.
In my case, my luggage was delivered late, but within 6 hours. So only the “flight delay” insurance applied, up to a limit of $500.
Insurance coverage conditions
The TD Aeroplan Visa Infinite Card brochure details the terms and conditions of the card’s insurance coverage, provided by Allianz.
My delay was a mixture of conditions 1 and 2. There was an equipment failure (frozen toilets) on the common carrier (Air Canada). This was caused by the aircraft being parked on the tarmac overnight. Indeed, the “weather conditions were violent”, with temperatures below -20 degrees Celsius.
The claims procedure
In order to be compensated, you must record all covered expenses on the card and keep all receipts.
So, in my case, I used my TDMD AeroplanMD Visa Infinite* Card to pay for:
- Cabs from the airport to the hotel and back
- The hotel in San Francisco
- Living expenses.
You then have to submit an online claim on the Allianz website.
Insuring your car rental
Plus, using National and Alamo rental companies like I did, you get 4 points per dollar spent (instead of 2 points). Enough to cover the 2.5% foreign exchange costs!
A discount is also available with contract number 3717122 (National Car Rental) or 7014883 (Alamo Rent A Car). Sometimes it can grant up to 25%.