Is Visa Premier & MasterCard travel insurance enough?

How secure is Visa Premier & MasterCard travel insurance ?

Many people think they’re properly insured when they travel with their bank card. In fact, banks promote the advantages of their cards by claiming to offer cover for hospitalization, luggage, civil liability, etc. In reality, these guarantees are often inadequate in the event of a problem on the spot. Here are the major problems with bank card insurance that banks won’t tell you about(www.instinct-voyageur.fr/assurance-voyage-des-cartes-bancaires):

*Please note that coverage varies depending on the bank and the type of card you have (classic, gold, platinum, etc.). Here we take the vast majority of credit card cases.

Visa Premier & MasterCard travel insurance coverage limits:

• Short stays: credit card guarantees are valid for 3 months. The duration of the guarantee can, of course, be much longer with travel insurance.
• Low reimbursement ceilings: bankcard reimbursement ceilings are often very low. For example, a classic MasterCard often has a cover limit for medical treatment of €11,000. MasterCard gold offers higher cover, up to €155,000 in some cases. However, for most countries in the world, these guarantees are very weak.
  At YUPWEGO, we consider that guarantees of at least €300,000 are generally required in countries such as Thailand, Indonesia and Argentina. At least €500,000 is needed for countries like the USA, Japan, Australia, Canada… These estimates are based on the cost of medical care in each country.
• High deductibles: bankcard deductibles are often high, around 70 euros. This means that if a doctor’s consultation costs €100 (which is often the case abroad), assistance will only reimburse €30.
• Third-party liability not included: very often, third-party liability cover is not included. Or the limit is €1,000,000, which is very low for civil liability. Indeed, to be properly covered, this amount should be around 4.5 million euros.
• Sometimes it’s just an advance on medical expenses: you’ll have to repay the bill within a few weeks.
• CB payment: Health and other expenses are reimbursed only if paid by CB. If you have paid for your trip by any other means of payment, assistance will not compensate you.

Do I need travel insurance in addition to Visa Premier & MasterCard travel insurance ?

To begin with, in some countries travel insurance is compulsory to obtain a visa. Especially since the pandemic, where travel insurance with Covid coverage is mandatory. In such cases, travel insurance must cover your entire stay. Where travel insurance is compulsory, credit card insurance can be used under certain conditions. What’s more, in the case of multiple destinations, your credit card insurance will only issue a single certificate for the first destination, and that’s it.

By taking out travel insurance, you’re properly covered against any incident that might happen to you while traveling. Being properly covered means having a healthcare reimbursement ceiling that is adapted to each individual case. It also means being reimbursed, even for “ordinary” healthcare expenses (dentist, general practitioner…). This is not always the case with bank card guarantees.

Why are there different prices for travel insurance?

When we want to take out travel insurance, we usually start by comparing the various coverages offered by insurers. Prices can vary from one contract to another.

To help you understand these differences, we have listed the main factors that influence price:

• The length of your stay, and therefore of your contract, is obviously one of the main reasons for this variation.
• Destination: As we said earlier, depending on the country you’re visiting, the cost of medical care will be higher or lower.
• The age of the insured also counts in certain situations. The older you are, the more expensive the insurance. In many cases, it’s not even possible to take out travel insurance after the age of 75.
• Guarantees : In many cases, options can be added to your contract. This also affects the price: the more options you take out, the more expensive your contract will be.

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