Many savvy travelers are aware of the rewards points and miles earned through travel credit cards, but the perks extend far beyond just accruing points. Unlocking the full potential of your credit card means understanding and utilizing the valuable travel benefits they offer. These benefits can provide significant peace of mind and financial protection during your journeys.
Credit cards often include a range of travel protections and conveniences that can save you money and hassle. Let’s explore some of the most common and valuable travel benefits you might find on your credit card:
Car Rental Coverage: Drive with Confidence
One of the most frequently used travel benefits is car rental coverage, often termed Collision Damage Waiver (CDW). This coverage can protect you from financial responsibility in case of damage or theft of a rental vehicle. It’s important to note that many credit cards offer secondary coverage in the US, meaning it kicks in after your personal auto insurance. However, some cards offer primary coverage, which means you can bypass your personal insurance altogether, potentially saving you from deductibles and premium increases. For international rentals, the coverage is often primary, providing substantial savings compared to purchasing rental company’s insurance.
Trip Cancellation and Interruption Insurance: Travel Worry-Free
Unexpected events can disrupt even the most meticulously planned trips. Trip cancellation and interruption insurance can reimburse you for non-refundable travel expenses if your trip is canceled or cut short due to covered reasons. These reasons often include unexpected illness, injury, or severe weather. The coverage amounts vary, but they can be invaluable in recouping costs for flights, hotels, and tours when unforeseen circumstances arise. Some policies even extend to cover Covid-related illnesses, offering added security in uncertain times.
Baggage Protection: Keep Your Belongings Safe
Lost, damaged, or delayed baggage is a common travel frustration. Credit cards often offer benefits to mitigate these issues. Baggage delay coverage can reimburse you for essential purchases like toiletries and clothing if your luggage is delayed for a certain period. Lost luggage reimbursement can provide compensation if your bags are permanently lost or stolen. These benefits offer a safety net when airlines mismanage your luggage, helping to ease the inconvenience and financial burden.
Travel and Emergency Assistance: Help When You Need It Most
Travel assistance services can be a lifesaver when you encounter problems far from home. These services can provide help with medical referrals, legal assistance, emergency transportation, and even translation services. While not insurance, these assistance services can connect you with the right resources in unfamiliar situations, offering peace of mind knowing help is just a phone call away.
No Foreign Transaction Fees: Save on International Purchases
For international travelers, foreign transaction fees can add up quickly. Many travel-focused credit cards waive these fees, which typically range from 1% to 3% of each transaction made abroad. Using a card with no foreign transaction fees ensures you get the best exchange rate and avoid unnecessary charges on all your international purchases, from meals to souvenirs.
Roadside Assistance: Support on the Road
Some credit cards extend their benefits to roadside assistance, which can be particularly helpful during road trips. While often not free, these services can provide access to towing, jump starts, tire changes, and lockout assistance when you encounter car trouble while traveling.
Choosing the Best Travel Benefits Credit Card depends on your individual travel habits and needs. Comparing the benefits offered by different cards and understanding the terms and conditions is crucial. By carefully selecting and utilizing the travel benefits available, you can enhance your travel experiences, protect yourself from unexpected expenses, and travel with greater confidence.
