Purchase Protection and Extended Warranty
There are a lot of additional benefits offer on your credit cards. If you have expensive purchases or travel plan, you might want to take the full benefits that offers in your credit cards.
I always recommend to purchase gift cards to boost your points earning, but I do not recommend using gift cards to purchase your expensive items, because you will lose your purchase protection and even the extended warranty protection that offered by the credit card company. Gift cards strategy is great for consumable items, like food, and gas.
I purchased a new iPhone last year. I dropped my phone on the ground and clipped the edge of the phone in the first month of purchase. Unfortunately and fortunately for the instant, I damaged my new phone but the damage was covered by my credit card company, Chase. I used my Chase United Explorer card to purchase the phone through Target. Because of the purchase protection, I reported the case to Chase, took the phone to Apple for estimated repair cost, and submitted the claim to Chase. In less than 2 weeks, I received a reimbursement check.
If I purchased Target gift cards at Staples by using my Chase Ink Plus card, I could earn 5X ultimate rewards. In this case, if I used Target gift cards to purchase my iPhone at Target, I would lose the purchase protection that covered in the credit card benefits.
Different banks’ credit card might have different protection and rules. If you are making a big purchase, it worth to check out the purchase protection and extended warranty.
Trip Cancellation Insurance
For example, in Chase Ink Plus Business card, it covers:
Trip Cancellation/Interruption Insurance
If your trip is canceled or cut short by sickness, severe weather and other covered situations, you can be reimbursed up to $5,000 per trip for your pre-paid, non-refundable travel expenses, including passenger fares, tours, and hotels.
Trip Delay Reimbursement
If your common carrier travel is delayed more than 12 hours or requires an overnight stay, you and your family are covered for un-reimbursed expenses, such as meals and lodging, up to $500 per ticket.
Travel Accident Insurance
When you pay for your air, bus, train or cruise transportation with your card, you are eligible to receive accidental death or dismemberment coverage of up to $500,000.
Travel and Emergency Assistance Services
If you run into a problem away from home, call the Benefit Administrator for legal and medical referrals or other travel and emergency assistance. (You will be responsible for the cost of any goods or services obtained.)
If you have a roadside emergency, call 1-800-VISA-TOW 24/7 to dispatch the help you need — anything from a tow or jumpstart to a tire change, lockout service, winching or gas delivery — at a cost of $59.95 per service call. (Additional fees may apply.)
Auto Rental Collision Damage Waiver
Decline the rental company’s collision insurance and charge the entire rental cost to your card. Coverage is primary when renting for business purposes and provides reimbursement up to the actual cash value of the vehicle for theft and collision damage for most cars in the U.S. and abroad.
Baggage Delay Insurance
Reimburses you for essential purchases like toiletries and clothing for baggage delays over 6 hours by passenger carrier up to $100 a day for 5 days.
Lost Luggage Reimbursement
If you or your immediate family members’ checked or carry-on bags are damaged or lost by the carrier, you’re covered up to $3,000 per passenger.
Covers your new purchases for 120 days against damage or theft up to $10,000 per claim and $50,000 per account.
Extended Warranty Protection
Extends the time period of the U.S. manufacturer’s warranty by an additional year, on eligible warranties of three years or less.
If a card purchase you made in the U.S. is advertised for less in print or online within 90 days, you can be reimbursed the difference up to $500 per item, $2,500 per year.
You can be reimbursed for eligible items that the store won’t take back within 90 days of purchase, up to $500 per item, $1,000 per year.
Please remember every credit card has its own benefits. Above is the benefits that offered by Chase Ink Plus Business card. It is good to understand your credit card benefits when you travel so you can benefit on the protection and save your money on travel insurance.