amex travel insurance delayed flight

Advertiser Disclosure

Many of the credit card offers that appear on this site are from credit card companies from which we receive financial compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). However, the credit card information that we publish has been written and evaluated by experts who know these products inside out. We only recommend products we either use ourselves or endorse. This site does not include all credit card companies or all available credit card offers that are on the market. See our advertising policy here where we list advertisers that we work with, and how we make money. You can also review our credit card rating methodology .

• Credit Cards ›
• Amex Gold Card

Full List of Travel Insurance Benefits for the Amex Gold Card [2023]

Christine Krzyszton

Senior Finance Contributor

306 Published Articles

Countries Visited: 98 U.S. States Visited: 45

Jessica Merritt

Editor & Content Contributor

84 Published Articles 481 Edited Articles

Countries Visited: 4 U.S. States Visited: 23

Senior Editor & Content Contributor

90 Published Articles 660 Edited Articles

Countries Visited: 41 U.S. States Visited: 28

Why We Like the Card Overall

Car rental loss and damage insurance, trip delay insurance, baggage insurance plan, travel accident insurance, emergency travel assistance, no foreign transaction fees, additional travel benefits, final thoughts.

We may be compensated when you click on product links, such as credit cards, from one or more of our advertising partners. Terms apply to the offers below. See our Advertising Policy for more about our partners, how we make money, and our rating methodology. Opinions and recommendations are ours alone.

The American Express ® Gold Card is known for being a go-to card for everyday purchases at restaurants and at U.S. supermarkets. The card also doubles as a travel rewards card offering elevated earnings on select flight purchases and a nice selection of flexible travel redemption options.

The card is far less known for its travel insurance benefits. Today, we’re turning the spotlight on some of the useful travel insurance benefits that come with the card and talking about how these benefits can add value to the cardholder.

First, let’s look at the overall earning and redemption features of the Amex Gold card, then jump right into the list of travel insurance benefits you can expect to find on the card.

Amex Gold Card — Snapshot

American Express ® Gold Card

This is the best card for food lovers who dine out at restaurants (worldwide), order take-out and want big rewards at U.S. supermarkets!

The American Express ® Gold Card  is a game-changer.

With this card, you can earn 4x Membership Rewards points at restaurants and you’ll also earn 4x Membership Rewards points at U.S. supermarkets on up to $25,000 per calendar year in purchases, then 1x.

There isn’t another card on the market that offers a 1-2 punch like this. Of course, there are several other benefits of the Gold Card as well, including extra monthly dining rewards and more.

• 4x points per dollar at restaurants, plus takeout and delivery in the U.S.
• 4x points per dollar at U.S. supermarkets, up to $25,000 per calendar year in purchases; and 1x thereafter
• 3x points per dollar on flights purchased directly from airlines or at Amex Travel
• Up to $120 annual dining credit: up to $10 monthly statement credit when you pay with the Amex Gold card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com , Milk Bar and select Shake Shack locations
• Up to $120 in annual Uber Cash : get $10 monthly in Uber Cash for Uber Eats orders or Uber rides in the U.S. when you add your Gold Card to your Uber account
• No foreign transaction fees (see rates and fees )
• Access to Amex’s The Hotel Collection
• Access to American Express transfer partners
• $250 annual fee (see rates and fees )
• No lounge access
• Earn 60,000 Membership Rewards ® points after you spend $6,000 on eligible purchases with your new Card within the first 6 months of Card Membership.
• Earn 4X Membership Rewards ® Points at Restaurants, plus takeout and delivery in the U.S., and earn 4X Membership Rewards ® points at U.S. supermarkets (on up to $25,000 per calendar year in purchases, then 1X).
• Earn 3X Membership Rewards ® points on flights booked directly with airlines or on amextravel.com.
• $120 Uber Cash on Gold: Add your Gold Card to your Uber account and each month automatically get $10 in Uber Cash for Uber Eats orders or Uber rides in the U.S., totaling up to $120 per year.
• $120 Dining Credit: Satisfy your cravings and earn up to $10 in statement credits monthly when you pay with the American Express ® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, Milk Bar and select Shake Shack locations. Enrollment required.
• Get a $100 experience credit with a minimum two-night stay when you book The Hotel Collection through American Express Travel. Experience credit varies by property.
• Choose the color that suits your style. Gold or Rose Gold.
• No Foreign Transaction Fees.
• Annual Fee is $250.
• Terms Apply.

Financial Snapshot

• APR: See Pay Over Time APR
• Foreign Transaction Fees: None

Card Categories

• Credit Card Reviews
• Credit Cards
• Travel Rewards Credit Cards
• Best Sign Up Bonuses

Rewards Center

American Express Membership Rewards

• Find the Amex Gold 75k or 90k Welcome Bonus Offer
• Benefits of the Amex Gold
• Upgrade Amex Gold to Amex Platinum
• Amex Gold Benefits for Military
• Amex Gold vs Blue Cash Preferred
• Amex Platinum vs Amex Gold
• Amex Gold vs Delta Gold

Hot Tip:  Check to see if you’re eligible for a welcome bonus offer of up to 90,000 points with the Amex Gold card. The current public offer is 60,000 points. (This targeted offer was independently researched and may not be available to all applicants.)

We like that you can jumpstart your earnings with a generous welcome bonus after meeting minimum spending requirements in the first 6 months after card approval.

The Amex Gold card also strikes a nice balance between functioning as an everyday spending card and offering accelerated earnings on flights. It also offers flexible travel redemption options.

You’ll earn 4x Membership Rewards points at restaurants worldwide and at U.S. supermarkets (on up to $25,000 in purchases each year). Plus, you’ll receive 3x earnings on flights purchased directly with the airline and via AmexTravel.com .

With monthly statement credits for select purchases, it’s easy to find enough value to offset the annual fee.

When it’s time to use your rewards, you’ll have options such as redeeming points for flights via AmexTravel.com or transferring your points to the American Express transfer partners for even more potential value.

Amex Gold Card — Travel Insurance Benefits

While the Amex Gold card doesn’t come with a long list of comprehensive travel benefits, you’ll find these core travel insurance benefits useful for saving money and for access to assistance should something go wrong during your journey.

Having car rental insurance can save you money and provide a level of peace of mind when renting a vehicle . The Amex Gold card comes with secondary car rental insurance that would require you to first file a claim with any other applicable insurance before card coverage kicks in.

Secondary coverage can still be valuable coverage, but there is another car rental coverage option included on the card that is a much better choice.

Premium Protection

The option to purchase Premium Protection car rental insurance on the Amex Gold card is a game changer.

You’ll pay one low price of $12.25 to $24.95 for the entire period, up to 42 total days, for primary theft and damage coverage. The actual rate will depend on your state of residence and the level of coverage chosen. Note that this is not a per-day rate like the car rental agencies charge.

Just enroll in the coverage via your online card account, then whenever you charge your rental car to your card, you’ll have the coverage automatically. You are not charged prior to renting a car.

There is no deductible. Accidental death/dismemberment coverage is included. Liability coverage, uninsured/under-insured motorist coverage, or disability coverage is not included.

Cardholders and authorized listed drivers are covered.

Applicable coverages for both secondary and Premium Protection include rental car damage, theft, and loss of use.

Coverage is not available when renting vehicles in Australia, Ireland, Israel, Italy, Jamaica, and New Zealand.

There are several additional exclusions, including the theft of an unlocked vehicle, illegal activity, intoxication of the driver, and war. Access the Guide to Benefits for a complete list of exclusions, terms, and conditions.

Filing a Claim

You can file a claim online or call 800-338-1670. You must file the claim within 30 days of the event and submit the required claim form within an additional 15 days. You’ll then have 60 days to submit the required documentation.

Bottom Line: The Amex Gold card comes with secondary car rental insurance with the option to purchase primary Premium Protection for one low rate that covers the entire rental period. 

To be eligible for trip delay insurance, you must pay for your entire trip with your Amex Gold card, associated rewards, or a combination of the 2. Using airline vouchers, certificates, or discounts, such as those associated with your frequent flyer account, in combination with your card, are also acceptable. Eligible travelers include family members, travel companions, and a spouse or domestic partner.

Trip delay insurance reimburses an eligible traveler for incidental expenses incurred after a 12-hour or greater trip delay. Eligible expenses can include lodging, meals, toiletries, medication, and necessary personal items.

Eligible Losses and Coverage Limits

The following types of losses are eligible covered losses :

• Inclement weather preventing a traveler from beginning a trip or continuing on a trip
• Terrorism or hijacking
• A common carrier’s equipment failure (documented)
• Lost/stolen travel documents, such as passports

You could receive up to $300 per trip with a limit of 2 claims per card, per 12-month period. Coverage is secondary to any other applicable coverage including reimbursement by the airline.

Loss exclusions include prepaid expenses, losses that were known to the public or the traveler prior to the trip, and intentional acts by the covered traveler. Access the card’s  Guide to Benefits for more details on loss exclusions under trip delay coverage.

You’ll have 60 days from the date of the loss to file a claim. You can do so by calling 844-933-0648 or the number on the back of your card to be directed to the claims department.

You’ll then have 180 days to submit the required documentation, which can include a statement from the common carrier validating the delay, receipts, your card statement showing the trip charge, and other requested supporting information.

Bottom Line: The Amex Gold card comes with trip delay insurance that provides up to $300 per trip for eligible expenses incurred after a 12-hour or greater delay due to a covered loss. 

To be eligible for baggage insurance, pay for your common carrier ticket entirely with your Amex Gold card and/or associated rewards. Trips paid for, in full or in part, with non-American Express rewards such as airline loyalty programs are not eligible.

You, your spouse or domestic partner, children under 23, and certain dependent handicapped children are covered for baggage insurance as long as the trip is paid for in full with your card and/or associated rewards.

Lost, damaged, or stolen baggage is covered, except in the event of war, government confiscation, or acts arising out of customer actions, for the following coverage limits.

High-risk items such as jewelry, gold, silver, platinum, electronics, furs, and sporting equipment, are limited to $250 per item maximum, per trip. 

Certain items are not covered under baggage insurance — here is a condensed list of those items:

• Credit cards, cash, securities, or money equivalents (such as money orders or gift cards)
• Travel documents, tickets, passports, or visas
• Plants, animals, or food
• Glasses, contact lenses, hearing aids, prosthetic devices, and prescription or non-prescription drugs
• Property shipped prior to departure

You’ll have 30 days from the date of the loss to file a claim. To file a claim, you can go online or call 800-228-6855 within the U.S. To call from outside of the U.S., call 303-273-6498 collect.

You’ll then have 60 days to submit supporting documentation including a list of items lost, receipts, a statement showing the trip was purchased with the card or associated rewards, and common carrier reports.

Please note that we have abbreviated coverage descriptions and all terms and conditions are not spelled out in their entirety. You’ll want to access the benefits guide for full information.

Bottom Line: You and certain family members are covered for baggage insurance of up to $1,250 per person when traveling with a common carrier. You’ll need to pay for your entire trip with your card or rewards associated with your card for coverage to be valid. 

Travel accident insurance that comes with the Amex Gold card pays a benefit in the unlikely event of accidental death or dismemberment of the primary card member, additional card member, spouse or domestic partner, or children under the age of 23.

The trip must be paid for with the Amex Gold card and/or associated Membership Rewards points (Pay With Points).

The coverage pays a benefit for death or severe injury suffered as a result of riding in, boarding, exiting from, or being struck by a common carrier.

The benefit paid is based on a table provided and can be up to $100,000.

Travel Benefits

While not travel insurance specifically, these additional benefits can provide assistance when planning a trip or if an unexpected event should disrupt your trip.

The Amex Global Assist Hotline provides important 24/7 assistance when traveling more than 100 miles from home. Receive help finding medical, legal, and translation referrals as well as assistance securing emergency transportation.

In addition, you could receive help securing a replacement passport or finding missing luggage.

You can reach the Global Assist Hotline at 800-333-2639. Outside the U.S., call 715-343-7977.

Actual services provided by third parties that incur costs are the responsibility of the cardholder.

Services are also not available in areas such as Cuba, Iran, Syria, North Korea, or the Crimea region.

You’ll want to include the Amex Gold card during your next trip, as the card does not charge foreign transaction fees ( rates & fees ).

Receive help planning your trip with Insider Fares via AmexTravel.com, upgrade your flights with points , American Express Travel Insurance , onsite benefits at The Hotel Collection , Amex Offers , and more.

While the Amex Gold card comes with several valuable travel insurance benefits, you would not select the card for this specific reason. The card shines when it comes to earning on select everyday purchases, for purchasing airline tickets, and its flexible travel redemption options. Those should be key reasons for selecting the card.

The fact that there are travel insurance benefits that come complimentary with the card is just one more reason to consider the card.

If having premium travel insurance benefits is a priority for you, you might consider the Chase Sapphire Preferred ® Card , The Platinum Card ® from American Express , the Chase Sapphire Reserve ® , or the Capital One Venture X Rewards Credit Card , all of which offer some of the best travel insurance benefits.

You can read about more credit cards with travel insurance  in our article on this specific topic.

For the car rental collision damage coverage benefit of the American Express Gold Card, car rental loss and damage insurance can provide coverage up to $50,000 for theft of or damage to most rental vehicles when you use your eligible card to reserve and pay for the entire eligible vehicle rental and decline the collision damage waiver or similar option offered by the Commercial Car Rental Company. This product provides secondary coverage and does not include liability coverage. Not all vehicle types or rentals are covered. Geographic restrictions apply. Eligibility and benefit level varies by card. Terms, conditions and limitations apply. Visit americanexpress.com/benefitsguide for more details. Underwritten by AMEX Assurance Company. Car rental loss or damage coverage is offered through American Express Travel Related Services Company, Inc. For the trip delay insurance benefit of the American Express Gold Card, up to $300 per covered trip that is delayed for more than 12 hours; and 2 claims per eligible card per 12 consecutive month period. Eligibility and benefit level varies by card. Terms, conditions and limitations apply. Visit americanexpress.com/benefitsguide for more details. Underwritten by New Hampshire Insurance Company, an AIG Company. For the baggage insurance plan benefit of the American Express Gold Card, baggage insurance plan coverage can be in effect for eligible persons for eligible lost, damaged, or stolen baggage during their travel on a common carrier (e.g. plane, train, ship, or bus) when the entire fare for a common carrier vehicle ticket for the trip (one-way or round-trip) is charged to an eligible account. Coverage can be provided for up to $1,250 for carry-on baggage and up to $500 for checked baggage, in excess of coverage provided by the common carrier (e.g. plane, train, ship, or bus). For New York State residents, there is a $10,000 aggregate maximum limit for all covered persons per covered trip. Eligibility and benefit level varies by card. Terms, conditions and limitations apply. Visit americanexpress.com/benefitsguide for more details. Underwritten by AMEX Assurance Company. For the global assist hotline benefit of the American Express Gold Card, you can rely on the Global Assist Hotline 24 hours a day / 7 days a week for medical, legal, financial or other select emergency coordination and assistance services while traveling more than 100 miles away from your home. Third-party service costs may be your responsibility. Eligibility and benefit level varies by card. Terms, conditions and limitations apply. Visit americanexpress.com/benefitsguide for more details. Card members may be responsible for the costs charged by third-party service providers.

The information regarding the Capital One Venture X Rewards Credit Card was independently collected by Upgraded Points and not provided nor reviewed by the issuer.

For rates and fees of the American Express ® Gold Card, click  here . For rates and fees of The Platinum Card ® from American Express, click here .

Frequently Asked Questions

Does the amex gold card have travel insurance benefits.

While the list of travel insurance benefits on the Amex Gold card is not extensive, you will find coverage such as secondary car rental insurance, the option to purchase Premium Protection car rental insurance, trip delay, baggage insurance, a Global Assist Hotline, and travel accident insurance.

Does the Amex Gold card have trip interruption or trip cancellation insurance?

No. The Amex Gold card does not offer trip interruption or trip cancellation insurance. The card does come with trip delay insurance.

Does the Amex Gold card charge foreign transaction fees?

No. You will not be charged foreign transaction fees when using the Amex Gold card for foreign purchases ( rates & fees) .

Does the Amex Gold card cover lost luggage?

Yes, the Amex Gold card can cover lost, stolen, or damaged luggage. The coverage is secondary to any coverage or reimbursement received by the airline or other applicable insurance.

Does the Amex Gold card have good car rental insurance?

The Amex Gold card comes with secondary car rental insurance, which means that you must first file a claim with any other applicable insurance before card coverage kicks in. You will have the option, however, to purchase Premium Protection for one low rate that covers the entire rental period, up to 42 days.

Was this page helpful?

About Christine Krzyszton

Christine ran her own business developing and managing insurance and financial services. This stoked a passion for points and miles and she now has over 2 dozen credit cards and creates in-depth, detailed content for UP.

INSIDERS ONLY: UP PULSE ™

Get the latest travel tips, crucial news, flight & hotel deal alerts...

Plus — expert strategies to maximize your points & miles by joining our (free) newsletter.

We respect your privacy . This site is protected by reCAPTCHA. Google's privacy policy and terms of service apply.

Related Posts

UP's Bonus Valuation

This bonus value is an estimated valuation calculated by UP after analyzing redemption options, transfer partners, award availability and how much UP would pay to buy these points.

You'll soon be able to get an automatic refund when your flight is delayed or canceled

• Airlines must start providing passengers with automatic refunds when flights are delayed or canceled.
• New regulations announced Wednesday mean passengers can also get automatic refunds on delayed baggage.
• Previously, airlines set their own policies about when passengers were eligible for refunds.

Airlines are to be required to provide passengers with "prompt" automatic refunds when their flights are delayed or canceled under a new rule from the Department of Transportation, announced on Wednesday .

The regulations, which are being rolled out over the next six to 12 months, also entitle passengers to automatic refunds for delays to checked bags and for airlines' failure to provide paid-for extra services.

Under the DOT regulations, passengers can get a refund if their flight is canceled or significantly changed and they don't accept alternative transportation or travel credits offered. This includes domestic flights delayed by more than three hours and international flights delayed by more than six hours.

Significant changes that make passengers eligible for a refund include a change in the departure or arrival airport, an increase in the number of connections, and being downgraded to a lower traveling class. Passengers can also get a refund if they're switched to connections at different airports or flights on different planes that are less accessible for a person with a disability.

Previously, airlines set their own standards for which circumstances passengers could get a refund in, which could make it confusing for passengers trying to figure out whether they were eligible for a refund and how to apply, the DOT said in a press release.

It added that some airlines gave passengers a travel credit or voucher by default, meaning they couldn't use their refund to rebook on another airline "without navigating a cumbersome request process."

Passengers are also entitled to a refund of their checked bag fee if their bag is delayed and they file a mishandled baggage report. The DOT says that the policy covers bags that aren't delivered within 12 hours of a domestic flight arriving at the gate, or 15 to 30 hours for an international flight, depending on the length of the flight.

And if passengers pay extra for a service such as WiFi, seat selection, or in-flight entertainment and then don't receive this, they're entitled to a refund for the fee they paid.

"The new rule makes it easy for passengers to obtain refunds when airlines cancel or significantly change their flights, significantly delay their checked bags, or fail to provide the extra services they purchased," the DOT said in a press release.

As well as being automatic, the refunds must be "prompt," which it describes as within seven business days for credit card purchases and 20 calendar days for other payment methods.

The refunds must be in whatever payment method the passenger originally used, whether cash, credit card, or airline miles, rather than substituting vouchers or travel credits unless the passenger accepts alternative compensation.  

The DOT also noted that airlines must provide a full refund, including all government-imposed taxes and fees and airline-imposed fees.

Many passengers have previously spoken to Business Insider about their troubles getting compensation for delayed and canceled flights and lost luggage. In 2020, when flights were canceled due to waves of COVID lockdowns, the DOT got more than 102,000 complaints from airline customers in total. Nearly 90,000 were related to refunds.

Travel chaos spiked in the summer of 2022 as vacationers returned to the skies after the pandemic canceled their plans during the two prior years. Summer travel this year is also expected to be significantly disrupted, with Boeing delaying some plane deliveries .

If you enjoyed this story, be sure to follow Business Insider on Microsoft Start.

Airlines will soon have to pay you back if they cancel or delay your flight

Airlines must refund you in cash or your original form of payment — no vouchers..

By Sheena Vasani , a writer covering commerce, e-readers, and tech news. She previously wrote about everything from web development to AI at Inside.

Share this story

The Department of Transportation (DOT) finalized rules that will soon require airlines to quickly refund passengers if they cancel or delay flights or make significant changes.

Airlines must pay passengers back either in cash or in the original form of payment, no matter the reason they cancel their flight. Alternatively, passengers can choose to accept travel credit, other kinds of transportation, or another flight offered by the airline.

Airlines must also refund passengers if their flight itinerary is “significantly changed” and they don’t accept the airline’s alternative travel options. Specifically, this means that you can get your money back if your flight changes its arrival or departure time by three or more hours for domestic flights or six hours if you’re flying internationally. The policy also applies in a few other scenarios, like if your departure or arrival airport has changed.

• Southwest Airlines fined $140 million for holiday meltdown that stranded millions
• Google Flights’ price guarantee could pay you back if your tickets get cheaper

If your paid checked bags are substantially delayed, airlines must also offer you a refund for the baggage fee. You must first file a mishandled baggage report and will get a refund if you don’t receive your bag within 12 hours of your domestic flight arriving at the gate — or 15–30 hours of your international flight. You can also get your money back if the airline doesn’t deliver on in-flight extras you paid for, like seat assignments, Wi-Fi, and entertainment.

The DOT also announced it’ll require airlines to disclose additional fees for things like checked bags and canceling reservations before passengers buy their tickets.

“Airlines should compete with one another to secure passengers’ business—not to see who can charge the most in surprise fees,” US Transportation Secretary Pete Buttigieg said in a statement. “DOT’s new rule will save passengers over half a billion dollars a year in unnecessary or unexpected fees by holding airlines accountable for being transparent with their customers.” 

The DOT will start implementing the new rules over the next six to 12 months.

This self-transforming Megatron is as badass as it is expensive

What happens after your country runs on 99 percent renewable electricity, microsoft needs to win back trust, the fossil-size hole in wear os, a morning with the rabbit r1: a fun, funky, unfinished ai gadget.

More from Transpo

Nissan’s Iruyo knows when your baby is sleeping, knows when they’re awake

Elon Musk wants to turn Tesla’s fleet into AWS for AI — would it work?

Lamborghini’s popular Urus SUV grows a plug — and goes hybrid

The Mercedes G-Wagen, the ultimate off-road status symbol, goes electric

4 times your credit card's travel insurance can help with summer travel woes, and 7 times it won't

Travel is more unpredictable than ever this summer. I've been lucky that none of my summer trips so far have been incredibly affected by delays or cancellations. But, air travel is a total nightmare right now , and staffing is still an issue for many travel providers — so it's likely only a matter of time.

Other TPG staffers have recently experienced issues. For example, TPG's Sean Cudahy got caught in last week's travel mess , while TPG's Nick Ewen spent time in New Jersey instead of Greece due to weather-related delays.

If you've been reading TPG for a while, you may already know that some credit cards provide travel insurance when you use your card to book your flights (or pay the taxes and fees on award flights ). And you may even be using one of these cards to book your trips. But you may not know what is and isn't covered by these benefits when your travel doesn't go smoothly.

In this guide, I'll give a high-level overview of some scenarios where you can — and can't — expect your credit card's travel insurance benefits to assist.

Sign up for our daily newsletter for more TPG news delivered each morning to your inbox.

Credit card travel insurance

We've written entire articles about credit cards that provide travel insurance . So, I recommend checking out the following stories to learn more about the travel insurance provided by top travel rewards cards :

• What your credit card's trip protection covers — and what it doesn't
• Flight delayed? Remember these 4 things if you want trip delay reimbursement from your credit card
• Flight delayed or canceled? Here are the best credit cards with trip delay reimbursement
• When to buy travel insurance versus when to rely on credit card protections

But, the protections provided by each card are different. So I recommend reading — or at least skimming — your card's guide to benefits before your next trip to familiarize yourself with those specifics. You can call the number on the back of your card for a physical copy or link if needed.

Cards like the Capital One Venture X Rewards Credit Card , Chase Sapphire Preferred Card , Ink Business Preferred Credit Card and The Platinum Card® from American Express provide excellent travel protections. But, I believe the Chase Sapphire Reserve provides the best travel insurance overall.

In this guide, I'll discuss how the benefits offered to Chase Sapphire Reserve cardholders (see the Chase Sapphire Reserve guide to benefits here ) would help (or not) in several scenarios. If you generally pay for your travel with a different card, consider how the benefits on your card may differ.

Related: Travel is tricky right now — here are 7 mistakes to avoid on your next trip

4 times when your credit card's travel insurance can help

If your travel doesn't go smoothly this summer, benefits from your travel rewards credit card may offer reimbursement or other help. Here are four real-life scenarios where your credit card's travel insurance may come in handy.

Your flight is significantly delayed or canceled

First, the bad news: You'll need to work with your airline to get rebooked if your flight is canceled. And if your flight is significantly delayed, you'll need to either wait out the delay or work with your airline to get rebooked on a different flight.

But, the good news is that some cards offer trip delay reimbursement when you use your card to pay for your flight (or the taxes and fees on an award ticket). And this benefit can help as you wait for your delayed or rebooked flight.

For example, if you used the Chase Sapphire Reserve to book your original flight, Chase may reimburse you for "reasonable expenses incurred during the delay." In particular, you can get up to $500 per ticket when you're delayed for more than six hours or your delay forces you into an overnight stay. Chase says reasonable expenses include "meals, lodging, toiletries and medication."

But, you'll only be covered if you are delayed due to "equipment failure, inclement weather, strike [or] hijacking/skyjacking." So, if you're delayed due to the crew timing out during inclement weather, you'll be covered. But if the airline simply can't find any crew to operate your flight and doesn't provide you documentation stating the delay or cancellation is due to one of the aforementioned eligible reasons, you won't be covered.

Related: Chase paid for my $1,100-per-night hotel room thanks to built-in trip delay coverage

Your baggage is significantly delayed

Once again, let's discuss the bad news first: You must report your delayed baggage to the travel supplier. For example, if your checked baggage doesn't appear on the belt after your flight, you'll need to go to the airline's baggage office and fill out a report.

Usually, the airline will start trying to locate your baggage at this point. But often, the airline won't offer to reimburse you for any essentials you might need while you're separated from your baggage.

Luckily, some credit cards cover baggage delays . For example, if you used the Chase Sapphire Reserve to book your flight, Chase may reimburse you "for the emergency purchase of essential items, such as toiletries, clothing, and chargers for electronic devices (limit one per device)."

In particular, Chase may reimburse you up to $100 per day for up to five days. To qualify for this coverage, your baggage must be "delayed or misdirected" for at least six hours.

The items you purchase and include for reimbursement should be "essential." But, Chase excludes some items from reimbursement, including hearing aids, artificial teeth, prosthetic devices, tickets, jewelry, electronics and recreational equipment.

Related: What to do when your luggage is delayed or lost by an airline

You must cancel or interrupt a trip

First things first: No credit card offers " cancel for any reason " trip insurance as a complimentary benefit. But, if you must cancel or interrupt your trip for specific reasons, Chase Sapphire Reserve cardholders might be eligible for reimbursement of "nonrefundable prepaid travel expenses charged by a travel supplier" and "redeposit fees imposed by a rewards program administrator." And in the case of trip interruption, cardholders can be reimbursed change fees and costs to return a vehicle to their residence or the closest rental agency.

Many credit cards offer trip cancellation and interruption insurance . But, you'll only be eligible for reimbursement if you must cancel or interrupt your trip for specific reasons listed in the guide to benefits. For example, you may be eligible for reimbursement if you can't postpone or waive a call to jury duty or subpoena from the courts, and you prepaid for nonrefundable travel expenses with your Chase Sapphire Reserve .

Related: American Express adds new 'cancel for any reason' coverage option on flights

Your luggage is lost or damaged

Earlier, I discussed a scenario where your baggage is delayed. But, it's also possible that your luggage becomes lost, stolen or damaged. As with delayed baggage, you'll need to file a claim with the travel provider once you discover the issue.

Some travel providers will provide reimbursement to repair or replace your luggage. But, if the reimbursement isn't enough, you can also seek additional reimbursement via the baggage insurance offered by your credit card. If you booked your travel with your Chase Sapphire Reserve, you could get up to $3,000 per traveler per trip.

Related: The airline couldn't find my luggage — luckily I had Apple AirTags

7 times your credit card's travel insurance won't help

Of course, your credit card's travel insurance won't help you in every situation. Although you may still find relief through your travel provider or individual travel insurance , here are some real-world scenarios where you wouldn't be covered by the Chase Sapphire Reserve's travel protections :

• You want to be on a different flight: Flight delays and cancellations are frustrating. But, you'll need to work with your airline to get on a different flight. None of the trip delay insurance offered by credit cards will let you buy a new flight and then reimburse it.
• Staffing issues lead the airline to delay or cancel your flight: According to the Chase Sapphire Reserve's guide to benefits, only delays to your trip that are caused by "equipment failure, inclement weather, strike [or] hijacking/skyjacking" are eligible for trip delay reimbursement. So, if the airline can't find crew for your flight due to its employees being sick, for example, you won't be covered.
• Your lodging canceled on you: It's frustrating to be walked from a hotel or have your lodging canceled on you. After all, you may face much higher prices if you need to book a new stay. But, except in specific cases covered by trip cancellation and interruption insurance — such as if your lodging at your trip's destination is "made uninhabitable" — your credit card benefits aren't going to help.
• Your common carrier or travel insurance policy already provides what you need: As an example, if you are delayed overnight and the airline provides you with hotel and meal vouchers, you can't claim reimbursement for these same expenses through your credit card's trip delay benefit . The Chase Sapphire Reserve's guide to benefits states the trip delay benefit "applies to reasonable expenses incurred during your delay not otherwise covered by your common carrier, another party or your primary personal insurance policy."
• Your delay caused you to miss things you already paid for: Trip delays may cause you to miss shows, activities, separately booked flights, hotel nights and more. But, the Chase Sapphire Reserve's trip delay benefit is only for reasonable expenses you incur during your delay. As such, any prepaid trip expenses won't be covered.
• You have to cancel or interrupt your trip for a noncovered reason: As discussed above, the trip cancellation and interruption insurance offered by credit cards like the Chase Sapphire Reserve only covers you if you need to cancel or interrupt your trip for select reasons. So, if you need to cancel or interrupt your trip for other reasons, your credit card's travel insurance won't help. For example, you wouldn't be covered by the Chase Sapphire Reserve's insurance if you didn't obtain a necessary visa or your airline became financially insolvent.
• You left an item or bag behind on the train, airplane or boat: Although some Amex cards include recently purchased items you lose under purchase protection insurance , most travel insurance offered by credit cards won't reimburse you for items you inadvertently left behind.

Travel insurance benefits vary from card to card, though. And, only select family members may be covered along with you for some benefits. So take a look at your card's guide to benefits or call the number on the back of your credit card to learn whether your specific scenario will be covered.

Related: 8 times your credit card's travel insurance might not cover you

Bottom line

Of course, this article assumes you used a credit card with travel insurance to pay for your trip, and the exact protections vary from card to card. But hopefully, this guide gave you an idea of the types of help you may get from your credit card's travel insurance if things go wrong with a trip this summer or beyond.

Finally, some premium travel cards offer an additional perk that may help if you face troubles this summer: lounge access . It can be much more relaxing to wait out a delay in the comfort of a lounge. Plus, you may gain access to agents that can help you rebook or handle complicated bookings if you have access to your airline's lounge.

For Capital One products listed on this page, some of the above benefits are provided by Visa® or Mastercard® and may vary by product. See the respective Guide to Benefits for details, as terms and exclusions apply

An official website of the United States government Here's how you know

Official websites use .gov A .gov website belongs to an official government organization in the United States.

Secure .gov websites use HTTPS A lock ( Lock A locked padlock ) or https:// means you’ve safely connected to the .gov website. Share sensitive information only on official, secure websites.

Biden-Harris Administration Announces Final Rule Requiring Automatic Refunds of Airline Tickets and Ancillary Service Fees

Rule makes it easy to get money back for cancelled or significantly changed flights, significantly delayed checked bags, and additional services not provided  

WASHINGTON – The Biden-Harris Administration today announced that the U.S. Department of Transportation (DOT) has issued a final rule that requires airlines to promptly provide passengers with automatic cash refunds when owed. The new rule makes it easy for passengers to obtain refunds when airlines cancel or significantly change their flights, significantly delay their checked bags, or fail to provide the extra services they purchased.

“Passengers deserve to get their money back when an airline owes them - without headaches or haggling,” said U.S. Transportation Secretary Pete Buttigieg . “Our new rule sets a new standard to require airlines to promptly provide cash refunds to their passengers.”  

The final rule creates certainty for consumers by defining the specific circumstances in which airlines must provide refunds. Prior to this rule, airlines were permitted to set their own standards for what kind of flight changes warranted a refund. As a result, refund policies differed from airline to airline, which made it difficult for passengers to know or assert their refund rights. DOT also received complaints of some airlines revising and applying less consumer-friendly refund policies during spikes in flight cancellations and changes. 

Under the rule, passengers are entitled to a refund for:

• Canceled or significantly changed flights: Passengers will be entitled to a refund if their flight is canceled or significantly changed, and they do not accept alternative transportation or travel credits offered. For the first time, the rule defines “significant change.” Significant changes to a flight include departure or arrival times that are more than 3 hours domestically and 6 hours internationally; departures or arrivals from a different airport; increases in the number of connections; instances where passengers are downgraded to a lower class of service; or connections at different airports or flights on different planes that are less accessible or accommodating to a person with a disability.  
• Significantly delayed baggage return: Passengers who file a mishandled baggage report will be entitled to a refund of their checked bag fee if it is not delivered within 12 hours of their domestic flight arriving at the gate, or 15-30 hours of their international flight arriving at the gate, depending on the length of the flight.  
• Extra services not provided: Passengers will be entitled to a refund for the fee they paid for an extra service — such as Wi-Fi, seat selection, or inflight entertainment — if an airline fails to provide this service.

DOT’s final rule also makes it simple and straightforward for passengers to receive the money they are owed. Without this rule, consumers have to navigate a patchwork of cumbersome processes to request and receive a refund — searching through airline websites to figure out how make the request, filling out extra “digital paperwork,” or at times waiting for hours on the phone. In addition, passengers would receive a travel credit or voucher by default from some airlines instead of getting their money back, so they could not use their refund to rebook on another airline when their flight was changed or cancelled without navigating a cumbersome request process.  

The final rule improves the passenger experience by requiring refunds to be:

• Automatic: Airlines must automatically issue refunds without passengers having to explicitly request them or jump through hoops.   
• Prompt: Airlines and ticket agents must issue refunds within seven business days of refunds becoming due for credit card purchases and 20 calendar days for other payment methods.  
• Cash or original form of payment: Airlines and ticket agents must provide refunds in cash or whatever original payment method the individual used to make the purchase, such as credit card or airline miles. Airlines may not substitute vouchers, travel credits, or other forms of compensation unless the passenger affirmatively chooses to accept alternative compensation.    
• Full amount: Airlines and ticket agents must provide full refunds of the ticket purchase price, minus the value of any portion of transportation already used. The refunds must include all government-imposed taxes and fees and airline-imposed fees, regardless of whether the taxes or fees are refundable to airlines.

The final rule also requires airlines to provide prompt notifications to consumers affected by a cancelled or significantly changed flight of their right to a refund of the ticket and extra service fees, as well as any related policies.

In addition, in instances where consumers are restricted by a government or advised by a medical professional not to travel to, from, or within the United States due to a serious communicable disease, the final rule requires that airlines must provide travel credits or vouchers. Consumers may be required to provide documentary evidence to support their request. Travel vouchers or credits provided by airlines must be transferrable and valid for at least five years from the date of issuance.

The Department received a significant number of complaints against airlines and ticket agents for refusing to provide a refund or for delaying processing of refunds during and after the COVID-19 pandemic. At the height of the pandemic in 2020, refund complaints peaked at 87 percent of all air travel service complaints received by DOT. Refund problems continue to make up a substantial share of the complaints that DOT receives.

DOT’s Historic Record of Consumer Protection Under the Biden-Harris Administration

Under the Biden-Harris Administration and Secretary Buttigieg, DOT has advanced the largest expansion of airline passenger rights, issued the biggest fines against airlines for failing consumers, and returned more money to passengers in refunds and reimbursements than ever before in the Department’s history.

• Thanks to pressure from Secretary Buttigieg and DOT’s flightrights.gov dashboard, all 10 major U.S. airlines guarantee free rebooking and meals, and nine guarantee hotel accommodations when an airline issue causes a significant delay or cancellation. These are new commitments the airlines added to their customer service plans that DOT can legally ensure they adhere to and are displayed on flightrights.gov .  
• Since President Biden took office, DOT has helped return more than $3 billion in refunds and reimbursements owed to airline passengers – including over $600 million to passengers affected by the Southwest Airlines holiday meltdown in 2022.   
• Under Secretary Buttigieg, DOT has issued over $164 million in penalties against airlines for consumer protection violations. Between 1996 and 2020, DOT collectively issued less than $71 million in penalties against airlines for consumer protection violations.  
• DOT recently launched a new partnership with a bipartisan group of state attorneys general to fast-track the review of consumer complaints, hold airlines accountable, and protect the rights of the traveling public.  
• In 2023, the flight cancellation rate in the U.S. was a record low at under 1.2% — the lowest rate of flight cancellations in over 10 years despite a record amount of air travel.  
• DOT is undertaking its first ever industry-wide review of airline privacy practices and its first review of airline loyalty programs.

In addition to finalizing the rules to require automatic refunds and protect against surprise fees, DOT is also pursuing rulemakings that would:

• Propose to ban family seating junk fees and guarantee that parents can sit with their children for no extra charge when they fly. Before President Biden and Secretary Buttigieg pressed airlines last year, no airline committed to guaranteeing fee-free family seating. Now, four airlines guarantee fee-free family seating, and the Department is working on its family seating junk fee ban proposal.  
• Propose to make passenger compensation and amenities mandatory so that travelers are taken care of when airlines cause flight delays or cancellations.   
• Expand the rights for passengers who use wheelchairs and ensure that they can travel safely and with dignity . The comment period on this proposed rule closes on May 13, 2024.

The final rule on refunds can be found at https://www.transportation.gov/airconsumer/latest-news and at regulations.gov , docket number DOT-OST-2022-0089. There are different implementation periods in this final rule ranging from six months for airlines to provide automatic refunds when owed to 12 months for airlines to provide transferable travel vouchers or credits when consumers are unable to travel for reasons related to a serious communicable disease. 

Information about airline passenger rights, as well as DOT’s rules, guidance and orders, can be found at   https://www.transportation.gov/airconsumer .

Airlines required to refund passengers for canceled, delayed flights

Transportation Secretary Pete Buttigieg announced the new rules Wednesday.

Good news for airline travelers: the Department of Transportation on Wednesday announced it is rolling out new rules that will require airlines to automatically give cash refunds to passengers for canceled and significantly delayed flights.

"This is a big day for America's flying public," said Transportation Secretary Pete Buttigieg at a Wednesday morning news conference. Buttigieg said the new rules -- which require prompt refunds -- are the biggest expansion of passenger rights in the department's history.

Airlines can no longer decide how long a delay must be before a refund is issued. Under the new DOT rules, the delays covered would be more than three hours for domestic flights and more than six hours for international flights, the agency said.

MORE: Amid Boeing safety probe, clock ticks on effort to disclose details of 2021 DOJ deal over 737 Max crashes

This includes tickets purchased directly from airlines, travel agents and third-party sites such as Expedia and Travelocity.

The DOT rules lay out that passengers will be "entitled to a refund if their flight is canceled or significantly changed, and they do not accept alternative transportation or travel credits offered."

DOT will also require airlines to give cash refunds if your bags are lost and not delivered within 12 hours.

The refunds must be issued within seven days, according to the new DOT rules, and must be in cash unless the passenger chooses another form of compensation. Airlines can no longer issue refunds in forms of vouchers or credits when consumers are entitled to receive cash.

Airlines will have six months to comply with the new rules.

"Passengers deserve to get their money back when an airline owes them -- without headaches or haggling," Buttigieg said in a statement.

The DOT said it is also working on rules related to family seating fees, enhancing rights for wheelchair-traveling passengers for safe and dignified travel and mandating compensation and amenities if flights are delayed or canceled by airlines.

Buttigieg said the DOT is also protecting airline passengers from being surprised by hidden fees -- a move he estimates will have Americans billions of dollars every year.

The DOT rules include that passengers will receive refunds for extra services paid for and not provided, such as Wi-Fi, seat selection or inflight entertainment.

The rules come after the agency handed Southwest Airlines a record $140 million fine for its operational meltdown during the 2022 holiday travel season.

MORE: New whistleblower claims put Boeing's quality control under more scrutiny

Buttigieg said Southwest's fine sets a "new standard" for airlines and passenger rights.

"To be clear, we want the airline sector to thrive. It is why we put so much into helping them survive the pandemic and honestly it's why we're being so rigorous on passenger protection," he said.

Buttigieg reiterated that refund requirements are already the standard for airlines, but the new DOT rules hold the airlines to account and makes sure passengers get the "refunds that are owed to them."

"Airlines are not enthusiastic about us holding them to a higher standard," Buttigieg said, adding that he "knows they will be able to adapt to this."

Airlines for America, the trade association for the country's leading passenger and cargo airlines, told ABC News in a statement that its members "offer a range of options -- including fully refundable fares." Is said consumers are "given the choice of refundable ticket options with terms and conditions that best fit their needs at first search results."

The group said the 11 largest U.S. airlines issued $43 billion in customer refunds from 2020 through 2023 nearly $11 billion in refunds just last year.

Related Topics

Top stories.

Ex-official told investigators Trump had 'no standing declassification order'

• Apr 25, 6:55 PM

Could a president stage a coup? And 9 more key moments from Trump's immunity hearing

• Apr 25, 3:18 PM

Walmart US CEO talks inflation, self-checkout, and non-college degree workers

• Apr 25, 7:51 PM

US won't sanction Israeli units accused of human rights violations in West Bank

5 takeaways from historic Supreme Court arguments on Trump's immunity claim

• Apr 25, 4:06 PM

ABC News Live

24/7 coverage of breaking news and live events

• Credit cards
• View all credit cards
• Banking guide
• Loans guide
• Insurance guide
• Personal finance
• View all personal finance
• Small business
• Small business guide
• View all taxes

You’re our first priority. Every time.

We believe everyone should be able to make financial decisions with confidence. And while our site doesn’t feature every company or financial product available on the market, we’re proud that the guidance we offer, the information we provide and the tools we create are objective, independent, straightforward — and free.

So how do we make money? Our partners compensate us. This may influence which products we review and write about (and where those products appear on the site), but it in no way affects our recommendations or advice, which are grounded in thousands of hours of research. Our partners cannot pay us to guarantee favorable reviews of their products or services. Here is a list of our partners .

4 Things to Know About AmEx Trip Cancellation Insurance

Many or all of the products featured here are from our partners who compensate us. This influences which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money .

As a card issuer, American Express is well-known for its generous benefits. So whether you’re looking for statement credits , elevated earnings on dining or hotel elite status , AmEx probably has a card that’ll fit.

Among these perks is travel insurance, which can cover you when things go awry. But how does AmEx trip cancellation insurance work, and what does it cover? Let’s take a look.

1. What does American Express trip cancellation insurance cover?

AmEx has different levels of trip insurance depending on the card you hold. Its high-end cards, such as The Platinum Card® from American Express , provide the best benefits, including trip cancellation travel insurance . Terms apply.

Generally speaking, trip cancellation insurance from AmEx will cover your trip's prepaid, nonrefundable costs under eligible circumstances. The coverage maximum for reimbursement is $10,000 per trip and $20,000 per 12-month period. To be covered for trip cancellation, you’ll need to have paid the full amount of the trip with your eligible AmEx card or a combination of your card and other certificates, vouchers or miles.

Covered circumstances in which AmEx will reimburse you for trip cancellation include:

Accidental injury, sickness or loss of life concerning you, a traveling companion or a family member.

Inclement weather prevents you from traveling.

A change in military orders for either you or your spouse.

Hijacking or terrorist acts.

Jury duty or a subpoena if they cannot be postponed or waived.

If your dwelling becomes uninhabitable (e.g., your home catches fire).

Quarantine as imposed by a doctor.

» Learn more: How to find the best travel insurance

Finally, the trip must be round-trip, though the travel can consist of round-trip, one-way and open-jaw tickets . AmEx will reimburse more than your flight costs if you have a covered loss. Other types of purchases that AmEx will cover include:

Any other common carriers.

Common carriers are companies licensed to transport passengers across land, sea or air and require passengers to obtain a ticket before travel. This means rental cars, taxis, ride-share, and commuter travel services don’t qualify. However, tickets for regular bus lines, commercial airlines and standard rail lines do.

Be aware that AmEx’s trip cancellation insurance is secondary; it’ll pay out after other insurance and providers have made their payments.

» Learn more: How does credit card travel insurance work?

2. Which AmEx cards include trip cancellation insurance?

We’ve already mentioned The Platinum Card® from American Express as one that provides trip cancellation insurance, but there are plenty of others that do so as well.

These include both consumer and small business cards, such as the:

Business Centurion Card from American Express.

Centurion Card From American Express.

Delta SkyMiles® Reserve American Express Card .

Delta SkyMiles® Reserve Business American Express Card .

Hilton Honors American Express Aspire Card .

Marriott Bonvoy Brilliant® American Express® Card .

The American Express Platinum Card for Schwab.

The Business Platinum Card® from American Express .

The Corporate Platinum Card.

The Platinum Card from American Express for Ameriprise Financial.

The Platinum Card from American Express for Goldman Sachs.

The Platinum Card from American Express for Morgan Stanley.

The Corporate Centurion Card from American Express.

Terms apply.

Other AmEx cards have different types of travel insurance , including trip delay reimbursement, rental car insurance and lost luggage compensation.

» Learn more: The best travel credit cards right now

3. Who is covered?

When using your eligible AmEx card to pay for your travel, you’re not the only person covered by trip cancellation insurance. These benefits likewise cover you, your family members and any traveling companions.

American Express defines family members as your domestic partner, spouse or unmarried child up to the age of 19 (or under the age of 26 if your child is a full-time college student). Traveling companions are those who have made advanced arrangements with you or your family to travel together.

» Learn more: Credit cards that provide travel insurance

4. How to file a claim

To file a claim for reimbursement through AmEx’s trip cancellation insurance coverage, you’ll need to notify your benefits administrator. This must be done within 60 days of the covered loss or you’ll run the risk of your claim not being honored.

To contact your benefits administrator and open a claim, call 844-933-0648.

You’ll also need to complete the cancellation procedures for your travel provider. For example, if you’ve booked a flight with, say, Delta Air Lines, you’ll want to navigate Delta’s website to be sure that your ticket has been appropriately canceled.

You’ll then need to furnish written proof of your loss within 180 days of its occurrence. Gather various paperwork, such as:

Copies of your common carrier and travel supplier receipts.

Your card statement showing that you used your AmEx card to pay for the trip.

A copy of the travel supplier’s cancellation policy.

Proof of your covered loss; this may include military orders, a note from your physician or jury duty.

AmEx might extend the deadline for documentation up to one year after your loss if it isn't possible for you to provide it in a timely manner.

AmEx may require other paperwork depending on your situation, but you'll want to coordinate with your benefits administrator to see if this is necessary.

» Learn more: Airline travel insurance versus your credit card's

Trip cancellation insurance from AmEx recapped

AmEx's high-end credit cards provide many benefits, including the protection of trip cancellation insurance. To be eligible for coverage, you'll need to use your card to pay for a covered trip. You'll also need to have a qualifying reason for cancellation.

AmEx will pay you up to $10,000 in losses for approved claims.

All information about the Business Centurion Card from American Express, Centurion Card From American Express, The American Express Platinum Card for Schwab, The Corporate Platinum Card, The Platinum Card from American Express for Ameriprise Financial, The Platinum Card from American Express for Goldman Sachs, The Platinum Card from American Express for Morgan Stanley and The Corporate Centurion Card from American Express has been collected independently by NerdWallet. These cards are no longer available through NerdWallet.

How to maximize your rewards

You want a travel credit card that prioritizes what’s important to you. Here are our picks for the best travel credit cards of 2024 , including those best for:

Flexibility, point transfers and a large bonus: Chase Sapphire Preferred® Card

No annual fee: Bank of America® Travel Rewards credit card

Flat-rate travel rewards: Capital One Venture Rewards Credit Card

Bonus travel rewards and high-end perks: Chase Sapphire Reserve®

Luxury perks: The Platinum Card® from American Express

Business travelers: Ink Business Preferred® Credit Card

On a similar note...

Money latest: The 'German classic' that's a healthier and cheaper alternative to crisps

Crisps are on the menu today as we see where you can make healthier choices for the best value. Elsewhere, the boss of Sainsbury's has insisted customers like self-checkouts - do you agree? Leave your thoughts in the box below.

Friday 26 April 2024 14:54, UK

• New research reveals cost of having children
• Sainsbury's boss insists customers like self-checkouts
• FTSE 100 hits another record high
• Halifax hikes mortgage rates - as entire market moves upwards

Essential reads

• Do smart meters actually save you money?
• How to buy the healthiest crisps
• The world of dark tourism - what is it, is it ethical and where can you go?
• Money Problem : I have a mortgage offer - will it change now rates are rising?
• Savings Guide : Why locking into fixed-rate bond could be wise move
• Cheap Eats : Michelin chef's secret lasagne tip - and expensive ingredient you shouldn't use

Ask a question or make a comment

Rishi Sunak has hailed the arrival of pay day with a reminder his government's additional National Insurance tax cut kicks in this month for the first time.

At last month's budget, the chancellor announced NI will be cut by a further 2p - so some workers will pay 8% of their earnings instead of the 12% if was before autumn.

The prime minister has repeated his claim this will be worth £900 for someone on the average UK salary.

While this additional cut - on top of the previous 2p cut in January - does equate to £900 for those on average full-time earnings of £35,000, there are two key issues with Mr Sunak's claim:

• Once the effect of all income tax changes since 2021 are taken into account, the Institute for Fiscal Studies reports an average earner will benefit from a tax cut of £340 - far less than £900;
• Moreover, anyone earning less than £26,000 or between £55,000-£131,000 will ultimately be worse off.

In short, this is because NI cuts are more than offset by other tax rises.

We explain below how this is the case...

Tax thresholds

This is partly down to tax thresholds - the amount you are allowed to earn before you start paying tax (and national insurance) and before you start paying the higher rate of tax - will remain frozen. 

This means people end up paying more tax than they otherwise would, when their pay rises with inflation but the thresholds don't keep up. 

This phenomenon is known as "fiscal drag" and it's often called a stealth tax because it's not as noticeable immediately in your pay packet.

That low threshold of £12,570 has been in place since April 2021. 

The Office for Budget Responsibility says if it had increased with inflation it would be set at £15,220 for 2024/25.

If that were the case, workers could earn an extra £2,650 tax-free each year.

Less give, more take

Sky News analysis shows someone on £16,000 a year will pay £607 more in total - equivalent to more than three months of average household spending on food. 

Their income level means national insurance savings are limited but they are paying 20% in income tax on an additional £2,650 of earnings.

In its analysis , the IFS states: "In aggregate the NICs cuts just serve to give back a portion of the money that is being taken away through other income tax and NICs changes - in particular, multi-year freezes to tax thresholds at a time of high inflation."

Overall, according to the institute, for every £1 given back to workers by the National Insurance cuts, £1.30 will have been taken away due to threshold changes between 2021 and 2024.

This rises to £1.90 in 2027.

The UK could face a shortage of cava due to a drought in the sparking wine's Spanish heartlands.

The Penedes area of Catalonia is dealing with its worst drought on record, with vineyards across the region so parched the roots of 30-year-old vines have died.

It's left shrivelled red and green grapes languishing under intense sun, fuelled by fossil-fuel driven climate change.

Cava is an increasingly popular drink in the UK, with 17.8 million bottles sold in 2023 - an increase of 5% from the previous year, when Britons stocked up on 16.8 million bottles, according to the Cava Regulatory Board.

That makes the UK the fourth-biggest buyer, behind only the US, Belgium and Germany.

Workforce slashed

The problems have been compounded after Catalonia-based cava producer Freixenet announced it will temporarily lay off 615 workers, almost 80% of its workforce.

Under Spanish law, companies facing exceptional circumstances can lay off staff or reduce working hours.

This measure is expected to take effect from May and it is not known how long it will last.

Price rises

One industry source told retail publication The Grocer  that cava shortages would push up prices "certainly for next year" if there isn't enough supply.

This could last for years if the drought persists, they added.

Consumer expert Helen Dewdney told MailOnline the staff cuts at Freixenet can only mean one thing - price rises.

However, she added, supermarkets say they are not experiencing any issues right now.

Parents are being hammered by rising childcare costs, according to a new study that suggests they may spend more than £160,000 raising their child to the age of 18.

Research by Hargreaves Lansdown has found that parents with children pay £6,969 a year more than couples without.

Over 18 years and assuming an annual inflation rate of 3%, that amounts to a whopping £163,175, the investment platform said.

Its study also found that parents were less likely to have money left at the end of the month.

Single parents carry the biggest burden, with the research suggesting they have just £85 left on average compared to £365 for couples with children.

Hargreaves Lansdown also found just 23% of single parents reported having enough emergency savings to cover at least three months' worth of essential expenses, compared to 63% of couples with children.

Parents are also at a slight disadvantage when it comes to pensions, the research found, with only 43% of couples with children on track for a moderate retirement income, compared to 47% without. Only 17% of single parents have a decent projected pension fund.

Sarah Coles, head of personal finance at the firm, said "having children is one of the most expensive decisions a person can make".

She adds that as a result of having a child, "financial resilience suffers across the board", and added: "For single parents, life is even tougher, and they face far lower resilience on almost every measure.

"It means we need all the help we can get."

By Daniel Binns, business reporter

One of the top stories shaking up the markets this morning is that UK-based mining company Anglo American has rejected a major $38.8bn (£31bn) takeover bid.

Details of the attempted buyout by Australian rival BHP emerged yesterday  - sending Anglo American shares soaring.

The deal would have created the world's biggest copper mining company - with the news coming as the price of the metal hit record highs this week.

However, Anglo American has now dismissed the proposal as "opportunistic" and said BHP had undervalued the company.

Anglo's shares are slightly down by 0.8% this morning - suggesting investors may not have given up hopes that a deal could eventually be agreed.

However, overall the FTSE 100 is up around 0.4% this morning, buoyed by strong reported earnings from US tech giants Microsoft and Google owner Alphabet.

It's helped the index, of the London Stock Exchange's 100 most valuable companies, hit yet another intraday (during the day) record of 8,136 points this morning.

The winning streak comes after a week of all-time highs on the index - including a record close of 8,078 points yesterday. The score is based on a calculation of the total value of the shares on the index.

Among the companies doing well this morning is NatWest - despite the bank reporting a fall in pre-tax profits of nearly 28% for the first quarter of the year.

Shares in the lender are up more than 3% after its results were better than expected by analysts.

On the currency markets, £1 buys $1.25 US or €1.16, almost on a par with yesterday.

Meanwhile, the price of a barrel of Brent crude oil has crept up slightly to $89 (£71).

Self-checkouts - they're like marmite, people seem to either love them or hate them.

But the boss of Sainsbury's has claimed that his customers do  enjoy using self-checkouts, despite criticism that that machines don't always provide the convenience promised.

Simon Roberts told The Telegraph that there are more of them in Sainsbury's stores "than a number of years ago" as shoppers like the "speedy checkout".

But despite this, he said there won't be a time when they'll replace cashiers completely.

"Over the last year, where we've put more self-checkouts in, we're always making sure that the traditional kind of belted checkout is there," he said.

His comments come after northern supermarket Booths ditched self-checkouts at all but two of its sites after customer feedback. 

Walmart and Costco in the US have also scaled back on the systems.

Let us know in the comments - do you love or hate self-checkouts?

We've all heard consumer advice that's repeated so often it almost becomes cliché. So, every Friday the Money team will get to the bottom of a different "fact" and decide whether it's a myth or must.

This week it is...

'Smart meters save you money'

For this one, we've enlisted the help of Dr Steve Buckley, also known as the Energy Doctor and head of data science at Loop...

So do smart meters help you save? 

"The short answer is both yes and no," Steve says.

"Installing a smart meter by itself won't magically reduce your energy consumption. But, by giving you easy access to your energy usage data, smart meters pave the way for savings that you couldn't achieve otherwise."

Before smart meters, most households only found out how much energy they had used when the bill arrived. 

By that stage it's too late to address wasteful usage, leading to what's known as "bill shock". 

"With a smart meter, you can see your usage and costs in real-time through an in-home display or an app provided by your supplier," Steve says. 

"This immediate feedback encourages you to use less energy. If you measure it, you can control it."

In 2022, the Department for Energy Security and Net Zero found that homes with smart meters used about 3.4% less electricity and 3% less gas. 

"This might not seem like a lot, but it adds up to a saving of over £50 per household annually," Steve says.  

If all homes in the UK made similar cuts, that would amount to savings of around £1.5bn and a potential reduction in CO2 emissions by about 2.7m tonnes each year. 

"Good for individual households but also great for the planet," Steve says. 

Smart meters are often installed at no extra cost to the consumer - it's effectively free data for households. 

Limitations

Smart meters are more or less what you make of them - a simple, free tool that allows you to see headline figures. 

However, "without detailed analysis, it's tough to identify and eliminate" where you could be wasting money, Steve says. 

Apps like Utrack, Loop and Hugo Energy can help you work out where you might be losing money by offering a more detailed breakdown if connected to your smart meter. 

Those tools are often free, but you may need to register your card details as proof of address. 

The tools give a number of useful insights, including looking at consumption in other households of similar size or monitoring where chunks of your money are going, such as to a faulty boiler or the "phantom load" (energy wasted by devices left on unnecessarily).

Myth or must?

Although smart meters alone don't reduce energy bills, they are a vital tool to help energy efficiency and cost savings. 

By Ollie Cooper, Money team

It can be hard to balance getting nutritious foods that make you feel good without spending a lot.

In this series, which ends today after digging into yoghurt, bread, pasta, fruit juice and plant-based milk, we've tried to find the healthiest options in the supermarket for the best value.

Sunna Van Kampen,  founder of  Tonic Health ,  who went viral on social media for reviewing food in the search of healthier choices, has given his input for the past six weeks.

And for the final part of the series, we're looking at the nation's favourite snack: crisps. 

The series does not aim to identify the outright healthiest option, but to help you get better nutritional value for as little money as possible.

We're a people obsessed: in the UK, we get through six billion packets of crisps a year.

Sunna has three easy tips for finding the tastiest options that are kinder to your body...

1. Understand the fat facts

"Typical crisps can be oil sponges and contain over 30% fat from low-quality vegetable oils that have been fried," Sunna says. 

"What we are on the lookout for those that buck the trend and stay away from the fat." 

So, he says, aim for crisps that contain less than 15% total fat.

2. Fibre up your snack time

"While crisps aren't exactly salad, some can offer more nutritional value than others," Sunna says.

"Check the labels for options that have more fibre or protein."

These help you feel fuller for longer and also keep your digestive system happy.

3. Portion control

"It's easy to demolish an entire bag in one sitting - however, many brands offer multipack bags that are portion-controlled, usually around 25g a bag," Sunna says.

Sticking to these helps to manage calorie intake and stops overindulging.

The big picture

"Small changes might not immediately seem like a lot but if you eat a bag a day with your lunch, we are talking about up to a whopping two litres of oil cut from your diet over the course of the year," Sunna says,

"This is not permission to eat crisps every day (enjoy as an occasional treat) but rather an indication of how small changes add up quickly overtime."

The good news is Sunna's recommendations are all similar in price to their popular, fattier rivals - so you don't need to make a bigger investment to reap some health benefits. 

We've included the prices for the brands' standard multipacks at Tesco - correct as of time of writing. 

Walkers Oven Baked - £1.95 for six-pack

"Around £1.95 for a pack of six, these crisps are baked, not fried, slashing the fat content to 13%, so a great option."

Popchips - £2.25 for five-pack

"These have just 13% fat content as they're popped rather than fried so are a great way to go reducing fat without compromising on the crunch."

And for some non-crisp options...

ProperCorn Popcorn - £2 for six-pack

Often described as "the healthier, lighter option", Sunna says ProperCorn "isn't actually the best option on the market for fat content at 17.4%".

That being said, you do get "double the fibre of standard crisps at 10.9g per 100g". 

At only £2 for a pack of six, it's well-priced, too.

Snack A Jacks - £2.20 for five-pack

"At only 8.3% fat per 100g, it's a great option at £2.20 for a pack of five."

Penn State Baked Pretzels - £1.50 for 175g bag

Now for Sunna's winner.

"The German classic is a great option at only 4.6% fat per 100g," he says.

One downfall is that they are not available in portioned bags, so be careful with the whole 175g bag for £1.50.

Want another option altogether?

"If you want to be even healthier, consider the switch to nuts, seeds or even dried cheese snacks," Sunna says.

"Higher in calories yes, but higher in good healthy fats too and are more satiating which will limit the chance of overeating."

The nutritionist's view -  from  Dr Laura Brown , senior lecturer in nutrition, food and health sciences at Teesside University...

"Baked instead of fried crisps is definitely a way forward as well as the popcorn suggestion," she says.

"We should also be aiming to look at the amount of protein and fibre found in products. For example, lentil and pea snacks are growing in popularity due to their higher protein and fibre values, so the focus should be more on looking for ingredients other than potatoes, oil and salt. 

"I also feel 'crisp' based snacks made in an air fryer are becoming more popular. These can include a wholemeal wrap with a small amount of oil added, and placed in the air fryer with paprika and other seasoning added for flavour. 

"Also, chickpeas in the air fryer make for a super delicious protein and fibre rich snack. They are cheaper than crisps and lower in fat since no oil has to be added."

Read more from this series... 

Halifax has become the latest major lender to up mortgage rates.

They are putting up a range of deals by 0.2%.

BM Solutions also announced increases today.

It follows similar moves by TSB, NatWest, Virgin, Barclays, Accord, Leeds Building Society, HSBC and Coventry last week.

Lenders are responding to swap rates - which dictate how much it costs to lend money - rising on the back of higher than expected US inflation data, and concerns this could delay interest rate cuts there. 

US trends often materialise elsewhere - though many economists are still expecting a base rate cut from 5.25% to 5% in the UK in June.

This is what average mortgage rates look like as of today...

Justin Moy, managing director of EHF Mortgages, told Newspage: "Yet more bad news for mortgage borrowers, as two of the biggest lenders announce increases to their fixed-rate products. 

"As mortgage rates creep up and past 5% even for those with the largest deposits, we seem to be lacking a clear strategy of the government or the Bank of England on how rates will eventually fall. 

"Even 2% inflation may not be enough to reverse the recent trends in rates."

Morrisons has launched two major changes for shoppers – with stores now offering travel money and trolleys featuring advertisements.

Announcing their bureau de change service, Morrisons said customers could exchange currencies in select stores or could place their money orders online at Morrisonstravelmoney.com.

Using the online service means customers can either click and collect their cash in certain Morrisons stores or at any of Eurochange's 240 branches. Alternatively, they can go for home delivery.

Services director at Morrisons, Jamie Winter, said the service "will provide our customers with easy access to a wide range of currencies at competitive exchange rates".

So far, stores in the following areas have travel money kiosks:

• Basingstoke

In other news, the supermarket chain rolled out a new trolley advertising across 300 stores in a partnership with Retail Media Group.

A sweetener used in drinks, sauces, savoury and sweet foods and chewing gum can cause serious damage to people's health, according to a new study.

Neotame, a "relatively new" sweetener, could damage the intestine by causing damage to healthy bacteria in the gut, according to the study, leading it to become diseased and attack the gut wall.

The study by Anglia Ruskin University (ARU), published in the journal Frontiers in Nutrition, found the negative effect of neotame "has the potential to influence a range of gut functions resulting in poor gut health", potentially impacting metabolic and inflammatory diseases, neuropathic pain, and neurological conditions.

The illnesses this could lead to include irritable bowel disease or insulin resistance.

Read the full story here ...

Be the first to get Breaking News

Install the Sky News app for free

You are using an outdated browser. Please upgrade your browser to improve your experience.

Personal Accounts

Business Accounts

Online Services

Help & Support

Personal Cards

Businesses Cards

Featured Personal and Business Cards

Discover More

Online Travel

Business Travel

Other Travel Services

Credit Card

Membership Rewards® Program

Other Reward Programs

Benefits and Offers

Refer a Friend

Corporations

Small Business

Global Network

You are now leaving this American Express website and will transfer to the Royal & Sun Alliance Insurance Company of Canada(RSA) website. RSA is responsible for handling your claim. All of the information you provide will be subject to the RSA Privacy Policy that can be found on their website. Claims are subject to terms, conditions, limitations and exclusions as outlined in the Certificate of Insurance. Please continue to the RSA website by clicking continue below. Continue Cancel

Trip cancellation & trip interruption insurance.

Why do I need it?

Sometimes the unexpected happens, and you can’t go on your trip as planned or have to return home early. Amex ®  Travel Insurance † can protect you from financial losses when your trip is cancelled or interrupted due to an unexpected event.

What’s included?

Coverage is available for cancellations, interruptions and accidents that may occur before or on your trip.

Trip Cancellation

Covers non-refundable and non-transferable prepaid travel expenses if you have to cancel your trip due to unexpected or unforeseen events, up to a maximum of $15,000 per person / $30,000 per family (Single-Trip Plan).

Trip Interruption

Covers non-refundable and non-transferrable unused portion of your prepaid travel arrangements for trip interruptions up to a maximum of $15,000 per person / $30,000 per family (Single Trip Plan). For trip delays, out-of-pocket expenses may be reimbursed up to $100 per day, up to a maximum of $1,000 per person / $3,000 per family (Single-Trip Plan).

Flight & Travel

Provides life and disability protection for unexpected loss as a result of a travel or flight accident, up to a maximum of $50,000.

Recommended Travel Plans

Emergency Medical

Trip Cancellation Insurance

Trip Interruption Insurance

Baggage & Personal Effects

Flight & Travel Accident

Frequently Asked Questions

How does COVID-19 affect my coverage?

What are the trip cancellation and trip interruption benefits and limits.

Trip Cancellation and Trip Interruption Insurance provides reimbursement of expenses incurred as a result of a covered reason for eligible pre-paid travel arrangements, transportation and out-of-pocket expenses. For complete benefit details, including maximum benefit limits,  view our different plans and download the insurance certificates , or call  1-844-200-8959 .

When should I purchase Trip Cancellation/Interruption Insurance?

If you plan on purchasing pre-paid travel arrangements, you may want to consider purchasing trip cancellation/trip interruption coverage in order to protect your investment should you have to cancel or interrupt your trip due to one of the covered reasons.

Why do I need Trip Cancellation and Trip Interruption Insurance?

Sometimes the unexpected happens, and you can’t go on your trip as planned or have to return home early. Trip Cancellation and Trip Interruption Insurance can help protect you from financial losses when your trip is canceled or interrupted due to an unexpected event.

Contact us: 1-844-200-8959

Mon - Fri: 8am-8pm (EST); Sat: 9am-5pm (EST)

†  Amex ®  Travel Insurance is optional group travel insurance underwritten by Royal & Sun Alliance Insurance Company of Canada. You may contact the insurer at 1-888-877-1710 in Canada and the U.S. or visit rsagroup.ca. In this outline, we have given a brief description of just some of the benefits available under Amex ® Travel Insurance. All insurance coverage is subject to the terms and conditions of the Group Policy issued to Amex Bank of Canada and the applicable limitations and exclusions described in the Certificate of Insurance issued upon enrollment. Please read the Certificate of Insurance carefully. Amex ® Travel Insurance is underwritten by Royal & Sun Alliance Insurance Company of Canada. Amex Bank of Canada identifies insurance providers and products that may be of interest to some of its customers. In this role we do not act as an agent or fiduciary for you, and we may act on behalf of the insurance provider, as permitted by law. We want you to be aware that we receive compensation from insurance providers and our compensation may vary by provider and product. We do not require you to purchase any insurance product, and you may choose to cover your insurance needs from other sources on terms they may make available to you.

® , TM: Used by Amex Bank of Canada under license from American Express.

© 2022 Royal & Sun Alliance Insurance Company of Canada. All rights reserved. ®RSA, RSA & Design and related words and logos are trademarks and the property of RSA Insurance Group Limited, licensed for use by Royal & Sun Alliance Insurance Company of Canada. RSA is a trade name of Royal & Sun Alliance Insurance Company of Canada.