Changes to CBA Travel Insurance Activation

[Dvg]

Pardon the dumb question but if after 7/2 I purchase an airline ticket on the card at say $1200 does that qualify me to still get the free travel insurance, asking as a 73 yo with no pre-existing conditions who’s cost of bought cover has almost doubled. It seems the actuaries have determined 72 is the “danger zone” for us seniors lol.

 

[theblank]

Pardon the dumb question but if after 7/2 I purchase an airline ticket on the card at say $1200 does that qualify me to still get the free travel insurance, asking as a 73 yo with no pre-existing conditions who’s cost of bought cover has almost doubled. It seems the actuaries have determined 72 is the “danger zone” for us seniors lol.

You should read the relevent sections of the PDS.

If you dont understand it you can should ask the insurer, or quote the section of the PDS that you dont understand here for an unqualified opinion.

 

[straitman]

Pardon the dumb question but if after 7/2 I purchase an airline ticket on the card at say $1200 does that qualify me to still get the free travel insurance, asking as a 73 yo with no pre-existing conditions who’s cost of bought cover has almost doubled. It seems the actuaries have determined 72 is the “danger zone” for us seniors lol.

I had an interesting discussion with them today. Specifically asked some what if questions which included your situation.

eg
If I fly A - B on points then
stay in a hotel on points then fly
B - C on points
and only then purchase a hotel or airfare the TI is still valid so long as the purchase is done before leaving Australia.

As a side line though then CBA policy does not provide Covid cover for cruises and there is no way around that.

 

[Brissy1]

before leaving Australia.

That's unfortunate, my hotels like Hilton are often cancelable>24hours before, and they don't take anything off the cr card before then.

 

[straitman]

That's unfortunate, my hotels like Hilton are often cancelable>24hours before, and they don't take anything off the cr card before then.

Agreed. I rarely prepay hotel accommodation.

 

[stopthecap]

I fly Points only, Stay in my own condo overseas and fly point home. Ive been with CBA for their insurance for as many years as i can count. Now im retired i dont even know if i can get a credit card anymore... Can someone advise do any credit include insurance now? Seems like im going to have to pay one way and points back.

On another note re: CBA or any insurane.. i usually fly one way and return when im ready by booking. Is this still covered?

TLDR:
1) What is the best card for people who need travel insurance and only use points
2) Are one way trips covered, (even if you return within a year)

 

[henrus]

Can someone advise do any credit include insurance now?

Some credit cards like Amex/BOQ technically provide cover it if the points come from the card (or could have) however I have not tried this and would recommend checking with them first. Amex don't specifically provide a certificate of insurance unless requested which differs from CBA/Covermore who provide it on activation. Bankwest also don't appear to have any purchase requirements.

Here is a list of some banks that offer credit card products with travel insurance included (and the hurdle required):
ANZ - Requires $250 single transaction spend on the card prior to travel
Amex - Requires trip purchased on card or points from card (see above)
Commbank - Requires $500 single transaction spend on the card prior to travel
David Jones Mastercard - Requires return flights purchased on the card
Bankwest - No purchase required
Bank of Queensland- Requires return flights purchased on the card (or points earned from the card)
HSBC - Requires $500 single transaction spend on the card prior to travel
Bendigo Bank - Requires $500 single transaction spend on the card prior to travel
Bank SA - Requires $500 single transaction spend on the card prior to travel
Bank of Melbourne - Requires $500 single transaction spend on the card prior to travel
St George - Requires $500 single transaction spend on the card prior to travel
Suncorp - Requires $500 single transaction spend on the card prior to travel
NAB - Doesn't appear to have a purchase requirement for international travel and $250 for domestic
Westpac - Requires $500 single transaction spend on the card prior to travel
Qudos - Requires $500 single transaction spend on the card prior to travel
BankVic - Requires $500 single transaction spend on the card prior to travel
ING - Requires $500 single transaction spend on the card prior to travel and a card with a credit limit of $6k+


Bankwest with no limit or activation required seems to be the best and ANZ with only a $250 spend requirement is second best.

On another note re: CBA or any insurane.. i usually fly one way and return when im ready by booking. Is this still covered?

For CBA international travel you just need to spend $500 (in a single transaction) on anything prepaid related to the trip before you leave Australia. This can be flights, accomodation, car hire, tours, cruise etc. They do not ask for proof of this to take out the policy but do require proof if you make a claim.

2) Are one way trips covered, (even if you return within a year)

It's worth noting that even CBA insurance doesn't provide coverage for one way trips. You need to have return ticket booked (this can be two seperate one way tickets but there needs to be a flight back to Australia).

All else failing you could look at an annual plan if travelling a lot or just single policies for each trip if travel isn't very frequent. Obviously it goes without saying take anything above of my research with a grain of salt and dig into the PDS's for each to check they're valid.

 

[CaptJCool]

citibank has a special provision to enable rewards flights to be acquired which can trigger the free credit card insurance

before leaving Australia you:
• spend at least $500 on your prepaid travel costs (i.e. your travel costs that you pay for before leaving Australia) and you charge these costs (e.g. cost of your return overseas travel ticket; and/or airport/departure taxes; and/or your prepaid overseas accommodation/travel; and/or your other prepaid overseas itinerary items) to the accountholder’s card account; or
• obtain your return overseas travel ticket via your airline frequent flyer program, provided a minimum of 15,000 points were transferred to that frequent flyer program from points earned on a Citi branded card or via Citi Rewards, over a 12 month period prior to obtaining the overseas travel ticket; or
• obtain your return overseas travel ticket under the Qantas Frequent Flyer Program where a minimum of 15,000 points earned on a Citi branded card is automatically transferred to your Qantas Frequent Flyer account over a12 month period prior to obtaining the return overseas travel ticket; or
• obtain your return overseas travel ticket under the Citi Travel Program on or before 31 August2022; and

3. you have a return overseas travel ticket before leaving Australia; and
4. you are aged under 81 years at the time you become eligible for the cover available by meeting conditions 1 to 3 listed above.

 

[Flyfrequently]

IME most complimentary credit card policies are $500 spend per pax

 

[CaptJCool]

IME most complimentary credit card policies are $500 spend per pax

and 15,000 points at 0/5-$1 is an "annual" spend of $30,000 ....

 

[amp-qld]

While I’m ok with a pre trip spend obligation on the cardholder of $500 in itself I think the “spend $500 in a single transaction” is harsh. Surely those folk at Covermore Insurance have calculators. Sometimes when making airline bookings for two or more passengers the airline splits the single booking transaction into two or more transactions on the credit card statement. If you are listening CommBank and Covermore I ask that you rethink this one and buy your staff calculators so they can add up a number of smaller transaction.

Agreed. We've just had Air Canada split a single booking for two people into four separate transactions, none of which reach the $500.

 

[theblank]

NAB is $500 travel expense spend.
spouse and kids of cardholder are covered, not $500 each.

Have not heard of any policy that requires $500 spend per person.

 

[ethernet]

ACCC would have a difficult time proving market collusion in this space. But over the past 20 years or so - they have followed in each others footsteps. Including the fact that credit cards have fees here in .au (Related to no liability which the banks hate). In USA, it can be tricky getting a credit card, but a debit card is real easy. And there are often no fees, and it covers car rental insurance in Australia. Combined with the fact the AUD has continued down the S-Bend, something like a Federal Navy CC is attractive if you are related to someone who has served. Presently USA savings rates are better than AUD institutions. For multiple reasons, including troubles using Australian CC's I have parked some of my wealth overseas. Presently furious that transferring money is expensive in .au with many approaching 1% and no discount for amounts over 50K.

 

[wxxnxs]

NAB is $500 travel expense spend.
spouse and kids of cardholder are covered, not $500 each.

Have not heard of any policy that requires $500 spend per person.

Westpac doesn't require $500 per single transaction, but its policy provider Allianz does say "have used this card to spend at least A$500 of each traveler's prepaid travel cost", so if you have any family members to travel with you and you'd like to get them all covered, you will have to prepay $500 x number of people.

 

[Flyfrequently]

NAB is $500 travel expense spend.
spouse and kids of cardholder are covered, not $500 each.

Have not heard of any policy that requires $500 spend per person.

My Westpac Platinum is $500 per pax @theblank

 

[amp-qld]

There was a discussion about exactly when the CBA changes came into force. Last year, I had activated two policies for trips from 29th Feb to April and July to September 2024. Some people interpreted the new rules to mean that you had to spend $500 for any trips starting after 7th Feb while I interpreted it as the insurance was valid and the excess was still $250 if you had activated it before then. As we had already paid for everything on the first trip before the new rules came out, I just had to hope I was right. As it happened, my wife was ill on a cruise ship and we had to claim. Luckily, I was right and we were paid out in full less the $250 excess.

Before we got confirmation that the insurance was valid, I did try to spend $500 in one go on the second trip as mentioned on this thread but the airline split the payment. However, I'm now comfortable that the cover is valid anyway.

 

[burmans]

I was never in doubt on this based on the T&Cs!

 

[amp-qld]

I was confident that the words said this but not 100% that it was what CBA meant.

 

[burmans]

Well I’m also confident in the Financial Ombudsman’s ability to force banks to adhere to their own T&Cs !

 

[Scr77]

There was a discussion about exactly when the CBA changes came into force. Last year, I had activated two policies for trips from 29th Feb to April and July to September 2024. Some people interpreted the new rules to mean that you had to spend $500 for any trips starting after 7th Feb while I interpreted it as the insurance was valid and the excess was still $250 if you had activated it before then. As we had already paid for everything on the first trip before the new rules came out, I just had to hope I was right. As it happened, my wife was ill on a cruise ship and we had to claim. Luckily, I was right and we were paid out in full less the $250 excess.

Before we got confirmation that the insurance was valid, I did try to spend $500 in one go on the second trip as mentioned on this thread but the airline split the payment. However, I'm now comfortable that the cover is valid anyway.

Were you happy with the claims process? Ie was it approved without too much fighting?