The Five Figure Bonus my Credit Card Gave Me  

 

“Fun is like life insurance; the older you get, the more it costs.”

–Kin Hubbard

 

It was a general ache below my sternum at first. And then the pain began to spread slowly and inexorably around my heart.

The clock showed it was four in the morning. I got out of bed and went downstairs, and hoped the pain would go away. I could not sleep anyway.

We were scheduled to take off for the trip of a lifetime to India and Nepal in 12 hours. What to do?

My spouse came downstairs, worried, wondering what was going on. After a brief conversation, I went upstairs and ran a bath. Maybe the heat from the bath would help.

It helped a little, but the pain remained. When I got out, it flared up again.

After a lot of thought, I decided to go to the emergency room. I felt absolutely terrible. I was not going to India if the pain persisted anyway.

Of course, once there we waited in the lobby for hours, but they finally admitted me. At that point, I was sweating, and the pain was becoming overwhelming, unlike anything I had ever felt before. It was almost unendurable, radiating out from the center of my chest, both searing and excruciating.

The attending nurse told me to breathe and relax; they could not isolate what the pain was yet. Maybe it was just stress. She told me it was probably in my head.

Absolutely not true. I hated her.

The pain traveled south and changed. It felt like a gigantic key inside my chest that was turning—and ripping out everything and taking my internal organs with it. They gave me pain medication, and that helped, but only a little.

The attending doctors finally ran a series of tests. At the end they came in with the answer: my gallbladder had to be surgically removed.

So they did.

I woke up in the hospital bed hours later, glad to be alive. My spouse was relieved, and grateful. The sun streaming through the windows was the most beautiful thing I had ever seen.

So, we had a lot to be thankful for. Everything, actually. But reality set in on another front: the money for the five-figure trip was gone. We would get over it, but it added insult to the injury I had suffered.

I had not gotten trip insurance. After all, what could go wrong? Stupid, stupid, stupid.

The tour company was sympathetic but did not help. You end up in the hospital the day you are to leave? Tough. No trip insurance, no refund. We keep your money. We told you that up front.

The airline was a little better. Show us a doctor’s note, if you qualify we may give you half your money back. Better than nothing.

I had made the mistake of thinking that my medical plan, which would cover overseas expenses, was all I would need. It was fine—but it was not enough. Not nearly enough.

It was like going to the pier near us, taking out my wallet, and dropping a wad of thousand dollar bills into the water. Plonk!

And then in the middle of this misery, one of my friends told me I should check with my credit card company.

I thought: fat chance. I had only put a few hundred down on the trip through the card. Why should they pay up?

But they did. All of it except the airline fees.

Of course, now I claim I knew it all along.

You see, some credit cards often have provisions that work like trip insurance. In this case, two travelers are covered for $5,000 each. It was right in the contract. And if anyone in my family got sick or worse and we had to cancel, they covered that too.

If I had asked them up front, I would have known that. All I had to do was call them, and they would have referred me to the proper website. It was written down and in plain English.

Pretty much a happy ending: my money came back, but my gallbladder left forever.

The point: you need trip insurance for expensive overseas holidays. But it is very costly. At this writing, I am planning to go overseas in a few months, and the charge is about ten percent of the total cost through the travel company. And the trip is not cheap. Still, most people absolutely should take it.

I am the exception. I won’t be using their coverage. Here is why:

1. My medical insurance covers the same overseas expenses, including evacuation.
2. The provisions of my credit card policy cover nearly all of the trip costs if things go wrong.

So, do not try this at home, unless you are very sure and have done ALL your homework…..

Don’t do as I did: I had the right result for the wrong reason. It should have been the wrong result.

Oh yeah, I still hate that nurse.

Postscript: we made it to India the next year. The photos are of Varanasi and the Taj Mahal.

SUMMARY

1. You need trip insurance if you have paid up front for travel expenses.
2. Check out the provisions of trip insurance. Do they evacuate, cover your medical expenses, allow you to get a refund if your parents, kids or others at home get sick/etc. while you are away? Print it out. Read everything.

ACTION STEPS

1. When traveling, check the provisions of trip insurance. Read the contract.
2. Consider the alternatives to trip insurance: a combination of credit card coverage and your existing medical coverage, and evacuation insurance that is purchased separately. Read and print out what they cover. Do not take anyone’s word for it. Use it if you feel comfortable. For simplicity use the card for all of the trip travel purchases. That way there will be no question about reimbursement if you need it.
3. Check back. Card provisions change from time to time.
4. If you are not sure, take the trip insurance. Do not take a chance.

 

Disclaimer: consult with a financial professional before taking any steps outlined here. Not all advice is suitable for your circumstances or investment style.