I just realised that I am covered by two different credit card travel insurances:
- HSBC Platinum CC (their PDS)
- Bankwest Platinum CC (their PDS)
Their PDSs say that if you have other insurance that I need to seek a claim there first and that they will make up the difference.
I know that I can't "double dip", but I am wondering if anyone has ever been caught in a situation where the 2 insurers are both pointing at the other insurer to process the claim first?
I purchased flights with HSBC and purchased accommodation with Bankwest. My understanding of the elibility criterias on both PDSs is that I qualify for both.
If I am incorrect, I'd still be curious to know of situations where insurers are pointing at each other.
Most CC travel insurance is only triggered by buying flights, so in this case I think only your HSBC cover applies.
Practically, while according to the letter of their PDS they can point at each other, unless you've made a claim under another policy they won't (and won't be able to - AFCA) deny a claim just because you have another similar (credit card, not standalone) travel insurance policy that might apply.
Thanks.
It does seem more logical for the policy to be triggered by purchasing flights. But the Bankwest PDS says
spend at least $500 on prepaid travel costs (i.e. the cardholder’s travel costs you pay for before leaving Australia), which can include any of the following:
i. return overseas travel tickets
ii. airport/ departure taxes
iii. prepaid overseas accommodation/travel
iv. prepaid overseas itinerary items,
@lowKey: Huh, interesting.
Quick google says (from https://www.finder.com.au/multiple-travel-insurance-policies):
Australian insurance law stipulates that if you hold two insurance policies with identical coverage, both insurers can share the cost of covering the claim, but are not required to pay out 100% of that claim.
And you're supposed to disclose your other policy to whoever you actually claim with.
CBA's travel insurance doesn't require a purchase, but does require you to activate it manually.
I think even if you don't activate it before you travel, you are still get medical covers for just having a current credit card account.
Yeah, for medical cover provided you have no preexisting conditions, you don't need to activate. Activating is required for other covers though (eg, your travel provider goes out of business etc and also may reduce your excess.)
In short, just start with one (of your choice) and ride that as far as you need to. Then, if necessary, deal with the second.
Also, take note with CBA policy that rental car excess is only covered for around $2500 (with the option of purchasing more for $$$) The PDS fine print states you are not covered if the incident happens on an unsealed road :(
Surely only the policy for the card you used to pay for the travel is applicable, so you'd very rarely have a situation where both policies are in play?