Is Credit Card Travel insurance still valid if you cancel your card before the flight ?

imp on 10/08/2015 - 18:47

Booked flights with our HSBC CC in December last year and counting on the free travel insurance that comes with our package.
Flights are in a few months.
Given HSBC has changed their CC terms to reduce the benefits, we have contacted them to cancel the cards and will be changing to Citibank.

Suddenly wondered if this will effect our travel insurance.
Rang the number on the Zurich HSBC CC insurance document and it was diverted to Allianz…..apparently HSBC have changed insurers. I asked the question and was told that if the card was cancelled I was no longer insured.
Eventually managed to speak to someone at Zurich (many diverted calls and 30 mins on hold later) and was told that the policy does not say that I still have to have the account active so therefore it would still apply. Wouldn't put that in writing to me though….. Not exactly reassuring.

Anyone have experience or advice?

Financial

Comments

  • [Deactivated] on 10/08/2015 - 19:24

    Check the PDS

    • imp on 10/08/2015 - 21:57

      checked and it doesn't specifically say

  • Davo1111 on 10/08/2015 - 19:35
    +1

    I seriously doubt you're covered, before or after cancelling the cards

  • oscargamer on 10/08/2015 - 19:57
    +2

    is it worth the risk?

    use www.travelinsurancedirect.com.au

    • imp on 10/08/2015 - 21:59

      Going to Bali so flight cancellations are no longer covered

  • Regie69 on 10/08/2015 - 20:56

    Travel insurance is so cheap. Not worth the risk. Auspost do a yearly one if your a frequent traveller

  • snook on 11/08/2015 - 11:36

    If it doesn't specifically say then that's your answer.

    I would get other travel insurance.

  • DealzEddy123 on 11/08/2015 - 15:32
    +1

    The answer is no from my experience. It usually DOES say in the card's PDS, not the insurance's PDS.

    e.g. American Express:
    Termination
    Cover will terminate at the earlier of the following:
    • cancellation of the American Express Platinum Edge Credit Card Account; or
    • termination of the Master Policy.

    and it's commonly said, if you can't afford travel insurance, you can't afford to travel.

  • anna10 on 11/08/2015 - 15:36

    If they didn't put it in writing, it didn't happen. Even though they record all phone calls, it's too hard. Try emailing the company with a question.

    I'd say that no extant cc = no other perks such as travel insurance.

  • Euphemistic on 12/08/2015 - 07:54

    What's wrong with hanging onto your card and not using it? Seems like a big risk to cancel the card if you don't get other travel insurance.

    • DealzEddy123 on 14/08/2015 - 13:12

      annual fees, need the credit for another loan etc.

  • Zurich Insurance on 12/08/2015 - 09:28

    Hi,
    I work in the Zurich digital team, sorry to hear of your troubles getting answers to this.
    Unfortunately Zurich is no longer the insurer for the HSBC Complimentary Credit Card Insurance which is now with Allianz Global Assistance. You will have to contact AGA for assistance on this issue 1800 648 093.
    Michael

    • imp on 12/08/2015 - 18:09

      Thanks Michael, but the transaction was made when Zurich was the insurer, not AGA. Do they take over all the previous insured events - such as the extended warranty and the travel insurance - with the same conditions and limits etc.
      I would have thought that new transactions would be with AGA but existing policies would be with Zurich.
      Would be good if you could answer the question.

  • Zurich Insurance on 14/08/2015 - 09:55
    +3

    Hi,

    Any claim made before before July 31 is still made to Zurich, if made after 1 August then it will be via AGA, regardless of when the event took place.

    Michael

    • imp on 18/08/2015 - 21:07

      Strange, but HSBC are saying the exact opposite.
      Might need to contact the Ombudsman

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