TPG reader credit card question: Are authorized users covered by credit card travel insurance?

Jan 25, 2021

This post contains references to products from one or more of our advertisers. We may receive compensation when you click on links to those products. Terms apply to the offers listed on this page. For an explanation of our Advertising Policy, visit this page.

Editor’s note: This is a recurring post, regularly updated with new information.

I generally divide my credit card perks into two categories: those such as annual statement credits or lounge access that I actively try and use to enhance my travel experience and those like travel insurance and purchase protection that I hope to never need, but appreciate being able to count on when I do. TPG reader Adam wants to know who exactly is covered by his card’s travel insurance policy …

If I add an authorized user on my Chase Sapphire Reserve, will they be covered by the same travel insurance policy that I am?

TPG READER ADAM

For more TPG news delivered each morning to your inbox, sign up for our daily newsletter.

There are plenty of good reasons to add someone as an authorized user to your card, including sharing benefits with them, earning points on their spending, and even helping your family members build credit, though remember that you’ll ultimately be responsible for any purchases they make on the card. Many cards will let you add authorized users for free, but premium cards often charge a fee. In the case of the Chase Sapphire Reserve, it’s $75 per year to add an authorized user.

(Photo by Wyatt Smith/The Points Guy)

I also really like this question is because it’s important to understand the terms of your insurance coverage before you need to use it, so you don’t make any hasty and expensive mistakes based on incomplete information. As a reminder, the Chase Sapphire Reserve offers the following travel insurance benefits:

Related: The best credit cards with travel insurance

The exact coverage requirements differ slightly for each policy, but taking the trip cancellation and interruption insurance as an example, here are the covered parties according to Chase’s website:

Now there’s no differentiation here between primary cardholders and authorized users, so I called Chase and spoke to a benefits administrator to confirm. Good news Adam, not only are authorized users covered but in this case, their immediate family members would be as well. “Cardholder” doesn’t just mean the primary account holder, it means any user who’s name is embossed on the Chase Sapphire Reserve credit card.

Here are the covered parties for the trip delay reimbursement:

If you add an authorized user outside of your own family, they would receive coverage for their spouse or domestic partner and dependent children under the age of 22, giving them access to some of the most valuable benefits on the Sapphire Reserve at a fraction of the cost.

Related: Credit cards with the greatest value for authorized users

Bottom line

Some people balk at paying the $75 a year fee to add authorized users on the Sapphire Reserve, but when you think about the fact that they earn full travel insurance coverage as if they were the primary cardholders, this becomes a much better value proposition. This benefit has saved me hundreds of dollars over the years, and Chase is known to offer some of the most comprehensive and generous coverage in the industry on its Chase Sapphire Preferred Card and Reserve cards.

Thanks for the question, Adam, and if you’re a TPG reader who’d like us to answer a question of your own, tweet us at @thepointsguy, message us on Facebook or email us at info@thepointsguy.com.

Featured photo by encrier/Getty Images.

Delta SkyMiles® Platinum American Express Card

Earn 50,000 bonus miles and 5,000 Medallion® Qualification Miles (MQMs) after you spend $2,000 in purchases on your new card in your first three months of card membership. Plus, earn up to $100 back in statement credits for eligible purchases at U.S. restaurants with your card within the first 3 months of membership.

With Status Boost™, earn 10,000 Medallion Qualification Miles (MQMs) after you spend $25,000 in purchases on your Card in a calendar year, up to two times per year getting you closer to Medallion Status. Earn 3X Miles on Delta purchases and purchases made directly with hotels, 2X Miles at restaurants and at U.S. supermarkets and earn 1X Mile on all other eligible purchases. Terms Apply.

Apply Now
More Things to Know
  • Earn 50,000 bonus miles and 5,000 Medallion® Qualification Miles (MQMs) after you spend $2,000 in purchases on your new Card in your first 3 months.
  • Plus, earn up to $100 back in statement credits for eligible purchases at US restaurants with your card within the first 3 months of membership.
  • Accelerate your path to Medallion Status, with Status Boost®. Plus, in 2021 you can earn even more bonus Medallion® Qualification Miles (MQMs) to help you reach Medallion Status.
  • Earn 3X Miles on Delta purchases and purchases made directly with hotels.
  • Earn 2X Miles at restaurants worldwide, including takeout and delivery and at U.S. supermarkets.
  • Earn 1X Miles on all other eligible purchases.
  • Receive a Domestic Main Cabin round-trip companion certificate each year upon renewal of your Card. *Payment of the government imposed taxes and fees of no more than $75 for roundtrip domestic flights (for itineraries with up to four flight segments) is required. Baggage charges and other restrictions apply. See terms and conditions for details.
  • Enjoy your first checked bag free on Delta flights.
  • Fee Credit for Global Entry or TSA Pre✓®.
  • Enjoy an exclusive rate of $39 per person per visit to enter the Delta Sky Club® for you and up to two guests when traveling on a Delta flight.
  • No Foreign Transaction Fees.
  • $250 Annual Fee.
  • Terms Apply.
  • See Rates & Fees
Regular APR
15.74%-24.74% Variable
Annual Fee
$250
Balance Transfer Fee
N/A
Recommended Credit
Excellent/Good
Terms and restrictions apply. See rates & fees.

Editorial Disclaimer: Opinions expressed here are the author’s alone, not those of any bank, credit card issuer, airlines or hotel chain, and have not been reviewed, approved or otherwise endorsed by any of these entities.

Disclaimer: The responses below are not provided or commissioned by the bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by the bank advertiser. It is not the bank advertiser’s responsibility to ensure all posts and/or questions are answered.