Why You Might Want Travel Delay Insurance This Year

Travelers turn to trip delay and luggage insurance as staffing shortages and other systemic issues plague airlines.
Carissa Rawson
By Carissa Rawson 

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Interest in travel insurance is high — and for good reason. Over the last few years, we’ve seen the travel industry shrink, expand and then nearly explode with demand. All these changes come packed with uncertainty, leaving travelers to worry what will happen in the event that things go sideways. 

So what kinds of coverage are people looking for when they're shopping for travel insurance? Let’s take a look. 

Cancel For Any Reason (CFAR) insurance is on the decline

Popular during the pandemic, CFAR insurance allows travelers to, well, cancel for any reason. It’s an optional add-on to other travel insurance packages and can provide reimbursement for you should your travel plans change. CFAR insurance is different in that it doesn’t require a covered event to apply; you can simply wake up one day, change your mind, and get your money back. 

Compared to 2021, data from insurance aggregator Squaremouth shows that searches for CFAR insurance have dropped by 37% in 2022. This makes sense; as countries have reopened their borders and travel restrictions have dropped, more travelers are confident that they’ll actually make it to their vacations. 

Travel delay coverage growing in importance

You know what people are confident about? If you had your eye on the news this summer, you’ll know. Interest in travel delay coverage grew by 74% in 2022, thanks to ongoing chaos as understaffed organizations attempt to meet massive travel demand. 

Trip delay and trip interruption insurance will reimburse travelers in the event that their plans are altered by events beyond their control. This means that if the airline delays and eventually cancels your flight, leaving you stranded overnight in the airport, trip delay insurance will pay for your hotel. It’ll also usually cover food and reasonable expenses incurred by the delay, such as the purchase of a toothbrush, deodorant and clothing. 

🤓Nerdy Tip

Airline lose your bag? Don’t worry, there are steps you can take to retrieve it

Also on the rise is interest in lost baggage and delayed luggage insurance. Lost baggage searches were up by 33%, while searches for delayed luggage insurance increased by 30% in 2022. 

Again, this makes sense if you’ve glanced at the news. Amsterdam Airport Schiphol CEO Dick Benschop resigned in mid-September due to massive delays that forced the airport to cap its flights. These delays also resulted in long lines and lost baggage for many travelers, among other frustrations. 

So, what do you do if you’re on the hunt for these types of insurance? You can always purchase a policy. Companies like Squaremouth will compare quotes across hundreds of companies to get you the best coverage. But there’s another option. 

Psst: You may already have travel insurance 

Do you have a travel credit card? It doesn’t have to be fancy — many travel credit cards come with some form of complimentary insurance, even if you’re not paying an annual fee. 

Chase credit cards are especially good for this. More than 30 of its different hotel, airline and Sapphire-branded cards feature travel insurance. 

The Chase Freedom Flex℠, for example, provides up to $1,500 per person and up to $6,000 per trip for prepaid, nonrefundable passenger fares in the event of trip cancellation or interruption. It charges no annual fee and this insurance is complimentary; you simply need to charge the fare to your card.

The Chase Sapphire Reserve® is another excellent option for travel delay insurance. Featuring some of the best complimentary coverage out there, cardholders will receive up to $500 per person for trip delays of six or more hours. 

It also provides baggage delay insurance and will reimburse you up to $100 per day for up to five days when your bag has been delayed by more than six hours. This will allow you to buy necessities such as toiletries, clothing and chargers for your electronics. 

Finally, the card will also cover you when airlines lose your bag completely. This includes both checked and carry-on bags, with a maximum of $3,000 per person, per trip, to help you replace what you’ve lost. 

Credit card travel insurance isn’t limited to Chase. American Express and Capital One also have a variety of credit cards featuring varying levels of complimentary trip insurance. Here are some good examples:

Because each card offers its own version of travel insurance, you’ll want to check your guide to benefits before relying on it for your trips. 

Travel insurance adapts as your risks do

Travel insurance comes in many flavors, but there’s no denying that the need for trip delay, lost luggage and delayed bag insurance is on the rise. If you’re looking to protect yourself when you travel, you can always opt to purchase a policy. Be sure to get a variety of quotes; coverage levels and costs can vary dramatically between providers. 

Otherwise, check your credit card to see if you already have complimentary travel insurance. The best cards have a full suite of protections, but even those without an annual fee can provide coverage when you’re on the road. 

How to maximize your rewards

You want a travel credit card that prioritizes what’s important to you. Here are our picks for the best travel credit cards of 2024, including those best for:

Cards for Travel Insurance from our Partners
Chase Sapphire Reserve Credit Card

on Chase's website

Chase Sapphire Reserve®
NerdWallet Rating
Rewards rate


Earn 5x total points on flights and 10x total points on hotels and car rentals when you purchase travel through Chase Ultimate Rewards® immediately after the first $300 is spent on travel purchases annually. Earn 3x points on other travel and dining & 1 point per $1 spent on all other purchases


Intro offer


Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $900 toward travel when you redeem through Chase Ultimate Rewards®.

Chase Sapphire Preferred Credit Card

on Chase's website

Chase Sapphire Preferred® Card
NerdWallet Rating
Rewards rate


5x on travel purchased through Chase Ultimate Rewards®, 3x on dining, select streaming services and online groceries, 2x on all other travel purchases, 1x on all other purchases.


Intro offer


Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $750 toward travel when you redeem through Chase Ultimate Rewards®.

Chase Southwest Rapid Rewards® Plus Credit Card

on Chase's website

Southwest Rapid Rewards® Plus Credit Card
NerdWallet Rating
Rewards rate


Earn 2X points on Southwest® purchases. Earn 2X points on local transit and commuting, including rideshare. Earn 2X points on internet, cable, and phone services, and select streaming. Earn 1X points on all other purchases.


Intro offer


Limited-time offer: Earn Companion Pass® good through 2/28/25 plus 30,000 points after you spend $4,000 on purchases in the first 3 months from account opening.

See more cards
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