Best Credit Cards For Purchase Protection
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There are few things worse having something valuable stolen or accidentally damaged soon after you purchased it. In some cases, you may be able to file a claim with your home owner’s or renter’s insurance policy, but often with a large deductible. Otherwise, most people would just have to absorb the loss. But thankfully, many credit cards offer a purchase protection policy that covers items paid for with your card. These policies can cover eligible items against theft or accidental damage in the months after purchase. But to use these policies you must comply with their terms and limitations, and submit a claim in a timely manner.
Here are some of the best credit cards for utilizing these purchase protection benefits:
The Capital One Venture Rewards card offers a purchase protection policy that covers you against theft and accidental damage of eligible items within 90 days of purchase. The coverage is limited to $500 per claim and $50,000 per cardholder. To file a claim, call the benefit administrator at 1-800-553-4820.
The Capital One Venture Rewards also offers new cardholders 40,000 bonus miles after using their card to spend $3,000 within three months of account opening, and two miles per dollar spent on all purchases. Capital One miles are worth one cent as a statement credit towards travel purchases including airfare, hotels, car rentals and other travel reservations. There is a $59 annual fee for this card that is waived the first year, and no foreign transaction fees.
The Citi Diamond Preferred card is one you want if you are looking for top notch purchase protection benefits and a competitive promotional financing offer. The Citi Diamond Preferred card’s damage and theft purchase protection policy also covers repairs or a refund if purchases made with your Citi card are damaged or stolen within 120 days of purchase (90 days for New York residents). After the promotional financing offer expires, the standard interest rate for purchases will apply, which is a variable APR between 12.24% – 22.24%, based on your creditworthiness.
In addition, this card offers an outstanding 21 months of 0% APR financing on both new purchases and balance transfers, with a 3% balance transfer fee. And although it doesn’t offer rewards, it does include other purchase protection and travel insurance policies such as extended warranty coverage, trip cancellation and trip interruption protection, and worldwide travel accident insurance. There is no annual fee for this card.
The Business Gold Rewards Card from American Express
The Business Gold Rewards card from American Express offers a purchase protection policy that covers your eligible purchases against accidental damage or theft incurred within 90 days of purchase. Excluded are some kinds of damage such as those caused by acts of war, natural disasters, and items that are simply misplaced. This policy covers most purchases, but it excludes financial instruments, animals, antiques, and motorized vehicles. This card has a limit of $1,000 per claim and $50,000 per calendar year. To file a claim, you can contact American Express’s claims representatives at 800-322-1277.
With this card, new applicants can receive 25,000 bonus Membership Rewards points after spending $5,000 in purchases within three months of account opening. Cardholders also get 3x points on their choice of one of five categories including airfare, advertising, gas, shipping, and computer hardware and services from select providers. 2x points are earned on purchases from the remaining categories, and one point per dollar is earned on all other purchases. There is a $175 annual fee for this card that is waived the first year, and no foreign transaction fees.
The Citi Prestige card offers excellent travel insurance and purchase protection benefits including one of the strongest and theft purchase protection policies offered by an credit card. Like the Citi Diamond Preferred card, this policy may cover you for repairs or a refund if purchases made with the Prestige card are damaged or stolen within 120 days of purchase (90 days for New York residents). It offers $10,000 of coverage per claim, with a maximum of $50,000 in claims per year. Excluded items include jewelry, cameras and video-recording equipment contained in checked baggage.
In addition to its purchase protection, this card offers strong travel rewards and a sign-up bonus of 40,000 points after new cardholders make just $4,000 in purchases within three months of account opening. You’ll earn 3x points on all travel and hotel purchases, 2x on dining and entertainment and one point per dollar spent on all other purchases. It also offers numerous cardholder benefits including medical evacuation coverage, last baggage protection, trip cancellation and interruption coverage and trip delay protection. In addition, it offers extended warranty coverage. You can even use Citi’s Price Rewind service to receive a refund if you find a lower price advertised for one of your purchases.
Other benefits include a Priority Pass Select airport lounge membership, a fourth night free hotel benefit and a $250 Air Travel Credit each year. There is a $450 annual fee for this card, and no foreign transaction fees.
The Business Platinum Card is American Express’ premier travel rewards card, and it offers an even stronger purchase protection policy than the Business Rewards Gold card. With the Platinum card, you receive accidental damage and theft protection coverage for up to $10,000 per claim and $50,000 per calendar year. New cardmembers can receive 40,000 bonus Membership Rewards points after spending $5,000 in purchases within three months of account opening.
Other benefits include airport business lounge access at Delta SkyClubs, Priority Pass Select lounges, and American Express Centurion lounges. Cardmembers also receive a $200 annual air travel credit and and a $100 credit towards the application fee of Global Entry program, which includes TSA PreCheck access. Also included is elite status with Starwood and Hilton hotels along with Avis, Hertz, and National car rentals. There is a $450 annual fee for this card, and no foreign transaction fees.