Find out which credit cards have purchase protection and what it covers

Safeguard your credit card finances with complimentary purchase protection insurance.

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Purchase protection – sometimes referred to as purchase security or price protection – provides you with extra value and greater peace of mind when you choose to pay with plastic. It is a common complimentary credit card perk, especially when it comes to black, platinum and gold cards.

Inclusions will vary from card to card, but purchase protection usually offers insurance for up to three months when products bought with your card are lost, stolen or accidentally damaged.

Compare credit cards with purchase protection

Are you looking for a great card to put in your wallet that will give you peace of mind with every swipe? Check out these cards to find the one that best suits your needs.

Name Product Purchase Protection Cover Maximum Limit per Claim Annual Fee Reward
HSBC +Rewards™ Mastercard®
90 days
The lesser of the repair cost or the purchase price of the insured item
$0 annual fee for the first year ($25 thereafter)
Earn 2 Points for every $1 spent on eligible dining or entertainment purchases.
Earn 10,000 Points ($50 travel value). Plus, get a full annual fee rebate for the Primary Cardholder for the first year ($25 value). Apply by August 17, 2020. This offer is only available to residents of Canada other than the province of Quebec. Conditions apply.
BMO World Elite Mastercard
90 days
The lesser of the repair cost or the purchase price of the insured item
$0 annual fee for the first year ($150 thereafter)
Get 3 BMO Rewards points per $1 spent on eligible travel, dining and entertainment purchases (up to $50,000 spend annually), and get 2 BMO Rewards points per $1 spent on all other eligible purchases (and once you reach the $50,000 annual spend).
Earn a bonus of up to 35,000 BMO Rewards points with a minimum spend of $3,000 on eligible purchases in the first three months of card membership ($250 travel value to be used towards a flight booked through bmorewards.com). Plus, get the $150 annual fee waived in the first year.
HSBC World Elite® Mastercard®
The lesser of the repair cost or the purchase price of the insured item
$0 annual fee for the first year ($149 thereafter)
Earn 3% in travel rewards on all eligible travel purchases (6 Points per $1 spent) and earn 1.5% in travel rewards on all other eligible purchases (3 Points per $1 spent).
Earn up to 60,000 Points ($300 travel value). Plus, get a full annual fee rebate for the Primary Cardholder for the first year ($149 value). Apply by August 17, 2020. This offer is only available to residents of Canada other than the province of Quebec. Conditions apply.
BMO Preferred Rate Mastercard
90 days
The lesser of the repair cost or the purchase price of the insured item
$20
Take advantage of an introductory balance transfer offer, annual fee waiver in the first year, and low purchase and cash advance interest rates.
Get a rate of 3.99% on balance transfers for 9 months with a 1% transfer fee. Plus, get the $20 annual fee waived in the first year.
American Express Business Edge Card
90 days
$1,000
$99
Earn 3 Membership Rewards points for every $1 spent on eligible business essentials including office supplies, electronics, rides, gas, eats and drinks (up to an annual earn of 75,000 Membership Rewards), and earn 1 Membership Reward point for every $1 spent on all other eligible purchases
Earn up to 42,000 Membership Rewards points in your first year. Earn a Welcome Bonus of 30,000 Membership Rewards points when you spend at least $5,000 on eligible purchases within the first three months, and earn 1,000 Membership Rewards points each month (a total of 12,000 annually) when you spend a minimum of $3,000 on eligible purchases
Shell AIR MILES Mastercard from BMO
The lesser of the repair cost or the purchase price of the insured item
$0
Get 2 AIR MILES for every $20 spent at participating AIR MILES Partners, and get 1 AIR MILE for every $20 spent on eligible purchases elsewhere.
Get 800 AIR MILES Bonus Miles.
Shell AIR MILES World Mastercard from BMO
The lesser of the repair cost or the purchase price of the insured item
$99
Earn 1.25 AIR MILES reward miles at Shell stations in Canada and 1 mile per $15 spent for all other purchases.
Earn 1.25x Miles on card purchases at participating Shell stations in Canada and 1 mile per $15 spent for all other purchases.
Shell CashBack Mastercard from BMO
90 days
The lesser of the repair cost or the purchase price of the insured item
$0
Get 1.5% cash back at participating Shell locations in Canada (up to a maximum spend of $2,500 in any monthly billing period), and get 0.5% cash back everywhere else.
Get $50 in cash back bonuses once you charge your first eligible purchase to your card. Plus, earn 1% cash back for the first 6 months on all eligible purchases.
BMO Rewards Mastercard
90 days
The lesser of the repair cost or the purchase price of the insured item
$0
Get 1 BMO Reward point for every $1 spent on eligible purchases, and get 2 BMO Rewards points for every $1 spent at participating National Car Rental and Alamo Rent A Car locations.
Earn a bonus of up to 20,000 BMO Rewards points. Plus, get a rate of 1.99% on balance transfers for 9 months. A 1% fee applies to transferred balances.
BMO IGA AIR MILES Mastercard
The lesser of the repair cost or the purchase price of the insured item
$0
Get 2 AIR MILES for every $20 spent on eligible purchases at IGA stores and at participating AIR MILES partners, and get 1 AIR MILE for every $20 spent elsewhere.
Get 800 AIR MILES Bonus Miles.
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What is purchase protection and how does it work?

Purchase protection is a service provided by a credit card company that safeguards any eligible purchase made with a credit card against theft, loss or accidental damage. The terms and conditions for purchase protection will vary between cards and this will directly affect what purchases are eligible, how long the insurance period is and what the claim limits are.

  • Eligible purchases. Most retail purchases will generally be covered, but you should carefully read the specific terms and conditions to find out exactly what applies. Perishables or consumables are typically excluded. Motor vehicles and vehicle parts could also be excluded.
  • Insurance period. Purchase protection usually covers items for up to 90 days from the purchase date, but can extend up to six months with some insurers.
  • Claim limits. This also varies among insurers and cards, but it is typically limited per claim (e.g., $10,000 per claim) and per year (e.g., up to $50,000 per credit card account per year).

Some card providers will require you to “register” your products as you purchase them. If your card provider requires this and you haven’t registered your item, it will likely not be eligible for coverage.

How do I make a claim for credit card purchase protection insurance?

The claims process differs depending on your credit card provider and the insurance company, but generally involves the following steps:

  • Contact the insurance company. Depending on your insurer and policy, you may have to file your claim within a certain time frame — so don’t wait long.
  • Provide details of the claim. You have to show that the item was purchased in full using your credit card within the eligible time frame of coverage.
  • Submit any supporting documentation. Aside from original receipts, you may also need to provide other relevant documents such as police or incident reports.
  • Wait for a response. Your claim will usually take up to 14 business days to be assessed, after which you will be notified of the result and reimbursed if successful.

Other types of complimentary credit card purchase insurance

Some credit cards may also provide the following complimentary insurance coverage for your purchases:

  • Extended warranty coverage. This extends the warranty coverage for items purchased using your card, meaning that you can enjoy extended warranty protection beyond the manufacturer’s warranty period – usually up to one year more.
  • Price guarantee. You can claim the price difference for an item purchased on your card if you find it in another store nearby at a lower price within a certain period of time.
  • Refund protection insurance. Refund protection ensures that you can still get a refund on items purchased using your card even if the merchant refuses to process a refund.

Factors to consider when comparing credit cards with purchase protection insurance

When considering purchase protection insurance, you should keep the following factors in mind:

  • Claim limits. Most policies have an annual cap on purchase protection claims, as well as a cap on each individual claim. You may wish to look into protection for international purchases if you travel or shop online a lot.
  • Annual fee. Complimentary extras such as purchase protection are likely to come with a higher annual fee than a no-frills card with no annual fee. An annual fee may outweigh the benefits of complimentary extras – if you rarely or never use them.
  • Purchase rate. When considering any credit card, interest rates are very important, especially if you are someone who carries a balance from month to month.
  • Rewards. If earning rewards with your card is important to you, you should consider whether the card offers cash back, points or miles.
  • Cash advance rate and fee. If you withdraw money using your credit card or use your card for cash equivalent transactions – such as gambling or purchasing gift cards – you will likely be charged the cash advance fee, and face the cash advance interest rate.

Bottom line

Compared to travel-specific perks like airport lounge access and complimentary travel insurance, purchase protection insurance is something that most people can enjoy on a day-to-day basis – without applying for a prestigious travel card.

When deciding if it’s something that you actually need, it’s important to consider the costs of the credit card and whether this feature will be worth it in the long term.

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Frequently asked questions

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