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How to choose the best credit cards for baggage insurance

We’ll help you compare credit cards offering baggage insurance, travel rewards and other benefits.

Credit cards with baggage insurance offer insurance plans to help keep your personal belongings safe while traveling. This type of insurance will protect your valuables against loss, theft and damage so that you can rest easy when you travel overseas.

We’ll help you decide whether a credit card that offers baggage insurance is the right fit for you.

SimplyCash™ Preferred Card from American Express

SimplyCash™ Preferred Card from American Express

19.99 % APR

Purchase interest rate

Eligibility criteria, terms and conditions, fees and charges apply

SimplyCash™ Preferred Card from American Express

Apply today and receive 5% cashback (up to $300 cashback) in the first 6 months of card membership

  • Purchase interest rate: 19.99%
  • Cash advance rate: 22.99%
  • Balance transfer intro rate: 1.99% for the first 6 months
  • Regular balance transfer rate: 22.99%
  • Annual fee: $99
  • Credit rating: Good, Excellent
  • Minimum age: Age of majority in province/territory of residence.
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Compare credit cards for baggage insurance

Compare the baggage insurance limit for each credit card in the table below. Plus, take a look at annual fees, APRs and signup bonuses for each card.

Name Product Baggage Insurance Limit per Claim Welcome Offer Purchase Interest Rate Cash Advance Rate Annual Fee
$500
Earn 2,500 points with minimum spend of $500 for each billing period. Up to 30,000 bonus points in your first year.
19.99%
22.99%
$120
Earn 5x points per $1 spent on eligible dining transactions, 2x points on travel and 1 point on all other spend.
$1,000
Earn up to 35,000 bonus Scotia Rewards points in your first year of card membership.
19.99%
22.99%
$139
Earn 2 Scotia Rewards points per $1 spent on eligible purchases. Plus, an extra 10,000 points with a min. annual spend of $40,000 on your card.
$750
Get up to 3,000 AIR MILES Bonus Miles with minimum spend of $3,000 in the first three months, plus a first year annual fee waiver. Ends 31 October 2019.
19.99%
22.99%
$0 annual fee for the first year ($120 thereafter)
Get a 3¢ discount per litre at participating Shell stations. Ends 31 October 2019.
$750
Offers 35,000 BMO Rewards bonus points with minimum spend of $3,000 in the first three months of card membership. Ends 31 October 2019.
19.99%
22.99%
$0 annual fee for the first year ($150 thereafter)
Offers 35,000 BMO Rewards bonus points upon minimum spend of $3,000 in the first three months of card membership. Ends 31 October 2019.
$500
Receive 5% cashback (up to $300 cashback) in the first six months.
19.99%
22.99%
$99
Offers 1.99% balance transfer rate in the first 6 months to new cardmembers. No balance transfer fee upon application.
$750
Get 5% cash back in the first three months of card membership with first year annual fee waiver. Ends 30 November 2019.
19.99%
22.99%
$0 annual fee for the first year ($120 thereafter)
Get 5% cash back in the first three months of card membership with a first year annual fee waiver. Ends 30 November 2019.
Shell AIR MILES World MasterCard from BMO
Shell AIR MILES World MasterCard from BMO
Get 3¢ discount per litre at participating Shell stations. Ends 31 October 2019.
19.99%
22.99%
$99
Earn 1.25x Miles on card purchases at participating Shell stations in Canada.
$1,000
Offers 40,000 bonus Aeroplan Miles when you spend $3,000 within the first three months.
N/A
N/A
$499
Get free annual partner ticket and unlimited access to Air Canada®** Maple Leaf Lounges as well as Air Canada®** priority check-in.
$500
Offers 15,000 bonus Aeroplan Miles when you spend $1,500 within your first 3 months of membership.
N/A
N/A
$120
Earn 1 Aeroplan Mile for every dollar you spend up to $10,000 and 1.25 Aeroplan Miles for every dollar spent over $10,000 per year.
$1,000
Receive 50,000 bonus Membership Rewards points when you spend $3,000 within the first three months of membership.
N/A
N/A
$699
Earn 3 Membership Rewards points for every $1 spent on eligible dining, 2 points on eligible travel purchases and 1 point on all other spend.

Compare up to 4 providers

What is baggage insurance and how does it work?

Baggage insurance offers financial protection to travelers whose baggage or personal items are lost, stolen or damaged while in transit. This type of coverage will usually cover the cost to replace items based on a rate outlined in the policy (and often only up to a certain amount). Most airlines don’t assume liability for your baggage when it’s en route to its destination, so if you plan to travel with valuables, baggage insurance could help ensure your precious items are protected.

What’s the difference between travel insurance and baggage insurance?

Travel insurance covers a wide range of benefits, including travel medical and accident insurance, trip interruption, flight delays and lost luggage.

Baggage insurance, on the other hand, is only one component of many travel insurance policies and is limited to covering your carry-on and checked-in luggage in case of loss, damage or delay.

Is baggage insurance worth it?

Baggage insurance has the potential to save you a lot of money if your bag gets stolen, damaged or misplaced. If you tend to travel with expensive items like electronics or jewelry, it could be worth your while to sign up for a credit card that insures your luggage. If you tend to travel light or don’t carry high-end belongings when you travel, you might find it’s not worth the cost to cover your bags.

6 tips for choosing the best credit card for your needs

  • Shop around for the best deal. Make sure to compare three to four cards offering baggage insurance to see which one offers the most benefits for the lowest fee.
  • Make sure you have enough coverage. Some cards will cover you for damage, loss or theft, while others will go so far as to replace certain essentials from your luggage if your luggage gets delayed. Be sure to get enough coverage to meet your needs.
  • Find out how much you stand to get back. Certain providers will cap how much money you’ll get back if your bags run into trouble, so read the fine print to double-check where they draw the line.
  • Stock up on other travel benefits. Consider a card that offers additional benefits for travelers like medical and accident insurance, trip delay coverage, cancellation coverage, discounts on car rentals and more.
  • Shoot for top rewards. Some cards offer reward points or cashback on local and international spending.
  • Find out if you’re eligible. Be sure to check that you meet income, residency and age requirements for the card you want.

Bottom line

If you want to cover all your bases when it comes to protecting your luggage, then a credit card designed with baggage insurance in mind could be the right fit for you. Look for a card that offers extra benefits like travel insurance, car rental discounts and other perks for travelers if you want to maximize your savings.

There are some fee-free cards that provide this type of insurance, but it’s more commonly found on premium, travel and business cards, which are a bit more expensive. Compare your available options above.

Frequently asked questions

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