Just days after buying an item and then having it either stolen, lost or damaged can leave a shopper feeling really bummed out. But there's a secret to avoiding the feeling of disappointment and that's to have credit card purchase protection.
You can easily find a credit card in Australia that has purchase protection. Covering your eligible items purchased within the first 90 days worldwide if they are stolen, lost or damaged.
Typically, a shopping insurance like this would need to be bought from an insurance company, so why not get it complimentary on a credit card if you can. Another free insurance that you may be interested in is credit card refund protection.
Like any type of insurance cover, there are conditions the claimer must meet. The conditions for purchases protection don't seem that difficult to meet like some insurances do. Below we've listed some of the most common conditions for an item to be eligible for purchase protection.
What is credit card purchase protection?
It's insurance cover for an item purchased within 90 days worldwide that has either been stolen, lost or damaged. Eligible items are then covered by either by repair or reimbursement of the original purchase amount.
Reimbursement limits do vary across the different credit card providers. But typically, one can sometimes claim up to $2,500 per event, and up to $10,000 within a 365 day period.
Some purchase protection claims do require the customer to pay an excess amount, which can be up to $100 per claim.
How to find a credit card online that has purchase protection
Credit card purchase protection is one of the cool credit card benefits that exist in the market. Credit card providers, will usually have at least one credit card that has purchase protection, which means you won't be short of options.
Online using Kredmo you can see and compare the different credit cards with purchase protection in the market. Mostly it's the rewards credit cards that have purchase protection, but there are also some no annual fee and a few low rate credit cards that have it too.
Common conditions to pass as an eligible item
New item. New business items or personal goods that were purchased.
Possession of item. You must have received the item in your possession first.
Purchased within 90 Days. Can only claim within 90 days after you purchase the item or sometimes after you take possession.
Gift. If you purchased a gift or someone else, it can sometimes be eligible if that someone is an Australian permanent resident.
Paid on credit card. The item must be charged to the credit card that has purchase protection.
Report loss within hours. You must report the loss, theft or misplacement of a covered item typically within 24 hours to the police or to the corporate office of the company responsible.
Common exclusions for an item
Left unattended or behind. A lost item that was left unattended in a public space, for example in hotel room after checking out. Or left behind in a vehicle such as a taxi, bus, train etc.
Normal wear or tear. General wear and tear won’t be covered.
Abused items. Damages that were inflicted by owner of the item.
Not reported within hours. Stolen goods not reported with 24 hours after the discovery of the loss or with no police report.
Jewellery left in baggage. Theft or damage to typically jewellery, watches, precious metals and gemstones in baggage, unless carried by hand and under your personal supervision.
Cash or equivalents. Theft or damage to cash, traveller cheques or tickets.
How to make a claim
You'll have to notify claims department or the insurer as soon as possible, then submit a claim form as per their procedure.
Also, ensure you have a copy of the police report that states and describes the item. Or a written report or email from the company responsible for the loss, such as the airline, hotel etc.
Have ready to send off the proof of purchase by an invoice and your credit card statement.