Credit Card Insurance vs. Real Travel Insurance: My $170 Lesson in Thailand

 

I used to think I was smart.

I’d book international flights with my shiny travel credit card,
smirk a little at the extra fees,
and feel that quiet satisfaction of being “financially savvy.”

“Look at me, getting free travel insurance without paying a dime.”

Yeah… no.

It took just one small stomach bug in Thailand to completely rewrite that confidence.

My $170 Reality Check

It was my second trip to Thailand.
Not my first rodeo. I’d been to Bangkok before, taken sleeper trains, even handled a visa extension once.
I thought I was prepared.

But on day four, I started feeling off.
My stomach turned at every smell.
Water tasted like metal.
I spent the evening curled up in a corner of my guesthouse, debating whether to just tough it out or find a clinic.

Eventually, I gave in and went.
It wasn’t dramatic — no ambulance or IV bags — but enough that I needed meds and a quiet place to be told,

“You need to rest for two days.”

The bill? $170 USD.
All out of pocket.
Paid in cash.

No problem, I thought.

“My credit card has travel insurance. I’ll file a claim when I get home.”

Except... it didn’t.

Credit Card Insurance ≠ Real Travel Insurance

That was the first thing I learned.
And honestly? It was humbling.

Turns out, the "insurance" on my card only covered:

• Trip delays (but only if it was caused by the airline)

• Lost baggage

• Rental car damage (in some countries)

But medical stuff?

Nope.
Not even a basic clinic visit.
No hotline. No emergency number.
No help when I was dizzy, sweating, and scrolling through Google Maps at 2 a.m. trying to find “English-speaking clinic near me.”

Why I Believed It Did

I think most people assume their card covers “everything” because the terms are vague.
They toss around words like “global coverage” and “peace of mind” —
but bury the exclusions in fine print that no one reads at the airport.

Even the customer service rep I called later told me,

“Medical coverage isn’t included unless you purchase an upgraded travel insurance plan.”

That’s when it hit me.

“Free” isn’t really free — and it definitely isn’t enough.

The Coffee Analogy

I’ve started thinking of credit card insurance like the free coffee in a hotel lobby.
It’s there.
It’s convenient.
It’ll do in a pinch.

But it’s not what you want if you’re running on empty and need something strong.

When I needed real help?
I was on my own.
Holding a plastic bag of receipts and a pharmacy slip I couldn’t read,
trying to do mental conversion from Thai baht to USD in a cab that smelled like mint and gasoline.

So Here’s What I Do Now

I still use my credit card to book flights.
I still chase those points.
Still love a good airport lounge.

But when it comes to protection?
I’ve changed my habits.

Now, I always buy a separate travel insurance policy before I leave the country.
One that clearly includes:

•  Medical treatment (even for minor stuff like food poisoning or a fever)

•  A 24/7 hotline with English-speaking support

•  Emergency care and direct hospital billing

•  Some trip delay and baggage coverage too

Because having only card insurance is like carrying a fire extinguisher…
but forgetting the first aid kit.

Real Talk: Do You Need Both?

For short weekend trips?
Maybe your card coverage will do the job.
Especially if you’re staying domestic or flying to somewhere very familiar.

But if you’re:

• Backpacking

• Visiting multiple countries

• Going somewhere remote

• Traveling solo

...then you 100% need real travel insurance.

Not because you’re expecting something to go wrong.
But because when it does, and you’re sick, tired, disoriented,
you don’t want to be Googling policy numbers or scanning blurry receipts with trembling hands.

What I Learned (the Hard Way)

I didn’t get that $170 back.
Not a cent.

Not because I didn’t have insurance —
but because I had the wrong kind of insurance,
and I didn’t know until it was too late.

That money didn’t bankrupt me.
But what it really cost me was a few days of stress I didn’t need.
And a painful lesson in assumptions.

Since then, I’ve made it a rule:

Never assume you’re covered just because your card says so.

Final Thought

I’m not an insurance expert.
I’m not trying to sell you a plan.
But I’ve been the person curled up in a foreign hotel room at 2 a.m.
Googling symptoms.
Googling clinics.
Googling how to say “pharmacy” in Thai.

And now, I don’t skip the basics anymore.

I save the hotline.
Buy the real plan.
Read the exclusions.
And file the receipts properly.

Because there’s a big difference between traveling with a backup plan —
and just hoping everything goes smoothly.

So next time you find yourself thinking,

“Eh, my card probably covers it,”

Do yourself a favor — double-check.
Or better yet, don’t leave it to chance at all.

— Rich Kim