The Australian Finance Complaints Authority has issued a warning to travellers to carefully read the terms and conditions of credit card insurance after stories from Cruise Passenger readers revealed widespread confusion about what they covered.

Dozens of readers have contacted our site claiming they can’t work out if they are covered or not – leading the AFCA to issue a warning.

“It’s important to take time to consider what you need from your travel insurance. Check the policy you are considering purchasing to make sure it provides that cover.

“Check the full terms and conditions of your insurance policy, not just the brochure or web summary. In particular, check the policy for what it says about whether you are covered for COVID-19 if you fall ill while travelling.”

The Authority added: “Don’t be afraid to ask questions of the insurance company to ensure you have the cover you need. Ask for their answers in writing, or check the information is in the policy, so you have a record.”

Cruise Passenger reader Stephen Snell said his cruise had been saved by credit card insurance, after the veteran traveller thought he would have to cancel his post-COVID trips.

But Mr Snell warned cruisers to be wary and to keep investigating and press the banks for their policies. “The banks have failed to provide total transparency to credit card holders regarding travel insurance cover.

“Due to such actions this is leading cruise passengers being forced into purchasing insurance which should be provided complimentary.

“When contacting Allianz credit card travel insurance division about complimentary cruise travel insurance I discussed both St George and Citibank.

“The question asked does this include Covid cruise cover.

“The answer yes. In addition, statements are being made by a bank spokesperson that Covid is not covered.

“Why then are they issuing cruise insurance cover and denying it covers Covid when they know the cruise industry requires cruise Covid insurance cover.”

Mr Snell suggested it is time for the ACCC to investigate.

His story lead to a number of readers to complain that they couldn’t find out if they were covered or not. And Cruise Passenger’s calls to credit card companies met with similar confusion.

Most hadn’t read their own terms and conditions and couldn’t tell us what was covered.

A spokesperson from St George confirmed with Cruise Passenger the bank does offer cruise travel insurance.

We have published Mr Snell’s policy from Allianz which he acquired through his credit card.