Typical purchase protection coverage
Specifics such as claim limits, coverage periods, and included categories vary by card issuer, so it’s always worth checking your benefits guide. As a general guide, most programs cover:
- Theft of an eligible item within the covered period
- Accidental damage (drops, spills, and similar mishaps)
- New items purchased entirely with the covered card
While policies vary, most issuers cap the amount they will pay out per claim (e.g., up to $1,000 per item) and per year.
Benefits of purchase protection for shoppers
Purchase protection can provide an additional layer of reassurance at checkout, particularly for higher-value purchases such as a laptop, furniture, or an expensive gift.
If your card includes purchase protection and the item is eligible, you may have a route to recover some or all of the cost if it is stolen or accidentally damaged during the covered period. Check the coverage period, claim limits and exclusions before relying on it.
Credit card installments: how paying over time affects your protection
Splitit’s credit card installments are charged to the credit card you already have rather than through a separate payment account. Because the full purchase amount is charged to your own card, you stay inside your card’s existing benefits framework. No third-party lender buys the item on your behalf, which is what can place a purchase outside the scope of your card’s protections in the first place.
Whether a specific claim is paid depends on the terms of your benefits guide. Some issuers require an item to be paid for in full on the eligible card, and some limit reimbursement to the amount charged so far. Coverage periods also run from the purchase date rather than from your final installment. If purchase protection matters to a particular purchase, read your card’s benefits guide before you buy, or ask your issuer how it treats an installment plan.