According to a recent survey between FY2017 and FY2020, more than 1.4 lakh cases of debit and credit card frauds were reported. The total amount related to such scams was around Rs.590 crore. Only in FY2020, approximately 50,000 cases of payment card frauds were reported with an estimated value of Rs.230 crore.
Even though you may not be able to completely avoid these scams, you can avail a card protection plan for extended financial coverage in case of such unforeseen incidents.
What is a card protection plan?
A card protection policy acts as insurance providing coverage for debit and credit card frauds. A plan like this eases the financial burden occurred due to theft, loss or unauthorised use of your payment cards. Availing such plans are hassle-free, you can do it online.
Features of a card protection plan
A credit card protection plan is equipped with several features which highlight the benefit they offer –
- Block your cards with one call
In the event of a theft, loss or unauthorised usage, instead of calling every card issuer and blocking every card separately, you can do it with one call. The 24×7 helpline number is readily available, and the process of blocking such cards is hassle-free.
- Block your SIM cards
In case you have lost your mobile phone along with your wallet, few card insurance plans allow you to block your SIM card. The policy allows you to register the IMEI and SIM number with them so that in these scenarios, you can block your SIM card.
- Travel assistance
Apart from blocking payment cards and SIM cards, a few credit card protection plans offer you emergency travel assistance. In case you have suffered a loss or theft of a wallet and left with not enough cash in hand, you can avail this travel assistance included in such plans.
In such scenarios, you will receive compensation to manage your hotel and ticket booking. Moreover, you will receive additional cash to manage your daily expenses until you reach home.
- ID card replacement
An additional benefit of these card protection insurance plans is that they provide ID card replacement. In case of any unforeseen incidents, you can get your ID cards like PAN card replaced with the help of these plans.
Additionally, it allows you can also register your valuable documents like driving licence, passport, etc. The data stored here is always accessible as and when needed.
- Fraud protection
Last but not least, debit and credit cards are prone to frauds. Even if you have not lost them or suffered a theft, unauthorised usage of such cards is widespread. Therefore, to save yourself from such an unnecessary financial burden, you can opt for a debit card insurance. These plans are equipped with complimentary fraud protection to assist you in such scenarios.
Card protection plans are beneficial in terms of the assistance they offer in case of emergencies. However, instead of it, you can avail a more comprehensive wallet care plan. Reputed insurance aggregator, Bajaj Finserv offers this plan under its Pocket Insurance and Subscriptions. You can purchase this plan online via the official website of the company. Additionally, you can make the payment online via UPI, mobile wallet, debit and credit cards, net banking, etc.
A purse care cover is the alternative of the above plan for women. It extends the coverage as the wallet care cover. You can purchase this plan for an annual premium of Rs.599 and enjoy coverage of up to Rs.2 lakh.
In addition to these two plans, you can also avail a key safeguard plan. This plan will provide you with financial coverage for the replacement of keys in case you have suffered a loss or theft. You can avail this plan for Rs.499 per year and enjoy coverage of Rs.60,000.
Even though debit and credit cards offer a more hassle-free experience, they are also susceptible to misuse. Therefore, avail a card protection plan to safeguard your interests in case of any unforeseen incident.