Insurance

Insurance is a side bet offered to players in blackjack when the dealer’s upcard is an Ace. It’s essentially a wager on whether the dealer’s face-down card is a 10-value card, meaning the dealer would have a blackjack. If you're right, the insurance bet pays 2 to 1. If you're wrong, you lose the insurance but continue the main hand.

At face value, this sounds like a nice safety net. But in reality, the insurance bet is one of the worst options at the table unless you’re counting cards. For casual players, insurance can be misleading and statistically costly.

Let's find out more about the insurance bet, whether you're playing in the casino or online.

Key Details of the Insurance Bet in Blackjack

The insurance bet in blackjack is a side wager with a tempting 2 to 1 payout, but the odds of it hitting are lower than many players think.

What It Is: A side bet on the dealer having blackjack when showing an Ace
Payout: 2 to 1
Typical Bet Amount: Up to half your original wager
Odds of Winning: 9:4 against you (if using a single deck)
House Edge: Around 7.4% in multi-deck games
Best Use Case: Only makes sense if you’re card counting and know a 10 is likely

How Does the Insurance Bet Work in Blackjack?

Here’s the step-by-step of how insurance plays out:

Dealer deals the initial hands. Their upcard is an Ace.
The dealer offers “insurance” to all players before checking their hole card.
If you accept, you can wager up to half of your original bet.
Dealer checks the hole card:
- If it’s a 10, the dealer has blackjack. Your insurance pays 2 to 1.
- If it’s anything else, the dealer does not have blackjack. You lose the insurance bet, and play continues normally.

Let’s say you bet $20 on your main hand. The dealer shows an Ace. You take insurance for $10. If the dealer has blackjack, you lose your $20 main bet, but win $20 on the insurance (2:1 payout), breaking even overall. But if the dealer doesn’t have blackjack, you lose your $10 insurance bet regardless of the hand’s eventual outcome.

Examples of the Insurance Bet in Action

Example 1: Insurance Hits

Your main bet: $20
Dealer shows an Ace
You take $10 insurance
Dealer has a 10 as their hole card → blackjack
You lose the $20 main bet, win $20 on the $10 insurance (2 to 1)
Net result: Break even

Example 2: Insurance Fails

Same situation, but dealer’s hole card is a 6
Dealer doesn’t have blackjack
You lose the $10 insurance
Main hand continues normally—if you win, you can still profit
Net result: Down $10 (unless you win back on the main hand)

Tips for Betting on the Insurance Bet in Blackjack

Here are some tips for using the insurance bet as part of your blackjack strategy.

Don’t take it casually: Without card counting, insurance is a poor bet with a high house edge
Learn the odds: There are only 16 ten-value cards out of 52, meaning the chance of the dealer having blackjack is less than one in three
It’s not truly “insurance”: You’re not protecting your hand—you’re betting against the dealer
Card counters use it: Advanced players can exploit insurance when they know the deck is rich in 10s
Avoid if unsure: For most recreational players, saying “no” to insurance is the smart move

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