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What Is Insurance in Blackjack: The Definition

May 5, 2023

There are various side bets available in blackjack, one of which is the insurance bet. By definition, blackjack insurance is a bet for players to explore when the dealer has a face-up Ace card. It offers a level of security, counting on if the croupier hits a natural blackjack (a hand with an Ace and a ten-value card). Whenever the croupiers' hole card is a 10 or Ace, they stand a higher chance of hitting blackjack.

Common Blackjack Cards

At this point in the game, you can opt for blackjack insurance, which has a payout of 2:1, helping you break even if you have a weaker hand. Though some punters view this as a good strategy, it might lead to significant losses in the long term. If you are wondering: “What does insurance mean in blackjack?”, this is a must-read. Play blackjack games at King Billy to learn the basic rules.

How Does the Insurance Bet Work in Blackjack: The Detailed Explanation

Before playing our exciting titles in the Kingdom, you must first understand how this betting option works. If the dealer has an Ace face-up card during the game, it might be beneficial to place blackjack insurance. This betting option solely focuses on whether or not the croupier hits a natural blackjack. Also, it entails placing an extra wager equal to half your original stake. For instance, an initial bet of NZ$20 will attract insurance worth NZ$10.

If the dealer hits, you lose your original bet but receive double the insurance, which equals your initial stake. However, if the dealer fails, you lose the additional stake while your original wager stays intact and the hand continues. In the best-case scenarios, this bet can help you minimize losses or break even on a hand. However, this is not a great strategy as it could lead to accumulated losses over time.

Blackjack table with Insurance side bets paying 2:1

What Are the Odds for Insurance Bets: An Overview

Now that you know the blackjack insurance meaning, it helps to know the odds concerning this bet. In a standard game, the probability of dealers winning is 9:4. However, the odds might also vary depending on the number of decks. In a single-deck variation, dealers stand a 4.7% chance of hitting, which is roughly once every twenty-one times. Conversely, the odds increase slightly to 4.8% in a six-deck version, meaning they win once in every 20 stakes.

It is advisable to read the basic blackjack insurance bet rules before playing. The odds of the dealers winning are less than that of losing, so it only favors the house over time. However, it can help with risk management if you have a weak hand and suspect that the dealers might hit.

Blackjack 52-card deck

Pros and Cons of Insurance Betting

Although King Billy Nobles in New Zealand enjoy some advantages from placing a blackjack insurance bet, there are also disadvantages to look out for. So, we provide information about the pros and cons of using this bet below:


Here are a few advantages of insurance in blackjack:

Protection Against Dealers

It primarily offers players protection against the odds of the croupier winning. You can also use this side bet to minimize losses if you have a weak hand.

Simple to Understand

It is a simple concept to understand for even beginners. All you need to do is click a button to choose this option. So, an expert understanding of strategies is not compulsory to use this option.


The disadvantages of using this betting option include:

Low Winning Odds

It is not an ideal option because there are relatively low odds of winning. A blackjack insurance bet has a basic payout of 2:1, but the odds of beating the dealer are lower.

Negative Long-Term Payouts

Blackjack insurance should not be used as a regular strategy because the odds do not favor the players, and they might suffer significant losses over time.

Always Favors the House

The odds of the dealers hitting blackjack are less than that of not having it. Therefore, using insurance on every hand will only favor the house.

When Is the Ideal Time to Use Insurance?

The ideal time to use blackjack insurance is when you have a weak hand, and the dealer's face-up card is an Ace. If you have a hand total between 12 to 26, the croupier is more likely to win, hence, placing this bet is a smart choice to mitigate risks. However, it is better to focus on developing a solid strategy than relying on this betting option.

When Should You Avoid Using Insurance?

There are situations where it is inadvisable to choose insurance in blackjack. First, if you have a strong hand total between 18 to 20, the odds of the dealer winning are lower, thus counting on a blackjack insurance bet becomes unnecessary. Also, you should not use this bet, if you are on a losing streak with limited funds. It exposes you to more risk, which could further deplete your bankroll.

Improve Your Blackjack Strategy

Blackjack is a game of chance with simple rules, but you can boost your chances by adopting tested strategies. The insurance bet has proven to be a valuable tool in the right situations, so, it is essential to know what it is and how it works. If you do not know the answer to the question “What does insurance do in blackjack?”, this is a side bet for when the croupier has an Ace up card. It follows the assumption that the other card might be a ten-value, resulting in a natural blackjack. However, insurance is not beneficial to your bankroll in the long run. Therefore, you should enhance your skills and strategies to win regularly instead of using this bet. Play our fun King Billy games to improve your blackjack strategy and enjoy a thrilling experience.


What is an insurance bet in blackjack?

In blackjack, punters can opt for a blackjack insurance bet when the croupier has an Ace showing. When the dealers' hole card is a ten or a face card, they have a higher chance of having blackjack. So, you can choose this betting option, which demands an alternate bet of half your stake. It has a payout of 2:1, thus, an equivalent of your bet amount is paid back into your balance if the dealer eventually wins.

What is the cost of insurance cost in blackjack?

Typically, blackjack insurance takes half of a player's original stake. For instance, if you place a NZ$20 bet, the insurance will cost NZ$10. But you should also know that the cost might vary depending on the basic blackjack insurance rules. You should check how much insurance costs before playing to make informed decisions.

Is insurance a worthwhile blackjack bet?

There is no straight answer on whether insurance is worth it in blackjack. This depends on various factors, including the game rules, the number of decks, and the player's hand. Generally, experts advise against adopting this betting option as a blackjack strategy because it can impact your bankroll, and the odds favor the house over time.

How much do I lose if my insurance bet does not win?

If you do not win the blackjack insurance, you lose the cost of the bet, which is equal to half your original wager. For instance, if an insurance stake worth NZ$20 loses, you forfeit the additional NZ$10 bet, but your initial wager remains the same. Conversely, if the dealer hits, you receive a 2:1 payout, twice the insurance bet amount. However, your original bet does not count anymore.

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