Insurance in Blackjack: What It Is & How It Affects You

🗝️ Key Takeaways

• Blackjack insurance is a side bet of up to half your original stake, offered only when the dealer's upcard is an ace.
• The bet pays 2:1 if the dealer's hidden card is worth ten, but with one deck that happens just 16 times in 51.
• The house edge on insurance is about 5.9% with one deck and around 7.4% to 7.5% with six or eight decks.
• Even money is the same bet as insurance, offered to players who already hold a blackjack.
• Hi-Lo card counters take insurance only at a true count of +3 or higher, when tens make up more of the remaining cards.
• Many UK tables deal no hole card, so the dealer checks for blackjack only after every player has acted.

The dealer turns over an ace, and the question comes round the table: insurance? It sounds like the sensible thing to say yes to, a small extra bet that protects you if the dealer has blackjack.

In this guide, we explain how insurance works, run the 2:1 maths with a worked example in euros, and show why it is a poor bet for most players. We also cover even money, the one situation where card counters take insurance, and how the bet works at UK tables with no hole card.

🃏 What Is Blackjack Insurance?

Insurance is an optional side bet that the dealer offers when their face-up card is an ace. You are betting that the dealer's face-down card, the hole card, is a ten, jack, queen or king, which would give them blackjack.

The rules are the same at almost every table:

• When it is offered: only when the dealer shows an ace, before anyone plays their hand.
• How much you can bet: up to half of your original stake, placed on the insurance line of the table.
• What it pays: 2:1 if the dealer has blackjack.
• What happens if you lose: the insurance bet is taken, and your main hand carries on as normal.

The name is the most misleading part, because insurance does not protect your hand. It is a separate bet on the dealer's hand, and it wins or loses on its own, whatever cards you hold.

📋 How a Round With Insurance Plays Out

Say you bet €20 and the dealer shows an ace. You take the full insurance of €10, and the dealer checks the hole card.

If the dealer has blackjack, your €20 hand loses, but the €10 insurance pays €20 at 2:1. You finish the round level, which is why the bet feels like protection.

If the dealer does not have blackjack, you lose the €10 insurance straight away. Your €20 hand then plays out as normal, so you start the hand €10 down whatever happens next.

🧮 The Maths Behind the 2:1 Payout

A bet is only fair if the payout matches the odds. Insurance pays 2:1, so it would break even only if the dealer had blackjack one time in three, and in practice it happens less often than that.

🎲 The Odds of a Dealer Blackjack

Take a single deck. Once the dealer's ace is showing, 51 cards remain unseen, and 16 of them are worth ten, so the hole card is a ten about 31.4% of the time.

The other 35 cards are not tens, so the dealer does not have blackjack about 69% of the time. In every one of those hands, the insurance bet loses.

💶 A Worked Example in Euros

Imagine you bet €5 on insurance 51 times, once for each unseen card in the deck.

• 16 wins: each pays €10 at 2:1, so you collect €160.
• 35 losses: each costs €5, so you lose €175.
• Result: you finish €15 down after staking €255 in total.

€15 out of €255 is a loss of about 5.9% of every euro you put on insurance. Compare that with about 0.5% on the main game when you follow basic strategy.

📊 House Edge by Number of Decks

More decks make insurance even worse. With one deck, removing the dealer's ace lifts the share of tens slightly, but with more decks that effect fades, and the share settles closer to 16 in 52, or 30.8%.

Most shoe games use six or eight decks. At those tables, every €10 you put on insurance costs you about 74 to 75 cents on average.

❌ Why Insurance Is a Poor Bet for Most Players

The maths settles it for anyone who is not counting cards. Declining insurance loses less over time, which is why basic strategy never takes it.

The common reasons for taking it do not hold up either:

• "It protects my hand": insurance is a separate bet on the dealer's cards. Your hand still wins, loses or pushes on its own.
• "I have a strong hand to protect": a 20 feels worth insuring, but holding two tens actually removes tens from the deck, so the dealer is slightly less likely to have blackjack.
• "I have a weak hand, so it limits the damage": a 16 against an ace is already a losing spot, and a bet with a 7% house edge does not make it any better.
• "The dealer always seems to have it": dealer blackjacks are memorable, but the hole card is a ten less than one time in three.

The size of the main bet makes no difference. Whether you play for €5 or €500, insurance gives the casino the same edge on every euro you put on it.

🤝 Even Money Explained

A player who holds blackjack can still take insurance when the dealer shows an ace. Many dealers offer it under another name, "even money", which means you take a 1:1 payout on your bet straight away instead of waiting for the hole card.

At a standard 3:2 table, even money and insurance give exactly the same result. Say you have a €10 blackjack and take half insurance at €5:

• Dealer has blackjack: your hand pushes, and the €5 insurance pays €10. You win €10.
• Dealer does not have blackjack: your blackjack pays €15, and you lose the €5 insurance. You win €10.

Either way, you win €10, which is what even money gives you in one step. It is the same bet with the same house edge.

If you decline, you win €15 roughly 69% of the time and push the rest, which works out at around €10.40 on average per hand. Even money trades that for a fixed €10, so over many blackjacks, saying no pays more.

🔢 When Card Counters Take Insurance

Insurance becomes a good bet only when tens make up more than a third of the unseen cards. The only way to know that is to track the cards as they are dealt, which is what card counters do.

The most common system is Hi-Lo, where cards from 2 to 6 count +1, cards from 7 to 9 count 0, and tens and aces count -1. The running total is divided by the number of decks left in the shoe to get the true count.

Hi-Lo counters take insurance at a true count of +3 or higher. At that point, enough low cards have gone that the remaining shoe is rich in tens.

This exception does not apply to most players. It needs an accurate count at a live table, and it does nothing at online RNG blackjack, where the cards are usually shuffled before every hand.

🇬🇧 Insurance at UK Tables With No Hole Card

Many UK tables deal no hole card. The dealer takes one face-up card at the start, and draws the second card only after every player has acted.

That changes the timing. In the US-style game, the dealer peeks at the hole card straight away and ends the round early if it is blackjack.

At a no hole card table, the dealer checks for blackjack only after the players have finished, so where insurance is offered, it stays on the table until that second card is drawn. The insurance maths does not change, because the hole card is still a ten less than a third of the time.

The bigger difference is on doubles and splits. At many no hole card tables, extra money you add by doubling or splitting is also lost if the dealer turns over blackjack, so check the house rules before you sit down.

🧠 Better Habits Than Insurance

• Follow basic strategy: our blackjack cheat sheet sets out the right move for each hand you can be dealt, which holds the casino to roughly 0.5%.
• Use surrender where it is offered: handing back half your stake on a hard 16 facing a dealer 9, 10 or ace is a far better way to cut losses than insurance.
• Look for 3:2 tables: a blackjack that pays 6:5 costs you far more over time than any side bet you skip.
• Set a budget first: pick a spending limit for the session before the first hand, and walk away once it is gone.

New to the game? Our guide to blackjack rules covers the basics, and you can compare licensed sites on our online blackjack page.

🌟 VistaGamble's Honest Assessment

Insurance is simple to understand, which is part of why so many players take it. Here is what it offers and what it costs.

➕ The Positives

• Easy to follow: one bet, one question, and a clear 2:1 payout if the dealer has blackjack.
• Softens a dealer blackjack: a full insurance bet lets you finish level on a hand that would otherwise lose.
• A real edge for skilled counters: at a Hi-Lo true count of +3 or higher, it becomes a bet worth making.

➖ The Negatives

• A high house edge: about 7.4% to 7.5% in six and eight deck games, many times the edge on the main game.
• Misleading name: it does not protect your hand, it adds a second bet on the dealer's cards.
• Even money costs too: taking a fixed €10 on a €10 blackjack gives up about 40 cents on average per hand.

🔒 Conclusion

Blackjack insurance pays 2:1 on a dealer blackjack that turns up less than one time in three, and that gap is where the casino makes its money. For most players, the right answer is no every time, including when you hold blackjack and are offered even money.

The exception belongs to card counters at a true count of +3 or higher. For everyone else, basic strategy, a 3:2 table and a clear budget do far more for your bankroll than any side bet.

Frequently Asked Questions❓

What is blackjack insurance?

It is a side bet of up to half your original stake, offered when the dealer's upcard is an ace. It pays 2:1 if the dealer's hidden card is worth ten.

Is taking insurance a good strategy?

No, it carries a house edge of about 7.4% in a six deck game, far higher than the main game. Declining insurance loses less over time.

How do you place an insurance bet?

When the dealer shows an ace and offers insurance, you place up to half your original bet on the insurance line. Online, you simply press the insurance button before the hand continues.

What does "even money" mean in blackjack?

It is a 1:1 payout offered when you hold blackjack and the dealer shows an ace. At a 3:2 table, it gives exactly the same result as taking insurance.

Can you take insurance in online blackjack?

Yes, most online blackjack games offer insurance when the dealer shows an ace. The 2:1 payout and the house edge work the same way as at a land-based table.

Why do players take insurance?

Most players take it because it feels like protection against a dealer blackjack. In reality, it is a separate bet on the dealer's hand that loses more than it wins.

Does card counting make insurance worthwhile?

Yes, but only at a high count, and Hi-Lo counters take it at a true count of +3 or higher. For players who do not count, it should always be declined.