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Blackjack insurance is a very common side bet, a wager that you place as well as your main bet. However, it’s one you should almost never take.
Insurance comes into play only when the dealer gets an Ace as their first card. It will pay back your bet if the dealer makes a blackjack to win the hand.
It is supposed to cover a potential loss, if you think it’s likely the dealer might hit a blackjack. But the reality is, it’s a bad bet.
In this article we’ll explain the math behind the insurance wager, and why it’s a losing proposition in the long run.
If none of that makes sense to you, I recommend reading our comprehensive how to play blackjack guide and coming back here after.
- Insurance is a side bet that pays your main wager back if a dealer blackjack loses you the hand.
- It costs 50% of your main bet and pays 2:1 – covering your loss.
- The biggest takeaway is never take this bet.
- In the long run it is a losing play.
How Blackjack Insurance Works: Step by Step
The first step for the insurance bet to be offered, the dealer has to hit an ace for their face up first card. So that is step one. Then:
- Insurance is offered
- Player can accept or decline
- If the player accepts, player puts down 50% of their initial bet
- Players take their turns
- Dealer turns over the hole card
- If it is a 10 value card that makes a blackjack, player is paid out the 2:1
- Then the hand ends in a main wager loss or possibly a push if the player also has a blackjack
- If it isn’t blackjack for the dealer player loses the side bet, but the main bet is still on and could win
At any of the blackjack online casinos we recommend, you click buttons to bet. At a physical land based casino, the dealer will ask if you want insurance when they draw an ace.
The Odds on Blackjack Insurance
Let’s start with the simplest form. Imagine a standard 52 card deck, with just you versus the dealer.
If the dealer shows an ace, there are 51 possibilities for their face down second (or hole) card. That is ignoring your two cards, which complicates matters a little and we’ll get to later.
Out of those 51 cards:
- 16 cards will make blackjack – all the 10s and face cards
- 35 cards won’t make blackjack
That equates to a 31% chance of a blackjack for the dealer, or just under 1 in 3. Insurance pays 2:1.
These odds make insurance a bad bet, as the payout is nearly always going to be worse than the probability of winning. Which makes a losing bet in the long run.
✅ The House Edge
- House edge is how much more likely the casino is to win on a game than you, the player.
- In blackjack, it is around 1% on the main bet – if you follow basic strategy.
- However, insurance has a house edge of 4% to 15%, depending on how many 10 cards are left in the shoe.
If you’re still unsure what house edge is or why it is important, we have a guide to the house edge in blackjack that has more information for you.
Basically, a higher house edge is not good for your chances of winning. So in this case, you can see why Insurance is a bad bet for players.
✅ Complications and Card Counting
Of course, a real game of blackjack is more complex and your cards count for something. There are also other players, and you’re all drawing cards from an eight deck shoe, meaning a total of 416 cards.
This all means the math is much more complicated. Which is why we used a simple example above.
In terms of the odds on the insurance bet, they vary as cards are dealt from the shoe. So, very rarely, they can be in your favor.
But, the only way to know is through card counting. Which happens to be very hard to do well.
By mentally tracking how many 10 value cards compared to low value cards have been drawn from the shoe, it is possible to take insurance when the dealer has more than a 31% chance to get a blackjack.
Even if you can count cards – which is very hard – insurance still isn’t a winning bet. You just get your stake back. So there’s no point in thinking about insurance, when your mental energy could be put towards making the correct blackjack theory play for profit.
When to Take the Insurance Side Bet
Almost never. It’s that simple. Insurance does not offer you a profit if it comes off. And as we have discussed above it isn’t likely to hit either.
✅ The One Exception
OK, so – there is one time it may work out. When you’re a very good card counter, and you have an ace or a 10 to potentially make blackjack.
If you know that many more low cards have been drawn from the shoe than 10 cards, the odds of you both having blackjack will have increased. For more information on this, see our detailed guide on how to count cards in blackjack.
In this case, if both you and the dealer pull a blackjack, you’ll win the insurance and the hand is a “push” meaning you also get your bet back. For a total 2:1 payout and a slight profit.
Except in that very specific situation, double blackjack is very unlikely. It’s much higher than a one in four chance, even when you and the dealer have an ace.
So insurance is still a bad bet.
Other Blackjack Side Bets
Insurance may not be profitable, but other blackjack side bets can make a profit. They are risky and don’t often win – but the potential larger payouts than the standard bet might make them worth it to you.
Below are the most common side bets you’ll find:
1️⃣ Perfect Pairs
This bet pays out if you hit a pair in your initial cards. It usually pays out for any pair, but will pay out more if you get two of the exact same cards – up to 40x your bet in some cases.
It’s simple to learn but there is more to it, so check out our complete guide to Perfect Pairs for more info.
2️⃣ 21 + 3
This side bet pays out for making different hand combinations based on those found in the game of poker. The combos are made from the initial three cards dealt to you and the dealer. The paytable varies, but will be similar to the following:
| Hand Name | Combination | Payout |
|---|---|---|
| Flush | Three cards of the same suit | 5:1 |
| Straight | Three cards in consecutive order | 10:1 |
| Three of a Kind | Three cards of the same rank | 30:1 |
| Straight Flush | Consecutive order and same suit | 40:1 |
| Suited Three of a Kind | Three of the exact same card | 100:1 |
3️⃣ Blazing 7s
This side bet pays out for hitting combinations of number 7 cards between you and the dealer. The highest payouts are for three of the exact same suited 7, or for three sevens of the same colour suit.
This side bet usually has a progressive jackpot for three diamond sevens, which can go as high as thousands of times the table minimum.
Expert Verdict on Blackjack Insurance
- Don’t do it.
- That’s it.
Having played literally thousands of hands of blackjack over the years, I can’t remember a single time where I left a session – win or lose – thinking “I should have bought insurance bets”.
Yes, dealers get blackjacks on two cards, but it’s not as common as you think. Even when the dealer’s first card is an ace, they don’t always end up with a blackjack.
I’ve spoken to people in the business. I’ve been in the business. And I can tell you, the insurance bet is like 6:5 blackjack, crapsless craps or triple zero roulette.
It’s an option only there to fool players who don’t know any better into conceding more house edge and losing more often.
If you follow the optimum play, detailed in our blackjack strategy calculator, the house edge of 1% makes blackjack a 50/50 game, almost. Sometimes you go on a streak and win, sometimes you don’t.
However, Insurance has a far higher house edge. Therefore, it only makes a losing session more likely. One to avoid.
FAQs
When Can I Play Blackjack Insurance?
This side bet is available on almost all blackjack tables, online and offline. It only comes into play when the dealer gets an Ace as their first heads up card.
Is it a Good Bet?
No. In fact, it’s a bad bet. The payout is worse than the chances of you winning, and it doesn’t offer you a profit when you do win. For more details, see above.
Are There Strategies to This Bet?
Only one, and even then it’s very rarely applicable. If you learn to count cards the most profit you can ever get from this bet – in a very specific and rare circumstance – is 2:1.
Slightly better than the standard 3:2 main bet payout. But it will almost never come off. No other strategy makes Insurance a better wager.
Are There Variants of Blackjack Insurance?
No. Insurance as described above is what you’ll find at every blackjack table, online or offline.
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