Insurance in Blackjack: What it is and How to Use it?

Have you ever heard of the term “insurance” when playing blackjack? If you’re new to the game, this concept might sound a bit confusing, but fear not!

I’m here to break it down for ya in simple terms. Let’s dive in!

What is Insurance in Blackjack?

Insurance in blackjack is a type of side bet that players can make when the dealer is showing an Ace.

The insurance bet is made in the hopes that the dealer has a natural blackjack (an Ace and a 10-point card) and pays 2 to 1 if the dealer indeed has a blackjack.

How Does Insurance Work in Blackjack?

The insurance bet is placed after the dealer checks for blackjack, but before any player action takes place. The insurance bet must be equal to half of the original bet, so if you bet $10, your insurance bet would be $5.

If the dealer does have a blackjack, the insurance bet pays 2 to 1, so if you had placed a $5 insurance bet, you would win $10. In this case, your original bet would be lost, but the insurance bet would offset some of the loss.

If the dealer does not have a blackjack, the insurance bet is lost, and the game continues as normal.

Why Take Insurance in Blackjack?

Now, you might be wondering why anyone would take insurance in blackjack. After all, the odds of the dealer having a blackjack are only 9% (with a single deck) to 4% (with multiple decks).

The reason why some players take insurance is to reduce their overall losses in the long run. Let’s say you were dealt a 20 and the dealer was showing an Ace.

If you take insurance and the dealer does indeed have a blackjack, you would only lose half of your original bet instead of the full amount.

Additionally, card counting can also influence a player’s decision to take insurance. Card counters use their knowledge of the remaining deck to determine when the odds are in their favor to take insurance.

When to Avoid Taking Insurance in Blackjack?

While insurance can be a useful tool for reducing losses, it’s not always the best move. In general, insurance is considered a losing bet for the player, as the odds of the dealer having a blackjack are not in the player’s favor.

If you’re playing basic strategy blackjack, the general rule is to never take insurance. Basic strategy is based on mathematical probability, and taking insurance goes against the odds.

Final Thoughts

Insurance in blackjack can be a useful tool for reducing losses, but it’s not always the best move. It’s important to understand the odds and when to take or avoid insurance. Hope this article was helpful.

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Darren Elias

Meet Darren Elias, a veteran of the casino industry with over 10 years of experience under his belt. From his early days as a dealer to his current position as a senior executive, Darren has seen it all and knows the ins and outs of the gambling world like the back of his hand.