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Lesson 4.1 Extra bets and myths
Should You Take Insurance or Even Money?
In this lesson you learn what the insurance bet and even money are, why insurance pays 2:1, and why both still cost you money over time. After the lesson, you will know to press No when the game offers either one.
What insurance is
When the dealer's up card is an ace, the game offers you insurance. It is a side bet – a separate bet on the dealer's hole card, the dealer's face-down card.
You can bet up to half of your original bet on insurance. If the hole card is a ten-value card (10, J, Q or K), the dealer has blackjack and insurance pays 2:1.
| Main bet 10, insurance 5 (the full half) | Main bet | Insurance | Total |
|---|---|---|---|
| Dealer has blackjack | −10 | +10 | 0 |
| Dealer has no blackjack | Hand plays on | −5 | Hand result minus 5 |
Insurance does not change how your hand plays. See the glossary for any term you do not know.
Why insurance costs you money
Insurance pays 2:1. With 6 decks, the hole card is a ten-value card only 30.9% of the time.
- Hole card is 10, J, Q or K: insurance wins 2:1.
- Hole card is A or 2–9: insurance loses.
Insurance wins only when the dealer's hand looks like this:
A ten does not come often enough for a 2:1 payout. Over many hands, the house keeps about 7.4% of every insurance bet.
The main game with basic strategy costs only 0.62%.
When the game asks about insurance, press No. The basic strategy chart never takes insurance.
More numbers are on the blackjack odds page.
Even money is the same bet
Sometimes you have blackjack and the dealer shows an ace. The game offers even money: you get 1:1 on your bet now, before the dealer checks the hole card.
Even money gives the same result as blackjack plus the full half-bet insurance. Here is a bet of 10 with insurance of 5:
| Dealer's hole card | Blackjack | Insurance | Total |
|---|---|---|---|
| Ten-value card | 0 (tie) | +10 | +10 |
| Any other card | +15 (3:2) | −5 | +10 |
Even money always pays +10, so it has about the same cost as the insurance bet. Say No and keep the 3:2 payout.
Your hand does not change the cost
Some players take insurance only with a strong hand, like 20. The bet is on the hole card, not on your hand, so the cost stays the same.
| 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | A |
|---|---|---|---|---|---|---|---|---|---|
| S | S | S | S | S | S | S | S | S | S |
The chart says stand on a pair of tens against every up card, including A. No row on the strategy chart takes insurance.
Use the trainer below to practice. Every time the dealer shows an ace, decline insurance and play your hand by the chart.
For a longer guide, read blackjack insurance.
Practise: 25 hands
Only hands from this lesson. Your first answer counts.
The lesson on one card
- Insurance is a side bet that the dealer's hole card is a ten-value card.
- You can bet up to half your original bet on insurance. It pays 2:1.
- A ten comes only 30.9% of the time, so insurance costs about 7.4% of the bet.
- Even money on your blackjack is the same bet with a different name.
- Your hand does not change the cost. Basic strategy always says No.
Check yourself
1. What does the insurance bet win on?
The dealer's hole card is a ten-value card.
Right. Right. Insurance pays 2:1 only when the dealer has blackjack, which means the hole card is 10, J, Q or K.
Your hand beats the dealer's hand.
Not quite. That is your main bet. Insurance is a separate bet on the dealer's hole card only.
The dealer busts.
Not quite. A dealer bust helps your main bet. Insurance loses whenever the hole card is not a ten-value card.
2. Why does insurance cost you money over time?
It pays 2:1, but a ten-value hole card comes only 30.9% of the time.
Right. Right. The ten does not come often enough for a 2:1 payout, so the house keeps about 7.4% of the bet.
It pays only 1:1.
Not quite. Insurance pays 2:1. The problem is how rarely the hole card is a ten, not the payout itself.
The dealer can choose the hole card.
Not quite. The hole card is dealt from the shuffled cards. The cost comes from the fixed mix of cards in the decks.
3. You have a 10 and a 9 for a total of 19, and the dealer shows an ace. The game offers insurance. What should you do?
Decline insurance and play the hand by the chart.
Right. Right. Insurance is a bet on the hole card, so it costs about 7.4% of the bet no matter what your hand is.
Take insurance because 19 is a strong hand worth protecting.
Not quite. Your hand does not change what the hole card is. The insurance bet has about the same cost with 19 as with any other hand.
Take insurance, then stand on 19.
Not quite. Standing on 19 is correct, but the insurance bet is still a losing bet over time. Basic strategy says No to insurance with every hand.