Question by unknown user: What is the house advantage for this side bet in blackjack?
You bet whether you think the dealer has a ten in the hole, and if they do, you get paid 3:2.
Answer by pdq
It took me a while to find this, but it appears that the House Edge on the Insurance bet is approximately 7.69% in the long run.
Below was an interesting site that showed a variety of situations in which that number might change. In fact, theoretically speaking, there could actually be situations in which the player would have an edge over the dealer. For example, if there were ten cards showing up on the table, (because of 5 people playing the game at this moment), AND if it were single-deck Blackjack, AND there were ZERO “10” value cards showing out of all 10 cards, then the Player would actually have a 17.07% advantage over the House to take that bet.
Realistically this isn’t going to happen often, but the website below details a wide variety of scenarios.
The general answer, if there were an unlimited number of cards, is the House Edge is 7.69%.
What do you think? Answer below!