In aero-engines particle erosion leads to a removal of vane and blade material particularly in the compressor section, reducing the engine efficiency and operation time. MAX phases were identified as a suitable material for erosion protection due to their good combination of metallic and ceramic properties. The successful application of Cr₂AlC through High Power Impulse Magnetron Sputtering (HiPIMS) process on a frequently used engine material (IN718) results in a highly dense and well adherent coating. Understanding the erosion damage mechanism of this coated high temperature material is a key factor to counteract the damage and to increase the durability and reliability of engine components. This paper presents a comparative study of the fundamental erosion mechanism of IN718 and of the recently developed material system, IN718 + Cr₂AlC MAX phase coating (7 µm and 20 µm). It is found, that erosion proceeds in four stages. Moreover, the measured erosion rate by means of laboratory particles erosion tests has shown an up to fourfold lifetime improvement of the coated system as compared to the uncoated counterpart.