Why You Need Travel Insurance

Hurricanes, terrorist attacks, airline bankruptcies – all of these can destroy the best laid travel plans. How does a consumer protect themselves from losing money when their travel arrangements are cancelled? Travel insurance can protect one from financial loss. Websites such as InsureMyTrip.com allow consumers to search for the best deals in travel insurance. Some of the most popular travel insurance packages include comprehensive policies which cover trip cancellation, weather interruption, and such things as luggage loss, medical emergencies and bankruptcy of airline or tour company. If you are traveling with a tour company on a package vacation, chances are the company will also offer travel insurance – although usually they do not provide for cash refund.

Recently due to the recurring hurricane activity in the United States and abroad, well known US insurance companies have broadened their coverage to include natural disasters. In the past most travel insurance policies did not cover natural disasters (especially weather related) cancellations except where it could be determined that the destination was simply unreachable by normal means. Acknowledging that such provisions are unfair, Travel Guard International, Travelex Insurance and CSA Travel Protections will now allow cancellation of trips if a natural disaster will leave a hotel or other accommodation in the “destination uninhabitable.” It is important to note that these policies must be purchased before prediction of a hurricane or tropical storm’s path.

Travel insurance can also be important should a medical emergency arise while on a trip. Most US health insurance companies do not cover those medical expenses which occur outside the country and will make you pay the medical expenses incurred abroad. Obviously these costs can be astronomical. Many travel insurance companies offer supplemental medical coverage at a rate of about $5. Per day for $100,000. insurance. This insurance would cover such things as care, doctors, hospital expenses and emergency evacuation. Senior citizens should expect to pay higher premiums for such coverage.

Travel insurance policies (which include medical emergency insurance and trip cancellation) normally run between $75. to $100 per $1,000. covered. Travel insurance companies will look at the nature of the trip (i.e. are you going somewhere dangerous), price of trip, age and health of those traveling to help determine the premium cost.

In today’s age of uncertainty, it is wise to invest in travel insurance – allowing you to travel with peace of mind.