Travel insurance can protect against the loss of non-refundable travel costs, such as airfare, hotel and tour expenses. Other types of travel insurance offer protection against losses due to medical emergencies, damage to personal property and even a death, which may occur away from home while on vacation. For personal safety tips while traveling abroad, check out our blog post on Safety Tips for World Travelers.
Major Types of Travel Insurance
Here are some important types of travel insurance:
- Trip cancellation—This coverage reimburses you for pre-paid travel expenses if you aren’t able to take your trip because you or a family member becomes ill or dies.
- Travel delay—This coverage reimburses you for pre-paid expenses if you aren’t able to take your trip because of a travel delay, such as a flight delay or cancellation.
- Trip interruption—This coverage reimburses you for pre-paid expenses if your trip is cut short because you or a family member becomes ill or dies, or because of any other misfortune listed in policy. Covered reasons might include bad weather, airline strikes, terrorism, bankruptcy, jury duty, or fire or flood damage to your home.
Medical and accidental death insurance should also be considered:
- Medical/health—This coverage reimburses you for medical and emergency dental expenses that you have because of an illness or injury while you’re traveling.
- Medical evacuation—This coverage provides emergency transportation to take you either to a hospital in the geographic region where you are or for transportation back to a hospital near your home.
- Accidental death—This coverage is usually split into three parts:
- Air flight accident—This covers death or dismemberment during flight only.
- Common carrier—This covers death or dismemberment while traveling on public transportation such as a plane, ferry, train, bus or taxi.
- Accidental death—This covers death or dismemberment at any time during a trip.
Baggage and rental car damage insurance should also be considered:
- Baggage loss—This coverage reimburses you for lost, stolen or damaged personal items. This usually doesn’t cover personal items that may be lost or damaged by an airline. If you buy baggage insurance be sure to review the policy for the list of property that wouldn’t be covered. Some of your property may exceed the limits allowed.
- Rental car damage—This coverage reimburses you for damage or loss to a rental vehicle. If you have this coverage you may decline the “collision damage waiver” that rental car companies offer. This coverage doesn’t provide liability protection.
You may come across these travel insurance options while buying airline tickets, signing for a rental car, or booking a cruise or all-inclusive. But before you agree to add on these extra charges, make sure you know what you’re really buying! Always read the fine print in the coverage terms and conditions, and contact us via the form below with any questions or to learn more about our travel coverage options. And be sure to like us on Facebook and follow us on LinkedIn for more industry news and tips!