Should I Buy Travel Insurance And Where Should I Buy It?

 

should I buy travel insurance

“Would you like to add travel insurance in your tour package?”

This question comes up many times when we go to book flights, reserve rooms or rent a car.

Many American tourists jump at the offer – mostly in fear of impending risks. The U.S. Travel Insurance Association estimates that more than $1.9 billion policies are sold each year.

Travel insurance sounds to many like one of those things that you don’t use frequently such as extended warranties on products. So here comes the big question again! “Do you need insurance?” if yes, then what type of policy suits your requirements.

should I buy travel insurance

Types Of Coverage

Travel insurance provides many different coverage plans which the consumers can choose based on their needs. The most common type of travel insurance coverage are:

Medical Insurance: this type of insurance encompasses several types of coverage. Apart from providing medical facilities, it also covers the cost of transportation if the need arises to transport the patient to their home country due to illness or accident. The medical insurance also offers a directory / service number where you can call directly and talk to English-speaking doctors.

Evacuation Insurance: If you’re on a holiday and a natural disaster or a political unrest arises, then evacuating the city can be distressing as well as expensive. Travel insurance covers the cost of getting out of the dangerous area into a safe place.

Cancellation Insurance: Sometimes last-minute emergency happens which results in cancellation or delay of your trip. This type of travel insurance covers the cancellation costs as well as any delay caused by the tour providers or airlines.

Baggage Insurance: Protects you if your baggage is lost, damaged, or stolen. The baggage insurance will reimburse you for your medications, clothes, and other required items while you are abroad and find yourself without your luggage.

Death and Dismemberment Insurance: This type of insurance is similar to life insurance when your heirs are provided with a payout in case an accident results in your death or you become disabled.

should I buy travel insurance

To Buy Or Not To Buy?

Some people are natural worriers and being insured might give them peace of mind and allow them to remain relaxed during the holidays. Some parts of the world are designed by keeping the tourists safety in mind, but there are many areas of the world where normal tourist type activities are a little risky.

Many people tend to pass on the death coverage insurance also known as “crash insurance”. Although, sometimes plane crashes do occur, the chances of them are very rare and even a small charge for it seems worthless. A life insurance policy is the best option for those who are worried about their own or loved ones mortality.

Before investing into travel insurance, you should also look if you are already covered by your health insurance or life insurance policy. You should also recheck if your credit card also covers insurance policies. For example, American Express provides many perks to its customers including lost luggage or flight cancellation reimbursement. But, of course, these benefits only apply to you if you swipe your card to pay for the trip.

should I buy travel insurance

Other Things To Consider

You should also be aware of what you’re insuring such as the U.S. Department of transportation has a limit to baggage claims up to $3,300. The same goes for medical and evacuation insurance. If you are planning on indulging in adventurous activities such as bungee jumping, then it is worth having medical insurance. But if you plan to sit on the beach with your sun block on the whole vacation then it might not be worth getting insurance.

should I buy travel insurance

How To Buy Travel Insurance

Rates for insurance vary widely, but many websites offer widgets to compare the coverage and costs.

A good website to check for travel insurance is InsureMyTrip.com which provides many options for you to choose from. You can filter your search for all-inclusive coverage’s or specific areas. For example, if you plan to visit the wilds of South America, then you might only want to invest in emergency evacuation or medical coverage rather than baggage insurance or cancellation reimbursement.

Travel insurance can also be bought from your travel agent but remember that your travel assistant usually get a commission from the insurance company which might increase your policy price.

For some travelers, insurance is a good deal but consider your travel plans and understand your opinions before making a decision to buy or not to buy travel insurance!

 

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