One of the questions which are constantly in out head is: Do we need travel insurance? On the other hand nobody asks about car insurance. Most of the people have car insurance because they are huge investment, and if something happens to their cars they lose a lot of money, Trip insurance is as important as car insurance.
When traveling a lot of bad things can happen, especially when you travel a lot for example thunderstorms, volcanoes, strong wind blowing. A lot of things can ruin our traveling and spoil our plans. These various natural disasters, financial troubles, and the prevalence of nonrefundable airline tickets make buying travel insurance a wise choice to protect yourself.
Just as car insurance protects the vehicle, trip insurance protects your financial investment in your vacation. The first question that everybody asks is what to cover. The more you cover the more you are protected but also more expensive the policy will be.
via flickr by Chris Potter licensed CC BY 2.0
When considering trip insurance, take time to think how much money you’ll put down before your trip. Will you be buying expensive airline tickets that can’t be repaid? Will you be putting down a big amount of non-refundable deposit on a tour or cruise? If the answer is yes, and if there is a chance for you to cancel because of any reason, then buying trip insurance is excellent idea. There are different types of travel insurance policies starting from trip cancelation to emergency medical evacuation. It’s on you to decide what you will cover There are certain things that need to be covered.
Trip Cancellation. This helps you if you have to cancel the trip, what is covered depends on the policy that you have signed. Generally the policies cover a cancelation because of medical reasons like injury, illness or death. Also there are policies that cover airline delays, strike, bad weather and also terrorism. What exactly is covered you need to read in the policy.
Trip Interruption This covers your expenses if the trip is interrupted. For example, those can be additional expenses like tour or cruise. This also covers other additional expenses and the non-refundable expenses if you want to go home early.
Medical Coverage. This section can cover if you are in one state or more states. So make sure you if you have health insurance which covers your health inside USA but you go to Europe expand your insurance to cover you also in Europe. Some companies cover emergency evacuation which is important if you are going outside of USA.
In addition to these there are other kinds of coverage
Pre-existing conditions If you like skiing and golfing or doing anything physical you need to make sure that you are covered in case of cancelation or interruption because of injury. For example if you sprang your ankle that would definitely ruin your ski vacation. With this you are covered regardless of your medical history.
Added baggage coverage. If you travel with sport equipment like skis or golf clubs you need to make sure that you are covered so the airlines doesn’t sent them back or that you are covered if somebody stole them.
Concierge Service or a help line Some companies offer lines which are 24 hour available for lost baggage or missed connection. These lines can help you go to your destination with all your baggage if you don’t use tour operator or travel agent.
Another thing to have in mind is that some companies offer added coverage or choices if you pay your policy when you pay your deposit or shortly after. Most companies only cover unexpected events. So most companies won’t cover you if you go to Island volcano, unless it stops erupting and then restarts before your travel.
The next step is to choose your provider. Different providers will charge you different amount for similar coverage. Just like car insurance, the added services that the company offers affect the cost of the policy. Carefully choose the company and before signing with some explore what are your choices.
The trip insurance market has several companies with various prices and each company has a list of polices that vary from inexpensive to expensive. If you only see the price of the policy, that policy will not cover what you want. Always avoid a company that never pays on claims. On the other hand purchasing the most expensive policy will lead you to pay for coverage that you don’t need and you will never use. So make sure that you buy a policy that satisfies all your needs from a trustworthy company.
A good travel agent can escort the travelers in the right directions when choosing a policy that best fits their needs, but you also have to make sure that that’s the right policy for you. One profit centre Trip insurance makes sure that the clients are happy and satisfied with their offered policies and that everything will be covered. But there is a risk that they will offer a policy that offers more coverage that the people will need. In order not to be cheated make sure that you read the description of the coverage before you buy a policy.
So the answer of the question do you need a trip insurance is definitely yes. You have to buy travel insurance every time you travel to protect yourself from unpredicted disasters.
There is one exception, you don’t need to purchase travel insurance if you take a short trip like a weekend in your country in a fully refundable room and an airline ticket purchased with miles.
Also be aware that there are plenty of travel protections and travel insurances which are scam. So be careful and check twice before you sign a document. If something like this happens to you, you can always report the company. Also if you have any complaints against the company you can also complain or report a fraud with calling the Online Fraud Reporting System. The costumers also can have proactive role in identifying and reporting an insurance fraud or poor business practices.