Travel Insurance FAQ's

What is trip insurance? Trip insurance is used to help alleviate some of the financial loss that may be incurred because your trip is interrupted, delayed, or cancelled by unforeseen events.

What is travel insurance? Travel insurance usually provides broader coverage than just trip insurance alone. In addition to providing trip insurance for trip delays, trip interruptions, trip cancellations and related problems, it may also cover additional travel-related expenses such as those incurred for medical and health emergencies that may arise during your trip.

Some plans also provide services such as travel-related advice, evacuation to your home or hospital in case of a medical emergency, emergency cash or help in the event of the loss or theft of your money, valuables or travel documents.

How much does travel insurance cost? The cost of travel insurance depends on the insurance company and the details of coverage. Frequently, the cost will be in the neighborhood of 5% to 12% of the cost of the trip.

Do I need something other than my normal health insurance plan for traveling outside the U.S.? To answer this question, you need to check with your own health insurance company. Many health insurers do not cover international health coverage. A spokesperson for the Health Insurance Association of America has been quoted as saying that only about 5% of American travelers have health insurance coverage while traveling abroad. Even when traveling within the United States or to U.S. territories like Puerto Rico, Virgin Islands, etc., full coverage may not be available under many plans.

For business-related travel, you should check with your employer to find out if you are covered under a travel insurance plan for employees.

How can I be sure what is covered? Look carefully at the policy. Reading an insurance policy is not most people’s idea of fun, but it could save you from later grief should you suffer a loss and need to file a claim.

Is travel insurance from a specific provider uniform from state to state? Not always. Be sure to read the coverage literature and policy thoroughly. Some provisions in a brochure may have asterisks with modifications or limitations concerning what applies in certain states.

What if I have personal items stolen while on vacation? Homeowner’s (or renter’s) policies very often include some coverage for stolen personal items.