When you are in the midst of planning your next favorite vacation, you aren’t necessarily thinking about all the “what if” scenarios. But travel insurance, sometimes referred to as travel protection, is your best defense against any unforeseen situations. Whether it be your own illness, the death of a loved one or lost luggage, travel insurance serves many purposes. Here are 5 reasons you need travel insurance:
Weather delays and cancellations account for more issues with travel than anything else. When flights are involved, there are lots of people trying to rearrange their itineraries at the same time and that could spell trouble for your plans. Weather delays and cancellations can lead to mis-connects and oversold flights causing you to lose a whole day or more from your long awaited trip. Worse still, you now need to pay for extra hotel nights (because airlines will NOT provide hotel vouchers due to weather) that you didn’t include in your initial budget and now Mother Nature has thrown a monkey wrench into your vacation plans. You need travel insurance because most plans will reimburse you for out of pocket expenses due to trip interruption.
If you must check a bag, the last thing you want is for them not to reach your final destination with you. I personally have been the victim of a delayed bag, not once but twice on the same trip! Having to replace everything you packed is not only inconvenient but expensive. However, most travel insurance plans will reimburse you for your out of pocket expenses up until a certain dollar amount.
When you are planning your trip, you aren’t thinking about something happening six months down the road when you are ready to leave. However, more than once, I have had a trip canceled or postponed by illness. Travel insurance will help you out in the case of many scenarios such as job loss, illness, a death in the family, etc. Instead of risking your investment, paying for travel insurance provides you with that safety net.
Health Insurance Won’t Cover Everything
If you get sick abroad, or even in another state sometimes, your health insurance may not cover you. In some countries, it definitely won’t. Guess what? Medical treatment in another country is very expensive and they want their money up front. Travel insurance plans will pay out to the hospital, doctor’s office or pharmacy until your health insurance processes the claim, saving you a huge headache and an even bigger credit card bill.
Bankruptcy and Closure
Did you know in the last year two major travel companies went out of business? Both WOW Airline and Thomas Cook Travel Company went belly up, leaving thousands of travellers stranded in foreign countries. Are you prepared to get yourself home in a situation like this? Travel protection will assist you in circumstances like these.
One additional note; your credit card may offer travel protection of some sort. It will not be nearly as comprehensive as a separate travel protection.
There are unfortunately many things that can upend your vacation plans. You spent a lot of time planning and dreaming about your trip. The smart thing is to protect your investment. Make sure to do your homework, as not all travel insurance plans are the same. Your travel advisor can tell you the basics and the cost of the plan, but they are not insurance experts. If you have questions about coverage, call customer service of the travel insurance provider. Regardless if you think you will use it, remember these 5 reasons you need travel insurance next time you plan a vacation.