Why You Need Travel Insurance

Once upon a time, travel insurance was a laughable purchase. Now this type of insurance is a necessary part of your travel plans. If you don’t purchase the right insurance, more than your trip might end in disaster. Today’s traveler, at least 30% of them, purchase travel coverage. These purchases are a 10% increase from pre-9/11 travel. Most travelers purchase insurance for peace of mind, protection against the unexpected, and concern over losing the money you spent on a trip.

• When you travel, you need to be aware that your flight may be canceled due to mechanical issues or weather. A policy that includes cancellations will cover the fees you paid for your ticket. This type of insurance also includes the need to cancel your flight due to illness, weather or terrorist incidents in the country you are visiting.

• Insurance will cover the loss of your passport and wallet when lost or stolen. It will help you get emergency cash and a replacement passport. Contact the nearest embassy or consulate (your country) for assistance. Report your passport lost or stolen. Provide the staff with the details of your travel. Every effort will be made to assist you as quickly as possible. You may need to get a replacement photo before arriving at the consular section of the embassy.

• If your bags are lost or stolen and your medication is in your baggage, you will need insurance to have an emergency prescription filled. Travel insurance proves that you take the medication. Insurance stops the red-tape and hassle associated with filling a prescription overseas. (Don't forget to list your medications on the insurance form).

• As unthinkable as it might be, if your cruise, airline or tour operator goes bankrupt, you may need your non-refundable expenses covered to get to your destination or back home. Not so long ago, a cruise line did go bankrupt, and the passengers were stranded outside the port until things were sorted out. Many passengers lost the money they paid for the trip and in particular their non-refundable deposits. Use an insurance policy to prevent this from happening to you.

• Insurance coverage against medical evacuation is also something to contemplate. It is expensive to fly a seriously ill or injured passenger home and airlines do not like the liability issues. Travel insurance will keep you comfortable knowing you are headed home.

You do no need to consider travel insurance if you are traveling on a short and inexpensive flight. The cost would be prohibitive. If you are going on an expensive trip and have shelled out thousands of dollars, purchase travel coverage.

One piece of advice that travel agents whisper to their clients. “Don’t buy travel insurance from the cruise line or the airline. Get a policy from your local insurance agent and go through the fine print thoroughly.” Your insurance agent can word the policy to include illness, cancelations, provider bankruptcy, terrorist attacks, your baggage and contents, and the list does get longer!