One of your wisest pre-trip investments could be trip insurance, especially if you're planning a costly vacation. Depending upon the policy you choose, it could cover any money paid up front or even the cost of the trip if you get sick and can't go, have to come home early for a valid reason, or if the tour operator goes bankrupt.
Get Insurance to Cover the Unexpected
Suppose someone in your immediate family is so ill that you must cancel your trip to be with that person. The right policy would cover the cost of payments you can't get back from the tour operator. What if you're in the islands and the airline cancels your flight because of a hurricane warning. The hurricane passes by 100 miles away but you've spend an extra night before flying home the next day. The right policy will pay for your extra night's lodging at that expensive hotel.
Questions to Think About When Choosing a Policy
- If the company you are booking with offers trip insurance don't purchase it until comparing exactly what's included with other policies.
- The more coverage you want the more it will cost. If you're on a trip hiking in New England you might not want such extensive medical coverage as you'd purchase if trekking in Peru.
- Some policies only offer comprehensive secondary coverage and you must deal with your own healthcare insurance company first. Other policies will pay first, with no deductable or co-pay.
- Consider the amount of medical evacuation you'll need if you fall while biking on a road in France or break a leg while hiking in a wilderness setting.
- If you travel a lot consider getting multi-trip insurance or an travel insurance policy that will cover several trips.
Compare Policies Carefully
- If you're travel with children, compare the cost of including them in the policy. Younger children are included without extra cost or with minimal cost in some policies.
- Check exclusions. Many policies have a list of tour operators, airlines and other companies that in trouble. If you're traveling with a company on this list and the tour operator or airline goes out of business you won't be reimbursed.
- Carefully compare exclusions in case of a terrorist event in a city you are going visit and exclusions for trip cancellation or interruption for severe weather.
- Compare the amount of allowance for lost or delayed baggage.
- Compare coverage for pre-existing medical conditions. In many cases, you must buy a policy within a limited number of days after making your initial trip deposit to qualify.
Finding Trip Insurance
Several websites compare trip insurance policies among various companies. You put in the trip dates, your age and the cost of the trip and the website will pull up a list of companies offering possible policies. Both Insure My Trip and Trip Insurance Store let you compare policies from several companies. Look at Travel Guard because it has proven to be worth the money on some of our trips.
