Travel insurance: A way to ensure a worry-free vacation

There are many wonderful reasons why a person must travel and explore the world. These reasons include experiencing different cultures and traditions, trying new food and local delicacies, seeing famous landmarks and historical sites, meeting new people, and going through personal growth and self-discovery. Traveling can also widen your horizon as you continue to discover the hidden gems in different countries.

Traveling is fun in general. However, it will be more exciting and worry-free if you are prepared for the unnecessary and unexpected financial burden that may come your way. If something goes wrong on your trip, such as a flight delay or an emergency medical situation, one of the things that can help you is your travel insurance. 

Here are the basic travel insurances that you should consider when going overseas:

1. Trip cancellation

In the event that your trip must be canceled due to a reason that is covered by your insurance policy, a trip cancellation insurance reimburses you for your already paid travel expenses. Among the covered reasons are death, serious illness or injury, job loss, family emergency, military deployment, terrorism, or extreme weather that interferes with flight travel.

You can also extend your travel insurance policy with the "cancel for any reason" (CFAR) coverage for more latitude in cancellations. Here, your travel insurance will cost roughly 50% more, but you will have the flexibility to cancel your plans for any reason. Just make sure to cancel at least 48 hours prior to your departure time. You can't postpone at the last minute.

    
2. Travel delay

If your trip is delayed for a longer amount of time than the waiting period specified in your policy, a travel delay insurance covers additional essential expenses. The typical waiting period before your coverage begins is 6 or 12 hours after your flight delay. Afterwards, you can ask for reimbursement for additional travel expenses like dinner, amenities, a cab ride, and a hotel stay.

Additionally, a trip delay coverage pays you back for the expenses you can no longer use due to an insured incident. You can make a claim with your travel insurance provider if your canceled or delayed flight prevents you from completing your itinerary.

3. Trip interruption

In the event that a trip interruption completely alters your travel plans, a trip interruption insurance comes in handy. In most cases, if you have to shorten your vacation due to a circumstance specified in your policy, you can get paid up to 150% of the amount you paid for your trip.

Travel interruption benefits will cover for any non-refundable tours you miss by cutting short your trip. This includes the price of a last-minute one-way economy ticket going home.

4. Baggage loss and delay

The depreciated value of your possessions may be covered by baggage loss insurance if your luggage is lost by a common carrier such as an airline. It's crucial to remember that this coverage is supplemental. You must first submit a claim to the airline for it to be approved.

If any of your personal items are stolen while you're traveling in your destination country, baggage loss coverage may also be of help. Keep in mind that your travel insurance provider will require proof of loss, so make sure to report the incident to the hotel, tour operator, or local police. Again, since this coverage is supplemental, you need to make a claim with your insurance provider first before turning to your travel insurance.

5. Travel medical

Getting travel medical insurance and medical evacuation coverage is one of the most important types of travel insurance. This is because most of the time, foreign hospitals won't treat sick or injured travelers without advance payment or evidence of insurance coverage.

Travel medical insurances typically come with protection for hospitalization, out-patient treatment, x-rays and lab work, and prescribed medicines.

How much does travel insurance cost?

Every vacation is different, and the nature of a trip will affect how much your travel insurance costs. The total cost of a plan, for instance, is frequently influenced by factors like the number of travelers covered by the plan and their ages. 

It might be slightly more expensive to cover more travelers, especially those with pre-existing medical conditions. Additionally, the length of a journey to a specific country influences the overall cost because shorter excursions typically cost less to protect. The price of your travel insurance may go up if you add more coverage or have greater coverage limits, but they can be worth it if you experience a covered emergency.

So, even if a travel insurance might cost you extra money and is sometimes not a requirement for you to enter a country, just think of it as an investment that will help you keep your peace of mind about protecting your belongings, health, and wealth as you travel to different destinations.