You have reserved your plane tickets, the resort has been booked, and you are ready to hop on your adventure. But what about travel insurance? Is it necessary to purchase and if so what type of coverage should you get?
First of all, we highly recommend travel insurance for all travelers. In the past, some travelers opted out of travel insurance because it was viewed as an added expense that would never get used. However, since Covid-19, we have found travel insurance a must.
The pandemic has changed our ways of traveling. For more than a year, hopping on a plane and going somewhere far away seemed like an unrealistic dream. Now, things are looking a bit brighter, and heading for a weekend getaway or a fun-filled vacation is not as challenging as it was. Still, there is a lot of uncertainty. So, to ease your mind and make sure that you won't have any unpleasant surprises during your trip, purchasing travel insurance is a must.
Travel Insurance Coverage
We recommend making sure you have coverage that includes the items below. Always read the details of your plan to make sure you know what is covered.
Trip cancellation for a covered reason
If you need to cancel your trip for a covered reason (typically sickness, natural disasters, death in your immediate family, etc.), a travel insurance policy will reimburse you if the reason is covered in your policy. This is helpful if you are booking a nonrefundable resort stay or airline tickets.Cancel For Any Reason (CFAR)
An “add-on” benefit you should pay attention to is the option to Cancel For Any Reason (CFAR). This option allows you to change your travel plans and still receive up to 75% of your trip costs unless otherwise noted. Typically, it is not possible to buy CFAR separately – it can only be included as part of your insurance.Usually, the CFAR must be purchased within 10-15 days of your deposit. Especially now, when the world is still fighting Covid-19, it is important to be flexible. The situation in the world changes quickly. Therefore, having CFAR can be really useful. However, not all policies include this option, so remember to check whether you have this service available.
Medical protection
When thinking about travel insurance, medical expenses are likely the first thing that pops in mind. Of course, it has always been important to take care of your health during any travel adventures, but it has become even more crucial during Covid-19. Unfortunately, it is now crucial to include medical expenses in your insurance policy so that you are guaranteed to receive all the necessary help if needed, regardless of the cost.While you might have medical insurance already, most domestic health insurance policies do not provide coverage outside of your home country. Therefore, if you need to go to a doctor’s office or hospital while you’re away, you will have to pay the entire expense out of pocket if you don’t have travel insurance.
Trip interruption / delays
When traveling by plane, there are a lot of uncertainties. For example, sometimes flights get delayed, and due to this, all of your plans must be changed. If the insurance policy includes such risk coverage, you will receive compensation for the delayed or missed flight, which will make the unpleasant surprise more bearable.If your trip is interrupted due to sickness, quarantine, etc., trip interruption can help cover some of the expenses. For example, if you test positive for Covid-19 while away, you will need to quarantine 10-14 days. We recommend getting a travel insurance policy that would cover the additional costs of extending your hotel stay, food, etc.
Baggage / personal items protection
There is nothing more disappointing than arriving at your chosen travel destination just to realize your luggage has been damaged, or even worse, it has been stolen or lost. Unfortunately, in today's world, it can still be a reality. If your things are not insured, there is not a lot you can do. Therefore, it is vital to check whether your travel insurance will compensate any costs related to the damage or loss of luggage or personal items.In travel support
With travel insurance, you can travel the world knowing that support is also available if needed. Most travel insurance companies offer 24-hour emergency medical services and assistance services. It can be difficult to deal with a medical emergency in a foreign country and your travel insurance company can assist you in this process if they have this service available.
Read the contract
Without a doubt – going through any type of legal document can be really dull. But it is essential to read all the terms of the contract carefully (especially parts that are in fine print). Then, if you have any questions or concerns, ask your insurance provider by calling their 1-800 number. Remember – there are no stupid questions. It is better to ask everything several times than to experience an unpleasant surprise when an insured event has occurred, but the insurer refuses to cover the expenses because the contract contains some exceptions.
When to purchase
We recommend purchasing travel insurance within 10-15 days of making your initial trip deposit and to make sure your plan includes Cancel For Any Reason (CFAR) insurance. Again, CFAR can only be included if your plan is purchased soon after making your initial deposit. However, you can purchase travel insurance up until your trip date to get medical, trip interruption, etc. travel insurance.
Buying Travel Insurance
If you’re working with one of our travel advisors, you can ask your advisor to provide a travel insurance quote or recommendation. You can also purchase travel insurance directly by clicking on the link below.
