What is Trip Cancellation Insurance?
Trip insurance, or Trip Cancellation coverage, actually offers more than its name might suggest. This is far from being a policy that solely provides coverage for your trip expenses and when you compare what it does cover, these policies have a very affordable premium.
Insurance to Cover the Cost of your Trip
When planning a vacation we always assume that we will be healthy enough to travel, though unfortunately unforeseen circumstances can change that. Trip cancellation insurance covers you in the event that you have an emergency illness or accident, but it also covers you if it is a family member, business partner, or travel companion who becomes sick or has an accident. Even if the person was not due to travel with you, you could still be covered such as a business partner becoming sick and hence you cannot take the time off work. You may also be called for jury duty which prevents you from being able to travel, or there may be terrorist activity at your destination and you are told not to travel. All of these are valid reasons, and all are covered under a trip cancellation insurance plan.
Trip Insurance Vs. International Medical Plans
More comprehensive travel medical insurance (less than 1 year) or international health insurance (a year or longer) is recommended when you are traveling outside of your home country for extended periods of time and/or you have additional medical needs. Travel medical plans are primarily medical plans to cover expenses that might not be covered by your existing insurance policy. Trip cancellation insurance policies primarily protect the investment you have made for your trip expenses with some additional emergency medical benefits added on.
- Comprehensive trip protection for U.S. residents traveling abroad.
- Optional rental car collision coverage available.
- Optional Cancel for Any Reason coverage available (if eligible).
- Trip protection for non-U.S. residents traveling up to 30 days.
- $100,000 personal liability benefit.
- 24/7 multilingual travel assistance.
What Else is Covered with Trip Cancellation Coverage?
As mentioned previously, trip insurance does not only protect you against not being able to travel. The plans we offer at International Insurance Group cover you for a number of other eventualities as well. An example policy might also include travel delay up to a maximum of $1,000 (this feature covers you for a lost or stolen passport, travel documents, or money, natural disaster, and medical quarantine, among others), loss of baggage and personal possessions up to $2,000, and baggage delay for $1,000. And, although trip insurance is not a comprehensive travel medical plan, some emergency medical expenses are covered under the trip cancellation policy. Depending on the policy, emergency medical and dental expenses might be covered up to $50,000, while emergency medical evacuation and repatriation might be covered up to $20,000. There is also a $3,000 limit for emergency reunion or return of mortal remains, and up to $100,000 for common carrier accidental death and dismemberment.
Be sure to confirm what is covered in your trip cancellation plan. Many people think they have a Cancel for Any Reason plan, which allows you to do just that. In actuality, they will only be covered if they cancel for an approved reason, which may include one of the following:
- Sometimes the weather or a natural disaster makes travel impossible or damages your own home
- Your passport or visa has been lost or stolen
- Some scheduling conflicts allowed include jury duty, court summons, or school year extensions
- Your, or a travel companion’s, injury or illness and sometimes to a family member or business partner
- If you, or your traveling companion, is in a traffic accident on your way to the airport or trip
- If your home, your business, or your destination accommodations are vandalized, burglarized, or damaged through criminal activity
- A terrorist event that occurs at your destination and results in mandatory evacuations
- The bankruptcy of a pre-paid travel supplier causing the cessation of operations of that supplier
- You, or your traveling companion, are a victim of a felonious assault prior to your scheduled departure
- You or your traveling companion are terminated by your employer, required to transfer to a new work location, or in the military and deployed to help with disaster relief.
- The illness, hospitalization or death of your destination host
- Your travel is disrupted or canceled due to a labor strike
Also, be aware of what is not covered. If there is a new development in your life and you are no longer interested in going on your trip, you will not be covered if you cancel and you do not have the right coverage. Consider your options and purchase the right coverage for your specific needs.
Who is Trip Insurance Recommended For?
Trip insurance is ideal for people who are traveling abroad or within their home country because it not only protects your travel expenses, it gets you home in the event of an emergency. However, while there are some medical expenses covered this plan is not recommended for anyone traveling internationally because the limits of coverage are too low. If you are planning an international trip please consider a travel medical insurance plan as this provides far more extensive coverage for medical expenses in addition to covering such things as trip cancellation and trip interruption. Talk to one of our customer support team if you are still unsure as to which plan would be best for you. Need help with an International Insurance? Please do not hesitate to contact our customer support team who will be happy to assist you to pick a plan and provide your travel insurance quotes.
Our recommended Trip Insurance Plans:
RoundTrip Cancellation Plan (For US Citizens): Learn More | Free Quote / Apply
RoundTrip International Cancellation Plan (For non-US Citizens): Learn More | Free Quote / Apply
IHI Bupa : Learn More | Free Quote / Apply (Great for Non-US Citizens)