Are you getting the most out of your travel insurance?
While traveling does let us explore new places, discover different cultures, and create unforgettable memories, it does come with dealing with the unforeseen.
Whether it’s canceled flights, lost baggage, or getting sick, your travel insurance policy is there to cover those unexpected expenses.
But many travelers skip the due diligence and often buy the wrong travel insurance.
Here’s how you can avoid that mistake and make sure you’re covered for everything that might go wrong with your itinerary, transportation, and destination.
What Does Travel Insurance Cover?
Travel insurance covers a range of trip protections, such as:
- Accidental death and dismemberment
- Baggage delay
- Baggage loss
- Emergency medical evacuation and repatriation
- Missed connection
- Reinstate frequent traveler awards
- Trip cancellation
- Trip delay
- Trip interruption
5 Tips for Getting The Most Out of Your Travel Insurance
Travel insurance is more than a “nice to have.” It’s a necessity.
But there are a few things you need to know if you want your insurance policy to work for you without any surprises.
1. Know When to Buy It
When is the best time to buy travel insurance? As soon as you pay for your trip.
Why?
It’s a failsafe to prevent you from accidentally forgetting to protect yourself and regretting it later.
But if you like to leave things to the last minute, you won’t be penalized as policies don’t increase in price the longer you wait (unlike airfares).
You also have two options:
- Buy your comprehensive policy directly through a site like Allianz.
- Buy travel insurance add-ons when you book your flight or hotel.
There is one thing to remember if you opt-in for the latter.
It will only cover you for that specific part of your trip.
Meaning if something goes wrong with your luggage and you only have insurance for your hotel booking, you won’t be able to submit a claim.
2. Consider an Annual Travel Insurance Plan
If you’re anything like me with a perpetually half-unpacked suitcase, it doesn’t make sense to keep buying a travel insurance policy for every trip.
The admin is tedious, and it ends up costing you more money.
The solution? An annual travel insurance plan.
But even if you’re not a busy travel concierge, annual plans work out to your benefit if:
- You take more than three trips a year: The more your travel, the more chances things can go awry.
- Love spontaneous domestic and international rendezvous: You’re always protected on your last-minute escapes.
- You’re over the age of 75: Age doesn’t matter – you’ll get the same affordable rate as a 22-year-old.
3. Understand How “Cancel Anytime” Works
We’ve all been there.
You have a trip planned, and then something unforeseeable comes up.
Now, you face the problem of missing out on an incredible vacation and all the money you’ve spent on booking hotels, flights, and activities.
What to do?
Make sure your travel policy is flexible.
With Allianz’s Cancel Anytime upgrade, you can get the following:
- Up to 80% back of non-refundable trip costs if not already covered.
- A maximum insured amount of $16,000.
Need to cancel your trip for a covered reason?
You may still receive 100% of your non-refundable expenses back up to your maximum coverage limit.
4. Know What You Are Covered For
Every policy is slightly different, but in general, you’re covered for:
- Injuries
- Sickness
- Lost luggage
- Last-minute trip cancellations
- Trip interruptions
But what most travelers miss is what your travel policy WON’T cover.
It’s important to know that while there are many reasons to buy travel insurance, some things are not covered.
For example, if you have a pre-existing health condition, you must look for a plan with a pre-existing condition waiver.
Without one, you’re potentially risking paying for those hefty hospital fees out of your own pocket.
The same goes for visiting an area in political unrest. You need to check if your travel insurance policy will cover your evacuation or allow you to cancel if the situation escalates.
Planning to try any adventure sports? Double-check that your travel insurance will cover you for any injuries sustained. High-risk activities like rock climbing, scuba diving, etc., are not usually part of a standard policy.
5. Be Honest With Yourself About Your Trip
Your itinerary plays a big part in choosing the right travel insurance policy for your trip.
- Are there a lot of strict cancellation policies for activities planned?
- Are you doing highly active and high-risk activities?
- How are you traveling?
- Are you pre-booking activities?
- Does your hotel allow late cancellations with full refunds?
Next is your destination.
- Are you traveling domestically or internationally?
- Does your health insurance policy cover you for incidents outside of the country?
- Is it hurricane season?
- Is the region experiencing civil unrest?
Lastly, look at your travel method.
Some types of travel, like air or rail, are more prone to delays and cancellations than others.
For instance, a flight itinerary may include multiple connections, putting you at greater risk.
Got any questions about getting the most out of your travel insurance policy? Let me know in the comments below!
Disclaimer: This post about travel insurance is sponsored by our partner Allianz Travel (AGA Service Company), and I have received financial compensation as a brand ambassador.