Travel insurance: What is it and is it worth it?
The loosening and removal of COVID-related restrictions reawakened desires to travel, whether it is throughout the state, to another state. or even to another country.
That explosion also created unforeseen challenges for the travel industry, leading to system breakdowns in airline booking and routing programs, attraction and hotel manpower shortages, and more. These issues can lead to missed flights, lost luggage, or cancelled reservations, to name a few problems.
Travelers have also found their plans radically altered as extreme weather made some areas of the global virtually inaccessible.
These challenges can strain or ruin a vacation and even make what was supposed to be fun or relaxing unexpectedly expensive. Travel insurance is one tool people can use to recoup some of their costs in the event travel plans go awry.
In most cases, travel insurance may reimburse purchasers for costs associated with trip cancellation and/or interruption, replace some personal property and lost luggage, offset expenses when trips are delayed. and help pay emergency medical expenses and sometimes repatriation while overseas.
The cost of travel insurance can vary based on travelers’ ages, length of time traveling, location of travel, method of travel, and cost of the trip.
Travel insurance is highly recommended for overseas trips. There are many companies that offer travel insurance with varying prices. A Google search will quickly provide several opportunities to research and compare.
Some credit card companies provide travel insurance to holders of certain cards. Often, these are cards associated with travel perks. It is best to check what services and coverages are available through your particular card.
Travelers often ask if they need to purchase insurance through a rental car company when renting a vehicle. In most cases, the answer is no. A private passenger auto insurance policy that provides full coverage on a listed vehicle will also insure a “hired and non-owned auto” for short-time use – a rental car.
In that case, the rented car takes the place of the insured vehicle on the policy, with the same levels of liability and physical damage coverage. That means an accident in a rented vehicle will be covered the same as if it was the named insured vehicle itself.
However, the policy may not cover the rental car company’s loss of that vehicle’s use while it is being repaired, which means the consumer will have to pay rental fees for every day the vehicle is in the repair shop or awaiting repairs. Some auto insurance companies have a policy endorsement that will pick up that cost for a minor charge.
That same endorsement may also reimburse insured’s unforeseen expenses as another result of an accident, including the costs associated with missing hotel check-in or other unexpected travel expenses. Always check your auto insurance policy or contact your agent or insurance company for verification.
Travel should be fun, exciting, and rewarding. Proper planning for the unforeseen problems that pop up can keep it that way.
Alan T. Girton is a veteran agent with Indiana Farm Bureau Insurance. To learn more, visit https://www.infarmbureau.com/agents/Alan-Girton-Howard-Kokomo-IN