Travel Insurance Defined

Travel insurance is a type of insurance that covers the costs and losses associated with traveling. It is useful protection for those traveling domestically or abroad. 

 

According to a 2021 survey by insurance company Battleface, almost half of Americans have faced fees or had to absorb the cost of losses when traveling without travel insurance.1 Thirty-six percent of Americans say they’re more likely to purchase travel insurance for trips abroad following the COVID-19 pandemic while 34% said they’re more likely to do so for domestic trips.

Key Takeaways
  • Many companies selling travel packages also offer travel insurance.
  • Some travel policies cover damage to personal property, rented equipment, such as rental cars, and even ransom requests.
  • The main categories of travel insurance include trip cancellation or interruption coverage, baggage and personal effects coverage, medical coverage, and accidental death or flight accident coverage.
  • Coverage often includes 24/7 emergency services, such as replacing lost passports, cash wire assistance, and re-booking canceled flights.