Travel Insurance 101 and Why You Need to Protect Your Trip

If there’s one thing we could all agree on, is that the post-pandemic era has changed the way we travel. Now, travel insurance seems to be more of an option that almost everyone considers.

travel insurance for covid

Travelers have learned to do their research as part of the travel planning process and are now more prepared.

Gone are the days when we thought that the ‘unexpected‘ couldn’t happen during any of our trips. Nowadays, we like to have everything covered, just in case!

Having travel insurance gives you the protection you need in case something goes wrong. Trip cancellations, lost or stolen luggage, sicknesses, accidents, or injuries while traveling are some of the reasons why people opt for travel insurance.

The reality is that when you are traveling, anything can happen and you need to be ready for it!

What is Travel Insurance and How Does It Work?

Travel insurance is a type of insurance policy designed to cover the financial risks and unexpected events that can occur while traveling.

It offers protection against a range of potential issues, including medical emergencies, trip cancellations, lost luggage, and more.

Whether you’re planning a weekend getaway or an extended international adventure, travel insurance can provide peace of mind and financial security.

Types of Travel Insurance Coverage

  1. Trip Cancellation or Interruption
    • Trip Cancellation: Reimburses you for prepaid, non-refundable expenses if you need to cancel your trip due to covered reasons such as illness, injury, or unforeseen events.
    • Trip Interruption: This covers the unused portion of your trip and additional transportation costs if your trip is cut short for covered reasons.
  2. Medical and Health Coverage
    • Emergency Medical Expenses: Covers medical treatment costs if you fall ill or get injured during your trip.
    • Medical Evacuation: Pays for transportation to the nearest appropriate medical facility or for your return home if necessary.
  3. Baggage and Personal Belongings:
    • Lost or Delayed Baggage: Reimburses you for the value of lost, stolen, or damaged luggage and personal items.
    • Baggage Delay: Provides funds to purchase essential items if your baggage is delayed for a specified period.
  4. Travel Delays:
    • Covers additional expenses incurred due to travel delays, such as accommodation and meals.
  5. Accidental Death and Dismemberment (AD&D):
    • Provides a benefit to your beneficiaries if you suffer a fatal accident or serious injury during your trip.
  6. Rental Car Coverage:
    • Covers costs related to damage or theft of a rental car.

😷 Does Travel Insurance Cover Sickness? Many insurance providers provide coverage for cancellations due to sickness in their Trip Cancellation Plans. Familiarize yourself with what is included and what is not, in your travel insurance. Usually, you will be able to cancel a trip or interrupt it.

How Does Travel Insurance Work?

Travel insurance is a type of insurance policy designed to cover the financial risks and unexpected events that can occur while traveling.

It offers protection against a range of potential issues, including medical emergencies, trip cancellations, lost luggage, and more.

Whether you’re planning a weekend getaway or an extended international adventure, travel insurance can provide peace of mind and financial security.

Types of Travel Insurance Coverage

Although each travel insurance policy is different and will depend on the type of coverage you choose, this is a general overview of what travel insurance covers, in general.

  • Trip Cancellations: This covers your pre-funded and non-refundable travel fees should the trip fall on specific causes. These include illness or injuries and other unforeseen events when ending the trip.
  • Trip Interruption: The coverage reimburses you in case your trip gets canceled for appropriate reasons and covers other transportation arrangements that were necessary but not used, plus other losses.
  • Emergency Medical Expenses: Reimburses the cost of treatment while on your trip if you become sick or injured.
  • Medical Evacuation: Transportation costs to the nearest medical facility or back home, whichever is necessary.
  • Luggage and Personal Belongings: It reimburses the value of lost, stolen, or damaged luggage and personal belongings. In case of baggage delay, travel insurance can provide funds to purchase essential items for a specified period.
  • Travel Delays: Expenditures due to travel delays, like accommodations and meals in excess, are covered in this.
  • Accidental Death and Dismemberment (AD&D): Offers a payout in case of your death or dismemberment resulting from an accident during travel.
  • Rental Car Damage: Repays costs due to damage or perils of theft to the rental car.

✈️ Domestic and International Travel Insurance Coverage Options: Get Your Free Quote!

Choosing the Right Travel Insurance Coverage

To choose the right type of insurance coverage for your trip, whether domestic or international travel, consider your type of trip, the destination, how long you will be there, and the activities you will likely engage in.

Types of policies can be quite different in terms of coverage and cost. Make sure you compare all the coverage options being offered, read the fine print, and most importantly, understand your coverage.

Be aware of what is covered and what is not; bear in mind exclusions, limitations and pre-existing condition clauses.

Keep your documentation secure in one place and save all receipts, medical reports, police reports, and anything relevant to your travel situation. These will be critical in case a claim has to be made and it’s best to have everything you need.

traveling during covid
Salt Lake City, Utah

Most Common Types of Travel Insurance Coverage

Just as with car insurance or any other type of insurance, there are various coverage options to choose from when opting to insure your trips.

As an affiliate of Travel Insurance Master, I will be detailing the different types of plans that are available through them.

1. Comprehensive Plans (Trip Cancellation Included)

These are the most common travel plans. Since this type provides the most coverage, it’s also the more costly option.

With the comprehensive plans, you will get the trip cancellation option.

With trip cancellation coverage, you can receive 100% reimbursement if you need to cancel your trip before it starts.

This plan also covers sudden sickness for you, your travel buddy, or in case a family member gets sick.

Some key points of the comprehensive plans are:

  • Trip cancellations, interruptions, missed connections, or delays
  • Sickness coverage
  • Medical emergencies
  • Lost luggage
road trips in Utah with physical maps
Road-tripping in Utah

2. Limited Plans (No Trip Cancellation Included)

If you’re in great health and canceling your trip is not in any way crossing your mind, these limited plans might be the ones for you.

These types of plans give you medical coverage while you’re traveling and they’re also a less expensive option.

This is a great plan to have if you suffer an emergency during your trip, especially when traveling abroad.

Some key points of the limited plans are:

  • Medical emergencies
  • Sudden sickness or injuries
  • Emergency evacuation
  • Some of these plans also cover limited life insurance

3. Specialty Plans

If canceling your trip or dealing with unexpected medical expenses while traveling is not an issue for you, then this plan might be your best option.

These types of plans can cover flight-only, accidental death or dismemberment, and evacuation-only, and they can also cover car rental.

🧳 Find out which type of travel insurance is right for you and get a FREE QUOTE!

Final Thoughts

Whether you’re traveling in your own country, or going abroad, it’s a wise option to opt for travel insurance. Traveling with peace of mind assures that you’ll enjoy your trip even more than you expect to!


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FTC Disclosure: This post is not sponsored. All opinions expressed are my own. Some affiliate links are placed above which means I receive a percentage of the revenue made from purchasing products via those links–at no extra cost to you!

Yanitza Ninett
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Yanitza is an avid adventurer with 15+ years of hiking experience and outdoor travel. As a PADI-certified scuba diver, she's also passionate about ocean conservation. When she's not exploring the great outdoors, Yanitza obsesses over The Vampire Diaries and dreams of traveling to Mallorca, Spain.

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