Traveling today, particularly on a far trip or with a group such as a family, is not a cheap affair. With the costs of air
travel, jet fuel, rising tourism lodging costs and more, a week to two-week trip for vacation can easily run a couple
thousand dollars in costs. To make matters worse, many of the trip costs such as air tickets and hotel lodging tend to
be non-refundable at the discounted levels. If you want full refundability you have to pay thousands more for the
same trips costs.
Most travelers instead choose to take their gamble that everything will
work to schedule to score savings on non-refundable charges. So
imagine how many travelers all over the East Coast, Europe, and the
British Isles felt when one of the volcanoes (Eyjafjallajokull) in Iceland
decided to blow its top in April 2010, shutting down air travel for
weeks. Everyone from tourists to business travelers were stuck at
airports and airlines would not fly for fear that volcanic ash could
disrupt jet engines with the widespread ash plume all over the Atlantic
and the main flying channels in that area. In this context, trip
insurance becomes a real and valuable insurance to have to
anticipate the effects of chaos and unexpected turns while traveling.
Trip Insurance Defined
Travel insurance is at its most basic form a contract. The agreement states in most cases that if a party
pays a specific fee, the second party will address the costs of detailed calamities and problems so put the
first party back to status quo. However, what status quo is depends significantly on the terms of the
Why is it needed? A vacation is a short period of time, maybe a week or two, so how many bad things can occur on a simple trip? The fact is, quite a
bit. When misfortune occurs on a trip it usually has a cascading effect. One bad turn can result in multiple difficulties and obstacles very quickly. Let's
say for example a tourist goes on a trip and takes a tour bus. The bus gets into an accident and the tourist is
serious hurt. The injury and need for care obviously is the first problem. However, let's also say in the midst of the
chaos the person also loses his passport or is robbed before help arrives. Now the problem has compounded
from misfortune to being legally and financially stranded. Not only does he need medical care, but he will likely be
stranded for a while, missing other trip dates and possibly a timely return flight home. Replacement at the last
second can cost thousands of dollars for instant accommodations. In this sort of instance, trip insurance would
have been a real benefit to have.
Typical coverage benefits in plans can provide protection in a number of ways. The most common protection is
financial recovery if a non-refundable trip component has to be canceled or missed. The next most common
benefit typically includes unforeseen medical expenses, including both regular medical and dental needs.
These come in handy should someone suffer an accident or more commonly get into some kind of a vehicle
accident. Other benefits include financial recovery for trip delays, flight cancellations or redirections, phone
assistance to a client in trouble, and in the worst case an accidental death. Just getting home with a loved one's
body can be nightmare trying to navigate foreign authorities, travel requirements and customs. Finally, there's
also the damage coverage one causes to others while traveling. Most commonly seen with rental cars, a trip
insurance plan helps defray costs expected when a tourist causes harm to someone else or their property in an accident. This can be important since
some countries demand and require repayment immediately after an accident before allowing the causing party to be released.
Avoid costly cancellation or re-booking fees, and be prepared for medical problems with Travel Insurance