Real life sometimes wreaks havoc on your vacation plans, Lost luggage, cancelled flights, inclement weather, or family emergencies can cancel the most well-planned vacation. The Sept. 11 terrorist attacks resulted in a 10-percent increase of Americans who buy travel insurance--making the total number of Americans who purchase travel insurance about 30 per cent, according to the U.S. Travel Insurance Association.The average cost of travel insurance is 4 to 8 per cent of your total trip according to Cost Helper.com. The cost of travel insurance depends on what type of coverage you get.
High End Coverage
The higher end of travel insurance pays for the option to cancel your trip for any reason. Some travel insurance companies add the "cancel for any reason" option at an additional cost. Premium coverage allows you to cancel your trip for any reason and still be reimbursed your travel costs. People who purchase this Cadillac plan like to cover for the unexpected.
Travel insurance typically covers medical expenses should you require medical help during your stay. Travellers who purchase medical coverage like the peace of mind of knowing that they can seek medical attention in a far away destination without having out of pocket expenses, according to the U.S. Traveler Insurance Association. Standard coverage costs 4 to 5 per cent of the entire cost of your trip.
Travel insurance offers coverage for lost or stolen baggage, medical evacuation costs, and financial protection should your trip be interrupted, A little known gem called "excess valuation" available from airlines provides an additional £3,250 coverage should the airlines lose your bags. That's better than the £5.90 per pound they offer with a limit of 18.1 Kilogram.
Seventy per cent of cruise travellers buy travel insurance, according to the MSNBC travel article, "9 Reasons to Buy Travel Insurance". One reason is because unlike travelling in the U.S., where your health insurance typically covers medical emergencies in another state--cruise travel on a foreign flagged ship is not always covered by your U.S. health insurance.
Buying travel insurance is a personal decision. When spending £13,000 on a 30-day luxury cruise, you have to ask yourself if it's worth it to blow the £13,000 should a real-life emergency intercede. Or is it worth it to protect your investment for a cost of anywhere from £520 to £1,040? With travel insurance, you're not only protecting your monetary investment. You're also investing in your peace of mind.