Do You Need Travel Insurance?

Why Travel Insurance Is A Must-Have For Your Next Trip

Travel insurance has always sparked debate. Is it a wise investment or just an unnecessary expense? The truth is, the necessity of travel insurance depends on various factors, such as your destination, the type of trip, and the risks involved. However, recent global events like the COVID-19 pandemic have underscored its importance more than ever.

Let’s dive into why travel insurance matters and how it can be a lifesaver when the unexpected happens.

What Does Travel Insurance Cover?

Travel insurance is designed to protect you from unforeseen circumstances that can disrupt your plans or cause financial hardship. but that’s the catch – unforeseen. Don’t make the mistake of thinking nothing will happen.

Some typical coverages include:

• Trip cancellations or interruptions

• Emergency medical and dental care

• Medical evacuation

• Lost, stolen, or damaged luggage and personal items

• Natural disasters, terrorism, or political unrest

This includes the smaller things like helping rearrange travel plans when a flight is delayed or you run into an issue. My family and I traveled to Europe recently and on our way home we found out that my daughter’s flight was delayed to the point that she would miss her connecting flight. Rather than try to take on re-booking her flight myself (which could have meant being out of pocket for the new flight costs), we used our travel insurance instead. They found a new, direct flight for her without us having to pay a penny. The entire process was pretty quick and easy and put our minds at rest.

It’s important to note that travel insurance is for unexpected events. For instance, if you book a trip knowing a major storm is imminent, you likely won’t be covered for cancellations related to that storm. Similarly, most policies won’t cover pre-existing conditions unless specified.

Why Travel Insurance Matters More Post-COVID

The COVID-19 pandemic has reshaped how we think about travel and its associated risks. While some insurance providers now include COVID-19 coverage, others have limited or excluded it. Here’s what to look for:

Trip Cancellation Due to Illness – Policies from companies like World Nomads and SafetyWing may cover cancellations if you or a travel companion contract COVID-19 before departure.
Medical Care Abroad – If you fall ill with COVID-19 or another illness during your trip, some policies provide coverage for medical treatment and repatriation.
Quarantine and Trip Interruptions – Certain providers offer reimbursement for additional accommodation or transportation costs if you’re required to quarantine. Always review your policy’s terms to ensure it meets your needs, especially concerning pandemics or other public health concerns.

Is Travel Insurance Necessary?

When it comes down to it, you never know when something might go terribly wrong. As just one example of 1000s, check out this traveler’s experience – Steven Lapidas’ Story. This simple truth is you won’t know you need it until you do, but then you’ll be glad that you did.

Unforeseen emergencies aside, in some cases travel insurance is required by law. Countries like Costa Rica, Aruba, and Thailand mandate coverage for visitors. Even when it’s not required, travel insurance can save you from significant financial and logistical challenges. Consider these factors:

Refundability – Are your flights, accommodations, and activities refundable? If not, insurance can protect your investment.
Healthcare Access – If you’re traveling internationally, will you have access to quality healthcare? Most domestic health plans don’t cover you abroad.
Activities and Risks – Are you planning adventurous activities like scuba diving, hiking, or skiing? Many policies offer coverage for injuries or evacuations.
Trip Disruptions – Do you want protection against delays, cancellations, or lost luggage?
Destination-Specific Risks – Are you traveling to a region prone to natural disasters, political instability, or high crime rates? When in doubt, having travel insurance provides peace of mind.

How To Buy Travel Insurance

You have several options for purchasing travel insurance, each with its own advantages and limitations:

Travel Providers -Many airlines, cruise lines, and tour operators offer insurance when you book. While convenient, these policies often have limited coverage and higher costs. In addition, if the company you purchase from goes bankrupt or closes suddenly (which has happened more times than you can imagine…ahem…Crystal Cruises) you are out of luck. They can’t cover you if they can’t even pay their own bills.

Credit Card Coverage – Some credit cards include travel insurance benefits. While helpful for basic coverage, these policies often lack comprehensive protection for international or adventure travel. However, it does offer some protections so don’t hesitate to use them as needed.

Third-Party Providers – Independent companies like SafetyWing, Travel Guard, and World Nomads offer customizable plans with extensive coverage. Third-party providers are often more affordable and reliable, especially if your travel provider goes bankrupt. This is typically where I buy insurance for myself and recommend for clients. Each person is different and will have different needs – whether that’s pre-existing conditions or just that you might try bungee jumping in Thailand and want to be covered. A third-party provider will be able to customize coverage for your needs.

Final Thoughts: Should You Buy Travel Insurance?

While travel insurance may not be necessary for every trip (for instance, if you are traveling domestically you can use your own health insurance if it covers interstate travel), it’s a vital safety net for most people. Emergencies—whether medical, logistical, or environmental—can happen anywhere, anytime and you won’t see it coming. As I mentioned before, you won’t know you need it until you do, then you’ll be awfully glad you have it!

Crafted Travel Company is an affiliate of SafetyWing, Travel Guard, and World Nomads. We partner only with companies that provide exceptional value and protection for our clients.