Published by Joshua Walker September 22, 2009
When getting a travel insurance quote, make sure to calculate an accurate trip cost.
Trip cost should include all pre-paid and non-refundable costs associated with the trip. This can include expenses for a cruise, lodging, airfare and tours as well as any other costs that might be forfeited if a trip has to be cancelled or interrupted.
The cash value of arrangements that were booked using miles or points should not be calculated in the trip cost. However, if the trip is cancelled, then there might be a fee to either change the dates of travel or re-deposit the miles or points. The amount of that fee can be included in the trip cost.
The trip cost should
be accurate, as some policy benefits such as pre-existing conditions, cancel for any reason and cancel for work reasons. to name a few, mandate that the policy insure the entire pre-paid and non-refundable costs of the trip.
If the total trip cost is unknown, the total amount can be estimated, but it is wise to round up in order to avoid being precluded from the previously mentioned coverage benefits. If travel insurance is purchased based on one trip cost and then additional arrangements are booked, then the policy can be updated to reflect the new trip cost and any difference in premium cost can be settled at that time, so long as it is before the departure date.
Always refer to the certificate of insurance for details.