How Much Trip Cancellation Insurance Should I Buy?

When you make plans for a vacation, it is a good idea to get trip cancellation insurance. Most people in general book their travel arrangements in advance yet do not safeguard their trip by having cancellation insurance. If you haven't thought about trip cancellation insurance before, below are some informative answers to questions you may have regarding trip cancellation insurance.

Do I need trip cancellation insurance?

Trip cancellation insures non-refundable airline tickets, hotel reservations, tours, cruise reservations, car reservations, baggage that is lost or delayed, medical evacuation, medical expenses, illness or death of you and your companion including illness or death of a loved one back home and in the event you are not able to make your trip, caused by an unforeseeable occurrence. It also includes such incidents like a terrorist attack in the city you planned on visiting, any weather condition that causes complete shutdown of services, a default or bankruptcy from the travel and tour supplier, even a natural disaster such as earthquake or fire where your accommodations are un-inhabitable.

How much trip cancellation insurance do I need?

As with any insurance policy. it will depend upon the amount of coverage you want and your budget. Typically, most plans cover 100% of the trip costs, with coverage from as low as $500 up to $100,000.

How much is trip cancellation insurance per month?

Usually you purchase travel insurance once you make travel arrangements and

the cost of cancellation insurance depends upon your destination, length of time you are traveling, your age and the options you choose. The average cost range is from 5% to 9% of the trip expense and should be purchased when you make the initial deposit on airfare or book a cruise, etc.

There are annual plans available for the person who travels a great deal and for the business traveler. The monthly cost depends, once again, upon the type of insurance coverage. The coverage/policy limit ranges from a $1,000 annual plan to a $5,000.00 annual plan or more.

Should I buy trip cancellation insurance?

Trip cancellation insurance is a good value and worth purchasing considering the travel expenses, you have already invested in. We never know what will happen before or during a trip. It is wise to invest in coverage should a sudden illness, death, accident, even an employment emergency, or anything else occur, that would prevent you from going on your trip. It will even cover you should the carrier go on strike or suddenly goes bankrupt.

As with anything, shop around first before deciding which plan to purchase. You must know your travel date, total cost of trip, and where you are going, the amount of time you will be there and the ages of each person, before getting rates. Be sure to read all of the documentation and fine print included in your policy.


Category: Insurance

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