The summer travel season is almost here.
This year, millions of Americans are expected to take some sort of getaway, with two-thirds of leisure travelers planning a trip in the coming months.
With the average price per vacation expected to be $2,523, you may want to add one more item to your packing list: travel insurance.
“When it comes to the financial loss because you can’t go on the trip, are you willing to take the risk or aren’t you?” said Spencer Houldin, president of Ericson Insurance Advisors in Washington Depot, Connecticut. That’s one of the main questions you need to ask yourself before buying travel insurance, he said.
Travel insurance will reimburse you should an unforeseen event happen before or during your trip. That can include medical expenses, having to cancel your plans, lost baggage or even flight delays.
You may also want to consider insurance if you are traveling out of the country or are concerned about a medical condition that could flare up that may not be covered by your existing health plan, Houldin said.
There’s no shortage of choices — and costs — when it comes to coverage.
On average, prices range from about 4% to 10% of a trip’s total cost, said Steven Benna, content director at SquareMouth, a travel insurance comparison site. “The main factors are overall trip cost, age of travelers and length of the trip,” he said.
Check your current coverage
According SquareMouth, 31% of claims this year were for medical reasons — the most of any category and more common than cancellation.
Before buying more insurance, look at what coverage you may have through your current policy. If you’re traveling to another U.S. city or overseas, you may have to pay out of pocket and wait to be reimbursed by your plan. You may also have a big deductible and be charged for out-of-network services.
Read the full CNBC article online here: https://www.cnbc.com/2019/06/14/when-travel-insurance-is-worth-the-extra-cost.html