Travel Insurance Benefits and Coverages

Travel insurance policies are designed to offer a package of benefits that protect travelers and their financial investment in the event something impacts their trip. This includes benefits to cover travelers if something happens before their trip that prevents them from going, or if they experience an issue during their trip that causes a monetary loss.

Most travel insurance policies are comprehensive, including coverage for cancellations, medical emergencies, travel delays, and lost luggage, among other benefits. Squaremouth breaks down the types of travel insurance benefits that are most commonly included within a policy.

Travel Insurance Benefit Types:

  • Cancellation: The cancellation benefits of travel insurance can reimburse travelers for their unused trip expenses if they need to cancel their trip altogether, or return home early, for a covered reason
  • Medical & Evacuation: Travel medical insurance benefits can cover travelers for the cost of treating an illness or injury that occurs during their trip
  • Delay: Travel delay benefits are designed to protect travelers from a financial loss in the event their trip is delayed or they miss their connection
  • Luggage: Travel insurance can provide benefits for travelers to purchase essentials while their luggage is delayed, and can refund the cost of lost or damage items
  • Accidental Death: Travel insurance policies can provide a lump sum payment in the event a traveler dies or loses a limb during their trip
  • Sports: Some trip insurance policies can include benefits that extend to adventurous travelers who are participating in activities that may otherwise be excluded from coverage
  • Additional Benefits: Most policies are comprehensive, and offer a variety of additional benefits

While most policies include many of the same benefits, the coverage amounts and price can vary significantly. It’s important for travelers to understand what benefits are most important to them, and if they’re traveling to one of the countries that require travel insurance. Depending on their trip information, Squaremouth always recommends travelers buy the least expensive policy with the benefits and coverage amounts they need.

What are the key travel insurance benefits?

Most travel insurance policies are built to provide coverage for the most common traveler concerns. Amid an ever-changing travel landscape, there are key travel insurance benefits that travelers should look for in a policy.

Trip Cancellation

Trip Cancellation can reimburse a traveler’s prepaid and non-refundable trip payments if they need to cancel their trip due to unforeseen circumstances. This is most commonly due to an illness, injury, or death, however each policy provides a specific list of other covered reasons.

Cancel for Covid-19 Sickness

Cancel for Covid-19 Sickness can reimburse travelers who are forced to cancel or interrupt their trip because they’ve contracted the virus.

Cancel For Any Reason

Cancel For Any Reason is an optional upgrade that provides the most possible flexibility for travelers. This benefit offers partial reimbursement for a traveler’s prepaid and non-refundable trip expenses if they need to cancel for a reason not otherwise covered by a policy.

Emergency Medical

Emergency Medical can reimburse the costs a traveler incurs in the event of a medical emergency during their trip, including ambulance services, hospital fees, and physician services, among other medical expenses.

Medical Evacuation

Medical Evacuation can transport a traveler to the nearest adequate medical facility in the event of a medical emergency during their trip.

Medical Coverage for Covid-19

Medical Coverage for Covid-19 can reimburse the medical costs a traveler incurs in the event they unexpectedly contract Covid-19 during their trip and require treatment.

Travel Delay

Travel Delay reimburses the costs of meals and accommodations when a trip is unexpectedly delayed.

Extension of Coverage

Extension of Coverage is the time period a traveler’s policy can provide benefits beyond their scheduled return date if they are unable to return home for a reason out of their control.

View All Benefits

Travel Insurance Benefits FAQs

What is the cost of a comprehensive travel insurance policy?

In general, a comprehensive travel insurance policy with Trip Cancellation typically costs between 5% and 10% of the total trip cost. These policies include benefits for other traveler concerns, such as medical emergencies, travel delays, and lost luggage, among others. A policy without Trip Cancellation is typically significantly less expensive.

What is the best travel insurance policy?

Most travel insurance plans include most of the same benefits. However, depending on the provider and the specific policy, the cost can vary considerably. Because of this, the best travel insurance policy to buy is different for each traveler. Squaremouth always recommends the least expensive policy with the benefits a traveler needs.

Are any travel insurance benefits required?

Some destinations require travel insurance in order for foreign travelers to gain entry into the country. Typically, these countries require Emergency Medical and Medical Evacuation coverage, however other benefits may be required. Squaremouth provides a list of countries that require travel insurance.

Have Questions?

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All Travel Insurance Benefits

Click a benefit below to read more about it, including what it covers and which policies include it.

Extension Of Coverage

Extension of Coverage is the time period a traveler’s policy can provide benefits beyond their scheduled return date if they are unable to return home for a reason out of their control. In the event of a medical-related delay, most providers require a documented diagnosis from a licensed medical professional.

Cancel for Covid-19 Sickness

Cancel for Covid-19 Sickness can provide reimbursement for prepaid and non-refundable trip payments if a trip is canceled or interrupted due to a traveler contracting the virus.

Medical Coverage for Covid-19

Medical Coverage for Covid-19 can reimburse the medical costs a traveler incurs in the event they unexpectedly contract Covid-19 during their trip.

Cancel For Any Reason

Cancel For Any Reason is an optional upgrade that provides partial reimbursement for prepaid and non-refundable trip payments if a trip is canceled for a reason not otherwise covered by a policy.

Cancellation

Cancel for Covid-19 Sickness

Cancel for Covid-19 Sickness can provide reimbursement for prepaid and non-refundable trip payments if a trip is canceled or interrupted due to a traveler contracting the virus.

Trip Cancellation

Trip Cancellation provides reimbursement for prepaid and non-refundable trip payments if a trip is canceled due to unforeseen circumstances, including illness, injury, or death.

Trip Interruption

Trip Interruption provides reimbursement for prepaid and non-refundable trip payments if a portion of a trip is missed, or the traveler must return home early due to unforeseen circumstances, including illness, injury, or death.

Hurricane & Weather

Hurricane and Weather can reimburse a traveler in the event they must cancel or interrupt their trip due to inclement weather.

Terrorism

Terrorism reimburses travelers who need to cancel or interrupt their trip due to a terrorist attack.

Financial Default

Financial Default can reimburse a traveler’s trip costs if they need to cancel because of a complete suspension of operations by their travel supplier due to financial circumstances, whether or not bankruptcy is filed.

Employment Layoff

Employment Layoff can reimburse prepaid and non-refundable trip costs if a traveler cancels their trip due to involuntary layoff or termination of employment.

Cancel For Medical Reasons

Cancel For Medical Reasons can reimburse a traveler to cancel their trip due to an unforeseen illness, injury, or death of the traveler, a traveling companion, or a non-traveling family member.

Cancel For Work Reasons

Cancel For Work Reasons can reimburse a traveler to cancel their trip due to specific unforeseen work-related conditions.

Cancel For Any Reason

Cancel For Any Reason is an optional upgrade that provides partial reimbursement for prepaid and non-refundable trip payments if a trip is canceled for a reason not otherwise covered by a policy.

Medical

Medical Coverage for Covid-19

Medical Coverage for Covid-19 can reimburse the medical costs a traveler incurs in the event they unexpectedly contract Covid-19 during their trip.

Emergency Medical

Emergency Medical can reimburse the costs to treat a medical emergency during a trip.

Pre-Existing Condition

A Pre-Existing Condition is an illness or other medical condition that was treated, diagnosed, or changed during a policy’s lookback period.

Co-Insurance

Co-Insurance is the percentage of medical expenses, after the Medical Deductible, that are the responsibility of the insured.

Medical Deductible

The Medical Deductible is a co-pay amount that the insured is responsible for.

Home Country Coverage

Home Country Coverage provides coverage for incidental trips back to a traveler’s home country during an international trip.

Evacuation

Medical Evacuation & Repatriation

Medical Evacuation can provide coverage for transportation of a traveler to the nearest adequate medical facility in the event of a medical emergency during their trip. Repatriation can transport a traveler’s remains back home.

Non-Medical Evacuation

Non-Medical Evacuation provides transportation from a place of danger to a place of safety during a natural disaster or a time of civil or political unrest.

Loss or Delay

Extension Of Coverage

Extension of Coverage is the time period a traveler’s policy can provide benefits beyond their scheduled return date if they are unable to return home for a reason out of their control. In the event of a medical-related delay, most providers require a documented diagnosis from a licensed medical professional.

Travel Delay

Travel Delay reimburses the costs of meals and accommodations when a trip is unexpectedly delayed.

Baggage Delay

Baggage Delay provides reimbursement for the purchase of clothing, toiletries, and other essential items if a traveler’s luggage is delayed for a specified period of time.

Baggage & Personal Items Loss

Baggage and Personal Items Loss provides reimbursement for lost, stolen, or damaged luggage.

Missed Connection

Missed Connection can reimburse the additional costs for a traveler to catch up to their trip if they miss their departure for a covered reason.

Accidental Death

24 Hour AD&D

24-Hour AD&D provides a cash payment in the event of accidental loss of life or limb during a covered trip.

Flight Only AD&D

Flight Only AD&D provides a cash payment in the event of accidental loss of life or limb that occurs while flying during a covered trip.

Common Carrier AD&D

Common Carrier AD&D provides a cash payment in the event of accidental loss of life or limb that occurs while traveling on a common carrier during a covered trip.

Sports

Sports & Activities

The Sports & Activities benefit is designed to cover travelers who are participating in sports and adventurous activities, some of which may otherwise be excluded. Travelers can indicate the activities they will be participating in by selecting the Sports & Activities filter.

Sports Equipment Loss

Sports Equipment Loss can reimburse a traveler in the event their own sports equipment is lost or damaged during a covered trip.

Sports Equipment Delay

Sports Equipment Delay can cover the cost of renting equipment in the event a traveler’s own equipment is delayed while on the way to their destination.

Sports Weather Loss

Sports Weather Loss can reimburse a traveler’s prepaid and non-refundable trip payments when they are not able to participate in a sport or activity due to inclement weather.

Search & Rescue

Search and Rescue coverage pays for the costs associated with finding a traveler in the event they become lost, disoriented, or go missing while participating in a recreational activity during their trip.

Sports Fees

Sports Fees can reimburse a traveler’s prepaid and non-refundable payments that are specific to sports and activities.

Other Benefits

Rental Car Damage

Rental Car Damage provides reimbursement for damage to, or theft of, a rental vehicle during a covered trip.

Money Back Guarantee

Money Back Guarantee is the “free-look” period when a traveler can decide if the policy they purchased is right for them, and cancel for a full refund.

24 Hour Assistance Service

Travel insurance providers have a 24-Hour Assistance Service department to help travelers 24/7 during their trip.

Identity Theft

Identity Theft provides assistance with the services and costs associated with recovering a traveler’s identity and credit.

Renewable Policy

Renewable Policies can be extended during a trip, for periods of 6-36 months, depending on the policy.

Maximum Trip Length

Maximum Trip Length applies only to Annual travel insurance policies. This is the longest single trip a traveler can take during the year they are covered.

Maximum Number of Trips

Maximum Number of Trips applies only to Annual travel insurance policies. This is the most trips a traveler can take during the year they are covered.

Additional Benefits

Many travel insurance providers offer additional benefits to differentiate themselves against their competitors.