Travel Tips » TRAVEL INFORMATION » Insurance information
Travel insurance is available in two basic plan types: Package plans and Travel Medical plans
Plan is used by most travelers because it
provides a variety of coverages in one simple plan, including: trip
cancellation, medical emergencies, medical evacuation, lost baggage, missed
connections, and several other coverages. Package policies vary from Basic plans
with less coverage and lower coverage levels, to Premium plans with
top-of-the-line benefits and high limits.
Package plans are perfect for:
Vacation travelers (general
• Business travelers
• Cruise takers
• Senior travelers
Recommended Package Plans (click link to visit site and get a quote)
Insurance is purchased by travelers leaving their
home country for a few days or up to a year, and provides emergency medical
treatment, medical evacuation coverage, and emergency assistance.
Travel Medical plans are used by:
• US citizen’s traveling abroad (business assignments, expatriates, etc.)
• Foreign citizens visiting the US (i.e. parents from India visiting family in US)
• Any traveler leaving their home country
In general, most travelers insurance needs falls into one of the above types of plan. A third category might include Evacuation Only Plans, Annual Plans, Flight Accident.
Which company should I buy travel insurance from?
There are over 15 companies in the travel insurance business, and each one sells a variety of plans. Some companies specialize in simple, easy-to-use policies for the everyday traveler. Others specialize in niche travel insurance plans, designed for specific groups like golfers, students, or people taking a cruise. Some focus on travel medical plans and evacuation plans, providing insurance plans for travelers around the world.
Each company has pros and cons, but most importantly you need a reputable, experienced company with the right plan for your trip. Below is the list of some insurance companies with best ratings and links to their websites.
How much does travel insurance cost?
This will depend on
the type of plan you have, the coverage, the amount of coverage, and other
In general, a Package Plan will cost between 5-7% of the total trip cost. So, if your total insured trip cost is $5,000, a package plan would be around $250-350 (5-7% of $5,000). This varies based on several factors, so keep in mind the 5-7% figure is only a ballpark estimate.
The 5-7% number also assumes you are purchasing Trip Cancellation coverage. You can purchase a Package Policy for the other coverages it provides, and omit the trip cancellation component. This will reduce the amount of premium significantly.
With Travel Medical plans there is no trip cancellation coverage, but the plan cost depends on trip length, traveler age, and several other factors. These plans can be as low as dollars per day.
What types of travelers buy travel insurance?
Travelers of all types buy insurance for their trip. Wealthy retirees taking a cruise, families going to Disneyland, couples taking a vacation, and college students backpacking around Europe all have a need for travel insurance.
To get an idea of the coverage you might need, take a look at the following Traveler Profiles and find the best match for you. Read the description to get an idea of the different types of coverage you should consider.
Common Traveler Profiles
General Traveler/Vacationer (Leisure Travel, Family Vacation, etc.)
I’m traveling with a spouse, friends, or family, and taking a “vacation” trip (abroad or domestically), and want a general travel insurance plan. I want to insure the cost of my trip, so I don’t lose money if I need to cancel. I’m also interested in coverage for medical emergencies and medical evacuations, lost baggage, and even travel delays. I would also be interested in any additional coverages, such as identity theft, or rental car damage. Recommended plan Package Plan (Basic to Premium, depending on preference).
I’m taking a cruise and need a travel insurance plan for several reasons. Since I’ve pre-paid for an expensive cruise package, I definitely want to insure the cost of the trip, so I don’t lose this considerable investment if I need to cancel. Since I’ll be on a cruise ship far from hospitals, it’s important I have coverage for medical emergencies, and especially emergency evacuation. I also want coverage for lost or damaged baggage, delayed trips, missed connections, and other standard coverages. Recommended plan: Package Plan (Moderate to Premium depending on needs).
Parents traveling with kids
I’m taking a trip with my children, and want a travel insurance plan that takes family needs into account. Since kids can increase the chances of last-minute illnesses, I definitely want to insure the cost of my trip against cancellation, so I don’t lose money if a family member becomes ill and cannot travel. It is also essential to protect my family against medical emergencies, lost or damaged baggage, and delayed trips. I would also be interested in “family specific” coverages, such as “free coverage for kids”, or family-concierge service. Recommended plan: Package Plan with “family specific” benefits.
I’m taking a trip and want the basic travel insurance coverage, but I also want to keep my budget in mind. I might want to cover against a canceled trip, but I definitely need some medical coverage, baggage coverage, and 24/7 assistance support. I’m looking for the best value plan that provides basic coverage. Recommended plan: Basic Package Plan.
I’m a student traveling overseas; either on a semester abroad or an extended summer break. Since I’ll be traveling in foreign lands, I definitely need coverage for emergency medical treatment and medical evacuation. It is also important to insure my baggage and possessions, and I want to have good 24/7 assistance services as well. I might need a plan for several months of coverage. Recommended plan: Student Plan.
I travel several times throughout the year, both overseas and domestically, and want a single plan to provide coverage for medical emergencies, medical evacuations, baggage, and even trip cancellation/interruption. Some of my trips last up to a month, while others are very short, but I might take up to 10 trips a year. Recommended plan: Annual or Multi-Trip Plan.
I’m a Baby Boomer enjoying my later years traveling and seeing the world. I’m fairly fit, but I have concerns about traveling abroad without medical coverage. I know that Medicare does not cover my overseas, so medical coverage and evacuation is very important to me. I would also like trip cancellation coverage and some of the other basic trip insurance coverages like lost baggage and travel delay. I need a plan that does not restrict my age group. Recommended plan: Premium Package Plan with senior-specific benefits and adequate age accommodations.
Where to buy travel insurance?
The 2 best places to buy travel insurance:
The best option is to buy a policy direct from the insurance company website. This is a good choice if you already have a good idea of the type of policy you need, a specific plan, or a specific company based on their rating.
Buying direct from the company ensures you are choosing from their full selection of products, and you will have full customer support for those products.
All travel insurance companies sell their products online, and most have developed very user-friendly websites. You can get an instant price quote, buy with a credit card, and get immediate email confirmation of coverage.
The second option is to use a comparison website to compare quotes from several companies at the same time. This is similar to using Expedia.com for buying an airline ticket, as opposed to visiting each individual airlines website. You simply enter some trip & travel information, and get instant comparative quotes from many companies and for many products.
While all travelers are required to get their own travel insurance to cover expenses that come up unexpectedly during the trip, we help our customers in emergencies by providing SOS International services, which means if accidents happen, SOS will provide emergency evacuation to the best hospitals in the area for quickest treatment. This include evacuation by air to Bangkok if necessary. You will not have to pay for evacuation fees. You can read more about SOS services here: SOS evacuation during traveling in Indochina region