Travel insurance: When to purchase insurance and when you probably don't need to consider it
Travel insurance provides coverage for baggage loss, canceled flights and medical emergencies
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Melanie Lieberman, senior travel editor at The Points Guy, breaks down airlines’ most enticing offers for consumers looking to save on their next vacation.
When traveling abroad or preparing for an important vacation with the family, travel insurance is a necessary component to purchase individuals from unforeseen obstacles.
Travel insurance in the United States allows customers to pay for coverage that protects them from any loss experienced while traveling, such as canceled or delayed flights, baggage loss or a medical emergency.
However, knowing when and when not to purchase travel insurance is a challenging question for many Americans preparing their summer vacation.
When is travel insurance necessary?
Individuals should consider paying for travel insurance with emergency medical and evacuation coverage when traveling abroad outside the United States. Going to a foreign nation can bring a lot of risk, and the travel costs can make the venture expensive. Travel insurance during long trips abroad provides the buyer peace of mind and protection.
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Travel insurance is recommended for individuals traveling outside the United States. (Photo by Nicolas Economou/NurPhoto via Getty Images / Getty Images)
Moreover, having medical coverage within in your travel insurance is essential because when you leave the United States your health insurance may not apply in other countries, so medical coverage provides that extra level of safety.
In addition, travel insurance is necessary if an individual is worried that their traveling plans will be changed or canceled altogether. Most insurance options allow for you to buy plans that will cover the entire cost of the trip within a certain period of time after booking your traveling options.
When is travel insurance unnecessary?
Despite the benefits and protections that travel insurance offers when scheduling important trips or long-distant vacation, there are some instances where the costs of the coverage is not worth the risk. For example, cheap travel options overall for last minute trips usually do not warrant travel insurance especially for domestic flights. Also, since you are traveling domestically in the United States, medical or emergency options from travel insurance are not necessary.
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In general, you should never buy travel insurance if you can afford to lose money from a cancelation or if a potential canceled trip does not mean that much to you. If you are only risking a small amount of money to travel then the pre-paid expenses of coverage are not worth it.
Travel insurance can provide coverage for any items or luggage lost during travel. (Christina House / Los Angeles Times via Getty Images / Getty Images)
Discount flights are also another circumstance where it would not be logical to pay for insurance because even if you do cancel your travel options it is not for a lot of money. In addition, coverage might also not be necessary if you are traveling with few items that you are not worried about losing at the airport.
How far in advance can travel insurance be purchased?
Most travel insurance options allow customers to purchase coverage up to 11 to 12 months in advance of the trip. Buying travel insurance ahead of time is highly recommended because it allows for you to cancel your trip for any unforeseen reason within a year.
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