Flight delays, lost luggage, sudden illness abroad—these aren’t just travel horror stories. They’re real situations that many travelers face every year. Whether you’re flying across the country or heading overseas, travel insurance can offer peace of mind when things don’t go as expected. But how does it actually work? And is it really worth it for your next trip?
What Does Travel Insurance Actually Cover?
Travel insurance is often overlooked when booking a trip, yet it can be one of the most important purchases you make. At its core, travel insurance is designed to protect you financially against unexpected events that might disrupt or cancel your plans. The most common types of coverage include trip cancellation, emergency medical expenses, lost or delayed baggage, travel delays, and accidental death or injury while abroad.
For example, if you suddenly fall ill a day before your departure and need to cancel, a policy with trip cancellation benefits could help reimburse non-refundable costs like flights or hotel reservations. Or if your checked luggage disappears during a layover, travel insurance may cover replacement essentials and reimbursement for the delay.
Medical emergencies are another critical reason people choose coverage. U.S. health insurance usually doesn’t apply overseas, and even a short hospital visit abroad can cost thousands of dollars. Travel insurance with medical protection ensures you won’t face those expenses alone.
It’s also worth noting that many travel insurance providers now offer COVID-related coverage, such as quarantine costs or trip interruption due to a positive test.
Ultimately, travel insurance isn’t about expecting the worst—it’s about being prepared for the unknown. With plans that fit different budgets and travel styles, it's a small investment that can prevent major financial stress later.