Why Must I Get Travel Insurance?

When a major cruise liner went out of business last September, the company's ships were seized and more than 1,450 passengers were put ashore mid cruise in Canada and the Bahamas. A cruise liner that goes belly up can easily lead to lost belongings not to mention lost lives on board. One company official say that claims from this incident amounted to $1.5 million from people who bought travel insurance from them, a third party.

Passengers who bought insurance directly from the cruise liner wait in line with creditors waiting for payment that may possibly not happen. Travelers should always be alert for possible mishaps that might happen when they go on a trip including cases of illness or missed flights. Travelers can lose their entire payment on a ski vacation, a cruise or an adventure vacation because a snowstorm waylays them at the airport.

This is primarily the reason why travel insurance can be obtained to cover accidents, sickness, flights, and money when trips do not go as planned. A policy will also cover lost baggage and expenses attributed to medical evacuation. There are different policies available and these can be made to fit the needs of a traveler. Sometimes tour operators and travel agencies provide travel insurance to their clients when insurance cannot be obtained from the travel companies. The extent of a policy depends on the source. Travel companies will be less likely to include supplier default insurance in their policies.

Cruise liners as with other travel companies will not willingly include coverage like this in a policy. Tour operators directly provide insurance but it will be better to get the policy from a third party provider. Most of the time travelers go overboard when it comes to thinking about ridiculous occurrences happening on a trip but even if most mishaps are not as spectacular they too can be just as costly. There are numerous claims for flight cancellations every day. Something happens before you go and causes you to cancel. People can easily figure in an accident, face sudden illness, have problems in the family, or be affected by bad weather.

Travelers who get to push through with their plans can be susceptible to sudden trip interruptions where claims can also be filed. One claim not as common as the other is the claim for medical evacuation which can cost a lot of money when encountered. It will automatically incur for the traveler thousands of dollars for services like this one to be attained during a trip. A couple of airline seats on a commercial flight and a medical escort for a traveler in need is also equivalent to a medical evacuation service. Medical evacuation though is not the sole reason to get medical insurance. Younger people are now more aware that they too can figure in accidents and so an insurance company shares how part of their clients for medical insurance are comprised of these people.

Coverage like this one is ideal for those traveling with children as children more often than not need some kind of medical assistance. It is of much value for travel insurance to include a 24 hour assistance hotline. Will a policy like this have full utility? Coverage like this one is intended for travelers with health conditions. People should not disregard getting insurance if they have to deal with restrictive accommodations on a trip. Policies are bought primarily to save one's investments.

About ten percent of travelers comprise those who get travel insurance as reported by the cruise liner who will end up paying about a million in damages to passengers. This is even if most tickets are now non refundable. A coverage plan can make a big difference for a relaxing trip. What should a person expect to pay for convenience? Figure anywhere from 4 percent to 8 percent of the cost of the vacation which might amount to as much as $400 added on to a $500 cruise. In short, travel insurance is not cheap, but proponents claim that it can save a bundle when the going gets rough.

  • Digg
  • StumbleUpon
  • Reddit
  • RSS


Post a Comment