Getting Travel Insurance before a Volcano Erupts is a Good Idea

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May 5th, 2010

As you probably know, the volcano that erupted in Iceland set thousands of travelers into a financial tailspin as they sat in airports, waited in hotels or waited at home to find out what would happen with their trips. It definitely placed the “better safe than sorry” concept into perspective. Many lost money on flights, hotel costs, rental cars and more during their unexpected trip extensions.

However if they purchased travel insurance or travel insurance international, they may have fared a bit better because some or all of these losses may have been covered. It’s for this reason that it’s a good idea to consider travel trip insurance before heading out on your next vacation. However, before you do, take a few moments to learn more about it.

What is Travel Insurance?

Travel insurance is a type of policy that you get from private insurance or travel insurance companies before you head out on a vacation. It’s different from rental car insurance, health insurance or any other type of insurance that should follow you on your trip because it actually combines a number of insurance types and typically covers the following:

• Lost bags
• Medical evacuation
• Reimbursement of some costs associated with trip cancellation, including nonrefundable, prepaid travel expenses (hotel, cruise, tour and airfare charges)

Depending on the type of travel insurance you purchase, you could benefit from even more. For instance, if you purchase trip cancellation/interruption coverage, you could be covered for around four to eight percent of your trip’s cost. Also, some insurance policies will offer extras like a daily stipend of up to $250 for hotel or food.

When Your Travel Insurance Comes in the Handiest

Of course, the best travel insurance to purchase is the kind that you purchase before the trip occurs. There is no doubt that those who buy travel insurance before leaving for their trips obviously benefit the most from their coverage.

According to a report from The New York Times, it seems that plenty of people took advantage of this travel insurance before their trips in the area. The report noted that travel experts expect the volcano-related claims to total millions of dollars.

However, plenty of individuals who were set to travel to, from or through Iceland didn’t take advantage of it and unfortunately were rejected by insurance companies after the volcano had erupted.

Do You Always Need Travel Coverage?

While many people may have gone without travel coverage, does this mean that they really needed it?

Those who had to go without some type of national or international travel insurance probably will say that you always need travel coverage. However, there are instances that you can get away without it. If you carry traveler’s checks, you can often be reimbursed for money you lost.

Of course, if you lose your credit cards, you will be reimbursed for as well. You could even purchase travel health insurance to make sure you’re covered outside of the country. But there are some inherent benefits to purchasing travel insurance, which is why it’s recommended that you acquire it, especially if you don’t have backup protections.

However, the key to purchasing it is making sure that it will actually benefit you. When you compare travel insurance, you want to find the right coverage for your trip and make sure that it will pay for what you need since all travel insurance doesn’t pay for the same things.

How to Get Travel Insurance

If you’re interested in purchasing travel insurance, there are a number of companies with which you can get a travel insurance quote. But again, keep in mind that the idea when reviewing options is to see what exactly will be covered and for what incidents.

Whether you work with Travel Guard, Travel Insure or Insure My Trip among the many others out there, you want to explore your options thoroughly. The last thing you want is for your trip to be canceled due to bad weather and only be covered for hotel and rental car reimbursements when you haven’t paid for either yet.

It’s not easy to predict the worst, but by gauging your needs and comparing the coverages out there with the other protection options you may already have, purchasing travel insurance could help you make the best possible choice for your next vacation.