Vacations are a time to disengage, leave the stress at home, and just relax. However, a vacation can quickly turn into a nightmare if you fall ill, are in an accident, or get robbed and you don’t have any travel insurance to cover unexpected expenses. That nightmare can also start even before you leave on your trip if you have to cancel for some unanticipated reason. Investing in travel insurance can be confusing because there are so many options and so many different situations. Many people question whether they even really need it or not.
We can answer that last question by asking you this: are you a gambler or not? If you answered yes, then by all means, travel without insurance. However, if you are not a gambler or risk taker, and you like to feel secure and more prepared when you travel, then you may want to consider travel insurance.
While there are a number of different policies, we’re going to focus on three types of travel insurance to help you get an idea of what you may want to consider and why.
Trip Cancellation Insurance
Trip cancellation insurance may provide coverage for trip cancellations, delays, or interruptions. There are a good number of deposits you make and tickets you have to buy on the spot when booking hotels and purchasing airfare. Many of these expenses are non-refundable and, therefore, would be lost if you have to unexpectedly cancel your trip. Think about yourself and your trip and see if there is anything that may cause you to cancel a trip. Are you planning a trip to FL during hurricane season? Do you have any pre-existing conditions that may cause you to get sick unexpectedly? Do you book your trips way in advance? If you can relate to any of these scenarios (or ones like these), you may want to invest in trip cancellation insurance.
Travel Health Insurance
Travel health insurance may cover expenses caused by accidents, illness, and injuries abroad. When researching this type of insurance, check to see if this also includes medical evacuation, which covers transporting you to a different hospital for treatment. When you’re traveling, you can get off schedule, experience jet lag, try foreign foods, and potentially be in close quarters with a sick person. You never know how your body will react to all of these situations. If you want to be adventurous on your trip and try something new, you may put yourself at risk for injury. Having medical insurance is comforting to have – even if all you’re planning on doing is laying out on the beach (hello, jellyfish and sunburn!). You never know what could happen. Accidents are called accidents for a reason – they don’t happen on purpose.
This type of insurance covers stolen and/or damaged belongings. Theft abroad happens. Tourists are especially susceptible because they are not always familiar with the area. Do your research before you arrive at your destination. Check such reviews sites as Trip Advisor and Yelp. Google the names of the hotel, city, attractions, etc. you’ll be visiting to find news reports and reviews of the area. If you are packing expensive gear (nice cameras, laptops, etc) or your hotel is in a high-crime area, it may be a good idea to get this kind of insurance.
Do Your Homework
Find out what your regular medical insurance covers because you may already be covered overseas. If you have home owner’s insurance or apartment rental insurance, your belongings may be covered under that, but check to make sure.
Sometimes, you can get these types of insurances in one package. Sometimes, you may have to mix and match. One plan may be good for one person, but not for another, so really figure out your own personal needs. You may just need a very basic package or you may want the full gamut. There are a number of different types of travel insurances (even more than we have listed) and they are all set up for a number of different situations. Remember that policies and companies are all different. It is a good idea to shop around and compare.
Before purchasing any insurance, read the fine print. Make sure you read all of the information written in your documents and that you fully understand what is covered in your insurance policy. Ask questions and address any concerns. Really do your research to understand what will be a good insurance investment and what you may be able to skip out on. Never let anyone pressure you into buying insurance.
Funding Your Vacation
Vacations can get expensive, we may be able to help! With a reverse mortgage, you’ll save money by not having to make a monthly mortgage payment* for as long as you live in the home. (Though you are still required to pay taxes, insurance, and home maintenance costs). Not only are you saving money, but you can use your proceeds for anything. That includes travel. Call us today to get more information.
*Homeowner is still responsible for taxes, insurance and property maintenance.