Is Travel Insurance Worth It?

If you’re planning a vacation abroad, chances are you’ve already roughly estimated your expenses. You may have even booked your flights or hotels. But did you buy insurance for your trip? Especially if it’s your first time traveling internationally, it’s essential to understand how important travel insurance is for your trip’s safety!

Is Travel Insurance Worth Buying?

Trips abroad are costly, and it’s understandable not to want another expense. Spending on flights, hotels, meals, cruises, cabs, etc., is unavoidable, but if you want to protect a significant portion of these expenses, insuring your trip is essential.

Unexpected events, such as a family emergency or health crisis, can force you to change your plans despite your best precautions. In such cases, having a safety net like travel insurance can be invaluable, saving you from substantial financial losses. This coverage includes non-refundable expenses for issues like lost passports, baggage, hospitalization, or medical evacuation, often reimbursing up to 75% of emergency costs, excluding any deductibles. Considering the insurance is a small fraction of your total travel costs, it offers tremendous value and peace of mind during emergencies.

Top 7 Situations Where International Travel Insurance Helps You

1. Flight Delays & Cancellations

Air travel is perhaps the most convenient means of transportation, but numerous issues like weather conditions, equipment failures, or natural disasters can cause delays or cancellations beyond anyone’s control. Delayed flights can lead to additional costs for meals, transportation, and accommodations, and they can disrupt your carefully planned itinerary or cause you to miss important events. Good travel insurance can cover many of these extra expenses, reimbursing you for reasonable costs due to these disruptions.

2. Health Emergencies

Imagine spending months and thousands on a holiday abroad, only to fall sick or get hurt at the start of your trip! Not only would you miss out on planned activities, but you’d also face unexpected medical expenses. While nothing can fully make up for a disappointing experience, travel insurance can ease the financial setback.

This is arguably the most important benefit of a travel insurance policy. Most Indian insurers cover medical emergencies, including hospitalizations, daycare, and outpatient treatment. Policies also cover extreme situations like medical evacuation and repatriation. No matter where you travel, travel medical insurance can cover these hefty expenses.

3. Trip Cancellations & Curtailments

Suppose you’ve packed and made all bookings, but just before departure, a family member is hospitalized. Or, you’ve already left but receive unfortunate news from home. In either case, you may have to cancel or cut short your trip. This is beyond your control, but what about all the bookings you’ve made?

A comprehensive travel insurance policy can reimburse non-refundable expenses in cases like these. Such benefits are usually available in situations like:

illness or hospitalization of an immediate family member
an unexpected strike or riot
being called as a witness in a court of law.

In such cases, travel insurance can cover reasonable additional travel expenses. However, expenses for meals, beverages, cash discounts, airline miles, or similar accrued benefits are typically excluded.

4. Personal Liability

You may be a foreigner, but if you unintentionally damage another person’s property or cause them bodily harm, you’re liable. For example, if you’re exploring Dubai Mall, get distracted, and walk into a glass door, damaging it, your travel insurance’s personal liability coverage can help cover costs.

Similarly, if you accidentally injure someone while engaging in a sport, your insurance may pay for necessary medical treatment expenses. This coverage is crucial, especially in high-cost regions like Europe or the Americas, where a legal liability could significantly impact your finances.

5. Passport Loss

Your passport is your most important document when you leave India. But in situations involving theft or loss, you may end up without it. A lost passport can create significant challenges, including issues returning to India.

A travel insurance policy can cover reasonable expenses in case of passport loss, including:

the prescribed fee for issuing an emergency certificate
the cost of applying for a new passport

Most insurers also offer guidance to help you contact the Indian Embassy and arrange necessary documents. Insuring your trip doesn’t just provide financial safety, it also ensures valuable support during your time abroad.

Read more: Passport renewal steps

6. Accidental Death & Dismemberment (AD&D) Coverage

Tragic events can occur at any time, and accidental death or dismemberment coverage is a crucial benefit that helps secure your family’s financial future in such unfortunate scenarios. Travel insurance policies often provide coverage in the event of accidental death or serious injury, such as loss of limbs or sight. This coverage ensures a predetermined payout to beneficiaries, providing your loved ones with some financial support even in the most devastating situations.

7. Emergency Evacuation in Case of Natural Disasters

Natural disasters can occur without warning, and being caught in one far from home is especially challenging. In such cases, international travel insurance often provides emergency evacuation coverage, helping you reach a safe location or return to your home country if necessary. Whether it’s due to an earthquake, hurricane, or flood, evacuation coverage ensures you aren’t financially burdened if you need urgent relocation.

International travel insurance is a small investment that safeguards you financially and offers peace of mind during your trip. From covering unexpected health issues and trip disruptions to assisting in emergencies, travel insurance is essential for a safe and worry-free journey. Before you embark on your next adventure, consider securing travel insurance to protect you against the unexpected.