If you’re planning a vacation you’ve probably already been offered travel insurance more than once. And if you’re like most people you quickly dismissed the idea and went about your business.
But don’t be so quick to decide. While travel insurance is not always a good idea, there are times when it can come in handy.
What is covered?
While coverage can vary from one carrier to another, travel insurance policies generally cover:
Trip cancellation or interruption due to weather, sickness, airline bankruptcy/strike, or terrorist activity.
Medical expenses incurred while in a foreign country. If you get sick while on African safari, you may find that your medical plan does not cover foreign care or that the coverage is severely limited.
Baggage and belongings that are lost, stolen, or damaged.
Accidental death and dismemberment if you are seriously or fatally injured while on vacation.
So when should I buy travel insurance?
Well, if you are going on a relatively inexpensive trip that is not likely to be canceled or delayed and you are young, healthy, and not planning on doing anything dangerous...