Should You Purchase Travel Insurance for a Family Vacation?

July 12, 2018 by · Leave a Comment 

Maybe it’s a sign that I’m getting old, but I’ve started buying travel insurance for my business flights.

It’s like that scene from Star Trek II: The Wrath of Khan — not the new one with Benedict Cumberbatch, but the one from 1982, which is another sign that I’m getting old — when Kirk is dismayed to learn he needs to wear reading glasses, and is embarrassed to be seen using them during the final epic battle.

Maybe things aren’t as dire as that, but I still had that sense of reluctance three years ago when I clicked the button to buy $28 travel insurance for a flight.

It made sense though. I was spending $300+ on a business flight during the stormy season here in Orlando, and there was a good chance my flight could be delayed, which would have seriously hurt the whole purpose of the trip.

Then, the unthinkable happened: I started wondering about whether it was necessary to purchase travel insurance for family trips too.

Short answer, Yes.

Longer answer, Yes because. . .

Yes, because if you’re flying to your destination and have to cancel because of illness, you don’t want to be out the cost of the tickets. Airlines don’t give reimbursements for illness, only mechanical failures and only if you don’t take another flight and file a claim on time.

Yes, because if you spend the entire trip in the hotel and have to cancel all of your reservations, park tickets, helicopter rides, ski lift tickets, or scuba diving lessons, you don’t want to be out that much money. (If you’re sick, however, you have to show proof, like paperwork and forms from a doctor’s visit. They don’t just take your word for it.)

A blizzard in Bilerica, Massachusetts in 2013.Yes, because if you get sick enough that you have to see a doctor or go to the hospital, you don’t want to have to pay out-of-pocket expense or out-of-network non-insured medical costs. (Save those forms!)

Yes, because if you get sick in a foreign country, your medical costs could be much, much higher because you’re a foreigner.

Yes, because if your trip gets canceled due to weather and you missed your vacation window because of a week-long blizzard (it happened to dozens of families this past winter trying to fly to Florida from Boston), you want to be able to reuse that money for another trip.

Yes, because if you or your spouse gets laid off from your job after you’ve already made your reservations and bought your tickets, you can’t expect a full refund. Remember, airlines only give reimbursements when a cancellation is their fault. You might be able to cancel your hotel, but you won’t get a refund on those park tickets or sporting event passes.

Yes, because even if you take a car trip instead of a plane trip, all of those other things — reservation and ticket cancellations, illnesses — can still happen just as easily. You can still spend all week in the hotel, or still be snowed in your garage, or still cancel that trip to the beach because of Hurricane You’re-Never-Going-To-See-The-Beach-Again. Maybe you didn’t buy plane tickets, but you could still have to cancel or cut a trip short because of an unforeseen problem.

The TravelInsuranceReview.net website lists several different kinds of coverage you can get, and it really makes you realize all the things that could go wrong.

Most Popular Coverage Criteria

  • Emergency Medical (at least $50,000)
  • Medical Evacuation (at least $100,000)
  • Pre-existing Medical Conditions
  • Cancel For Any Reason
  • Hazardous Sports
  • Hurricanes & Weather
  • Terrorism
  • Employment Layoffs
  • Missed Connections
  • Rental Car Coverage
  • (There’s a lot more to it, so be sure to read the article.)

    You also want to make sure you buy the right kind of travel insurance. Make sure you’re covered for things like cancellation due to weather, medical costs, and medical evacuation (transportation to the nearest hospital, even if you’re in another country).

    Be sure to read up on selecting travel insurance (I liked this article from REI, the outdoor gear people), and make sure that your travel insurance policy will cover you and the things that could possibly go wrong. Some travel insurance policies may not automatically cover weather-related problems or terrorism, so check that out in advance before you buy your policy.

    Also, some credit cards, like the American Card Platinum, automatically have some travel insurance coverage, such as flight cancellation and even rental car insurance, so make sure you know what they cover before you leave. Don’t assume that it will handle everything for you though; you may need additional coverage for other possible problems.

    Have you ever been on a trip where you needed travel insurance? Did you have it? How did that trip go? Give us your advice or words of warning in the comments below, on our Facebook page, or in our Twitter stream.

    Photo credit: Game Freak2600 (Wikimedia Commons, Public GNU Free Documentation License)

    Last updated by at .