Travel insurance: Don't cruise without it!
It's tempting to skip the expense of a travel insurance policy, but don't do it — an unexpected medical emergency on your trip could cost you thousands. Travel insurance policies start as low as $20 per person!
Why buy?
You buy insurance to protect an investment and to prevent unplanned expenses. Travel insurance works in the same way! It can cover the nonrefundable costs of your trip if you have to cancel and it can reimburse you for unexpected medical expenses incurred during your trip. Below are a few tips and tricks when navigating the world of travel insurance.
Quick summary: Know your options
Protect your investment or
just cover for emergencies
just cover for emergencies
Insurance coverage can be purchased at two different price levels. You can insure your whole trip, including nonrefundable costs, in case you have to cancel for a covered reason. Or, you can insure yourself during travel only.
Buy an annual policy or
pay by the trip
pay by the trip
If you travel a lot, you may want to consider an annual travel insurance policy, which will cover you any time you're more than 100 miles from home. These can cover everyone in your household, too!
Pay as you go
You can buy a travel insurance policy that's just for your trip. Travel insurance does two primary things: it covers the nonrefundable amount you've invested in your trip, if you have to cancel the trip for a covered reason, and it provides reimbursement for unexpected expenses that come up during your trip, like an extra night in a hotel due to a flight delay or a trip to the medical center onboard your cruise ship.
Set it and forget it
You can also buy an annual travel insurance plan that will cover you (and, if you want, members of your household) for all of your trips in a calendar year. These fixed-price options are great for frequent travelers, as they'll actually cover you any time you're farther than 100 miles away from home, whether it's a cruise or just a short weekend away. (These plans do have a maximum amount of coverage per year, so if you happen to reach those limits, you need to make sure you purchase extra coverage for future trips within the insurance coverage period).
Levels of coverage in travel insurance
Comprehensive Coverage
Most people buy a policy that covers both their nonrefundable costs invested in the trip as well as protection against unexpected medical and other costs during travel. This will be a higher-priced policy, but it's the best way to make sure that you're covered in almost every case.
Trip-Only Coverage
It's also possible to buy a cheaper insurance policy that will just provide coverage during your trip. Again, this type of policy won't reimburse you for your cruise if you have to cancel it — you'll lose that money, depending on the cancellation policy of your cruise line and when you cancel. But this will provide coverage for interruptions and other expenses during your trip.
Cancel for any reason (CFAR) coverage
If you want a more expensive policy that will allow you a wider range of cancellation options, you must purchase this policy within 14 days of paying your deposit (or payment in full for a close-in cruise). You can read more about cancel for any reason coverage with Allianz here.
Why I always recommend travel insurance
If you've cruised more than once or twice, you've probably heard someone say, "better safe than sorry"—and when it comes to travel insurance, I couldn't agree more. It's one of those things you hope you'll never need, but are awfully glad to have if something unexpected comes up. Trips don't always go exactly as planned (surprise!), and travel insurance can help with those sudden expenses that pop up if your plans get derailed. Whether it's a delayed flight, a last-minute hotel stay, or an itinerary change, it's nice to know you're not on the hook for every extra penny.
Bottom line: Buy travel insurance!
I had some pretty dicey travel delays during my run of weekend cruises, many of which had me wondering if I was even going to make it to my cruise. In the back of my mind, though, I knew that I had an Allianz annual travel insurance policy, so I'd be able to make a claim for my nonrefundable travel costs if it turned out that I missed my cruise. (Email me if you'd like more information about how to buy one of these plans! I can send you an easy-to-purchase quote and I get paid a commission by Allianz at no cost to you.)