The expectations and realities of travel insurance

I travel a lot for business – excessively some months. But I also have a big family and exploring is etched into our DNA. We’ve had our fair share of amazing travel adventures and we’ve also had a few murphy’s-law-style mishaps. While I love to live on the edge of serendipity and not over-plan a trip, I never leave our safety to chance.

If you’re planning a last minute March Break holiday outside Ontario, listen up: travel insurance is as important to consider as hotel reservations. While many people opt out of extra insurance, it takes just one unfortunate incident to derail an entire vacation. During a family cruise last year, I came down with strep throat (which progressed with amazing speed thanks to the heat and humidity). Thankfully, there were doctors onboard and medication available – and our health insurance saved me from a nasty bill afterward.

9 ways travel insurance can save your vacation

1. You get sick while still at home and need to cancel your flight.
2. Your flight’s cancelled and you’re stranded far from home.
3. You get sick and need to be seen by a doctor and have an emergency prescription filled.
4. You packed your medication in your checked luggage and it’s lost in transit.
5. You’re injured in an accident and your injuries are serious enough to evacuate you to specialized trauma center.
6. The airline you booked with goes bankrupt and you need your non-refundable expenses covered so you can get to your dream vacation.
7. A political or terrorist incident occurs in the country you’re planning to visit and you want to cancel your trip. Or it happens while you’re there and you want to get home quickly.
8. A hurricane/flood/earthquake forces an evacuation of your resort, hotel or cruise.
9. Simply the peace of mind to book that 10 day cruise or resort getaway in the dead cold of a long winter, enjoying excursions, sights and adventures worry-free … Priceless!

When I travel, I’m willing to gamble on things like a restaurant recommendation. Safety and protecting our hard-earned vacation dollars are non-negotiable. When I travel outside the province, the following insurance policies are on my must-have list:

Trip cancellation and trip Interruption insurance

Because I fly so much, this one’s important to me. If it’s a quick business flight with a low cost, I opt out. If it’s a family vacation, I protect my investment with everything I have.

My recommendation – buy this insurance. If you get sick or your travel provider goes out of business, you’re not left paying the bill for a vacation you missed out on. One caveat – buy this insurance from an independent provider like CAA. If you buy it from the airline (or travel provider) and they go bankrupt, guess where your insurance goes?

Health insurance

We Canadians tend to take our healthcare for granted – myself included. During a recent business trip to Houston, a colleague told me about an appendicitis attack last year that resulted in surgery and a month off work. The total cost for just his medical bills were $62,000 – he was responsible for $10,000. Do you need any more reason to get health insurance?

Credit card coverage

During a recent trip to New Orleans my credit cards were stolen. Thankfully, the bank caught the inconsistencies and I wasn’t responsible for the charges – but I was lucky.

If you book your travel on a credit card, you’re likely covered – but not always. Most credit cards limit coverage to flight accident insurance, rental car insurance and/or limited baggage insurance.  Call your credit card provider's toll-free line so you can make an informed decision.

Get the insurance – or not?

If you’re unsure whether to invest in travel insurance, compare the cost of your trip to the cost of the policy. If you’ve been saving for this vacation and there’s a chance something could come between you and your enjoyment of it, doesn’t it make sense to protect that?

Remember an independent travel insurer can protect you if your travel provider goes bankrupt. Read the fine print and understand what you’re covered for and what you’re going to have accept as part of travel – travel insurers rarely allow cancelations because you’re worried about a storm or possible violence. In the end it’s up to you to understand the risks and how to protect yourself.

Do you have a last minute March break getaway planned with your family? I’d love to hear where you’re going and how you’re protecting your travel investment. Connect with us on Twitter, Facebook or Pinterest or drop us a comment below.

To comply with the long list of regulating bodies, possibly even Geneva Conventions and in the interest of transparency, this post is sponsored by CAA Travel insurance, making bad days good and good days better. Commentary and perspectives are those of GoGirlfriend.