You finally decided on a destination, you found the perfect flights for the right price (with Fly Business For Less, of course! 🙂 ). All that’s left now is to buy travel insurance. Ugh! I don’t know about you but UGH goes through my mind every time I need to buy travel insurance.
We decided to dedicate this newsletter to all of you (or rather all of us) that associate the UGH! with travel insurance. We compiled a list of the most frequently asked questions related to travel insurance.
Before we delve into the Questions and Answers, keep in mind that there are sooo many different types of travel insurance coverage / policies – our answers are based on general policies. It is best to refer to each individual plan details for accuracy and specifics.


Q. How much does travel insurance cost?
A. Travel Insurance tends to be up to 5% – 10% of your trips prepaid non-refundable cost.

Q. What does Travel Insurance actually cover?

A. Travel Insurance covers unforeseen events such as:
  • Medical Emergency or death – whether for yourself, travel companion or family member.
  • You’re laid off from your job of at least 1 years employment.
  • Bad weather
  • Your travel supplier unexpectedly ceases to operate.
  • Lost, stolen or damaged luggage.
  • The city you’re visiting experiences a terrorist incident.
  • Plane crash
  • Cruise ship sickness
** Keep in mind that some benefits will only pay once throughout your trip. For example, if your trip is delayed twice you will only be reimbursed once.
Q. What isn’t covered by Travel Insurance?
  • You change your mind about traveling.
  • Contractual obligations
  • You can’t afford to travel by self-destructing your finances.
  • You have to attend court for any reason other than serving on the jury.
  • Mental, psychological or nervous disorders including fear, anxiety depression, neurosis or psychosis.
Q. How close to my date of travel can I purchase travel insurance?

A. Don’t wait till the last second! The earlier you purchase travel insurance the more chances you have of maximizing your benefits. If you wait to get it, you run the risk that something will happen before the policy takes effect.
To answer the question – most insurance companies allow purchase up to 24 hours prior to your travel time.

Q. If I purchase travel insurance now, will the plane tickets that I buy later for the same trip be covered?

A. Yes, you can cover your plane tickets you purchase at a later time. You can either estimate your total trip cost and insure that amount or you cover your expenses up to this point and increase the insurance coverage when you incur higher trip costs.

Q. Earlier we mentioned that if “your travel supplier unexpectedly ceases to operate” you will be covered. So, if my travel agent goes out of business, will I be covered? In other words, does my travel agent fall under the category of ‘supplier’?

A. No, the suppliers are the tour operator, cruise line or airline.

Q. What should I do if I get hurt or sick?


  • Make sure you seek medical help. In order for your claim to be covered, you must seek the initial medical treatment on your trip. If you, a family member or a traveling companion gets sick, hurt or dies, you have to have it corroborated by a physician. If your physician’s a family member, make sure you go see a physician who is not a part of your family.
  • Call your insurance company – you need to find out what else you should do right away. This is especially important because if you need emergency transportation, the insurance company has to arrange it for you.
  • Last but not least, save ALL your paperwork, receipts and documentation! Without proof, you have little chances of being covered.
Q. Does my credit card, homeowner’s or my regular medical insurance policy cover me while I’m traveling?

A. You should always double check your policies before your travel because:

  • Your credit card may cover you in some areas. Make sure you find out exactly what and where they cover.
  • It’s a smart move to have your jewelry, camera or any valuable personal possessions specially scheduled on your homeowner’s policy. Travel Insurance limits what you can claim for personal belongings.
  • Many health insurance plans do not guarantee payment directly to foreign hospitals, may have a deductible nor cover the cost of emergency medical transportation. Deductibles or co-payments frequently apply outside most plan services areas. So it’s always best to double check the specifics of your individual policy.
Q. What does ‘Trip Delay’ cover?

A. Trip Delay provides benefits to help you defray the cost of additional accommodation and traveling expenses that you might incur if your trip is delayed for a covered reason.
Trip delays benefits are shown as a dollar amount, but the benefits are paid as a daily maximum.
Trip Delays covered reasons may include:
  • Quarantine
  • Hijacking
  • Unannounced Strikes
  • Natural Disasters
  • Being delayed by traffic accident while en-route to departure.
We hope this clarified some of your basic travel insurance questions!
And as usual we would love to hear your feedback!