What is Travel Insurance?
Learn what travel insurance is, what it covers, and why it is important for travelers. With AXA travel insurance, get tips to find suitable coverage.
What is Travel Insurance and Why Do I Need It?
You’ve spent days preparing for your trip, planning your itinerary, booking your flights and hotel, packing, and negotiating time off work, but did you plan for the contingencies and emergencies? That’s where travel insurance comes in. If you are wondering what is travel insurance, this is the article for you. Here, we’ll cover the basics of travel insurance in detail so you can decide whether travel insurance is worth it.
What is Travel Insurance?
Travel insurance covers eligible unexpected events and medical expenses associated with travel. The purpose of travel insurance is there to help offset emergencies, contingencies, or things that didn’t go according to plan on your trip. Common travel insurance benefits include lost baggage, emergency medical, and flight delays.
Do I Need Travel Insurance in 2024?
Anything can go wrong at any time, no matter the year. And let’s face it: no one plans to have an emergency come up. It’s not uncommon to become injured while enjoying a hiking trail, ill from street food, or for your luggage to go missing.
Travel insurance covers many unexpected expenses and risks, from trip cancellations to medical emergencies to baggage issues and more. With a travel insurance policy, you can jet-set more confidently and focus on enjoying your trip instead of worrying about the what-ifs.
But what if I’m traveling domestically?
No one plans to miss luggage or flights, and these are common things that happen whether you’re a state away or a whole hemisphere away. Travel insurance applies to most trips, so it is highly suggested, no matter if you’re traveling locally or internationally.
Who Needs Travel Insurance?
Though travel insurance isn’t mandatory, we suggest it for anyone who wants to travel with an extra layer of coverage. But it ultimately comes down to your individual needs and level of risk tolerance.
But does travel insurance cover families? Yes, many travel insurance providers offer “family plans” that cover two adults and their dependent children (often up to ages 18–21) under a single policy. Family plans often include key benefits like trip cancellation, emergency medical coverage, and baggage protection for each family member.
Alternatively, you can choose individual policies for each family member, allowing you to customize coverage to match specific needs. Some families find this helpful for covering unique activities or providing higher coverage limits for specific members.
Does a Travel Insurance Policy Allow Travel to Multiple Destinations?
Yes, most travel insurance policies can cover multiple destinations within a single trip as long as these are listed when purchasing the policy. This is particularly useful for travelers with multi-country itineraries, such as those exploring Europe on a Schengen travel insurance policy.
If you plan to visit several countries, ensure that your policy covers each destination and meets any specific requirements. For instance, Schengen travel insurance must include a minimum of €30,000 in medical coverage valid across all Schengen states, if you are required to travel with a Schengen Visa.
For frequent travelers, some travel insurers also offer “annual multi-trip” policies, which provide coverage for multiple trips to various destinations over a year. This option is convenient for those who travel often and need continuous protection.
To ensure coverage across all stops, review the policy terms carefully and list all destinations when setting up the travel insurance. This way, your entire journey, including multi-country trips like those through the Schengen Area, can be covered under one policy.
AXA Travel Protection plans allow for multiple destinations, but you’ll need to disclose your planned travel destinations and how long each trip will take before purchasing your plan.
Not sure if you got everything covered? Contact our 24/7 customer support team here (855-327-1441).
How Much Does Travel Insurance Cost?
Travel insurance prices vary, but they are usually around 5% to 6% of your total trip cost. The cost of travel insurance varies based on your chosen travel insurance plan, where you’re traveling, how long your trip is expected to last, and how old you are. For most, travel insurance costs depend upon the traveler's requirements and budget.
Those seeking higher coverage for things such as trip cancellations, interruptions, delays, emergency medical evacuation, sports, and many more can get higher premiums. On the other hand, those with tighter budgets can choose basic plans that offer essential needs such as medical needs and trip cancellations. These may cost low to the travelers.
Things to Consider When Buying Travel Insurance
Travel insurance isn’t something you close your eyes and choose at random. Before you make your choice, there are several things that you should consider.
When to Buy?
First, you need to be clear about when you need to buy travel insurance. This should be your first step after booking your trip. The main reason is if you have to face last-minute cancellations due to any emergency or illness, you will be able to claim any non-refundable amount for your advance bookings for hotels, flights, and more. Besides, being proactive ensures you’re covered if something stops your trip from happening; plus, it can also cover you when things go wrong during the trip.
Coverage Options
Furthermore, consider the coverage you should get under your travel insurance plan. The travel insurance cover you choose depends on your individual risk tolerance. Which risks are you okay with shouldering? And which are you not comfortable with? The answers to these questions will guide your coverage decision.
Travel Destination
Consideration regarding your trip destination plays a crucial role as it may directly affect the travel insurance coverage. Several countries offer higher healthcare costs or may have certain travel risks due to which the amount of the premium can be affected. So, travel destinations are important to consider when purchasing travel insurance.
Duration of the Trip
Your trip's duration affects the price and kind of travel insurance you need. For long stays, you might want a plan or a policy that covers many trips in a set time. Pick a policy that matches how long you'll be away.
Pre-existing Conditions
Be sure to inquire about plans with pre-existing condition coverage. Check if the policy covers any health problems you have now. Some companies might insure these issues, while others won't. It's key to tell them about any health concerns when you buy travel insurance. This helps avoid having claims turned down later.
Cost of the Policy
While finding a policy that fits what you can spend is important, don't choose based on price. Look at what the policy includes and make sure it gives you enough cover for what you need. At times, paying a bit more can give you much better protection and help you feel more at ease.
Exclusions
Read the policy to grasp what it doesn't cover or where it has limits. You'll often find it doesn't cover trips to dangerous places, certain activities, or issues tied to drinking. Knowing what's left out can stop you from getting caught off guard when you need to make a claim.
Claims Process
Get to know how the travel insurance provider handles claims. Knowing how to submit a claim and what papers you need can help you avoid wasting time and getting upset later. Try to find policies that have easy-to-follow claims steps and support available all day, every day.
Policy Flexibility
Think about how much you can change the policy if your travel plans shift. Some policies let you change or cancel your coverage without fees, while others have strict rules. The ability to adjust can come in handy if you need to change your schedule or if something unexpected happens.
Add-ons and Upgrades
Some travel insurance plans give you the option to add extra coverage or upgrades, like "Cancel for Any Reason" or protection for rental cars. Figure out if these extras are needed for your trip and if they're worth the extra cost. Adding relevant coverage can boost your overall protection while you're traveling.
What is Included or Not Included in Travel Insurance?
The average travel insurance plan covers trip interruption, cancellation, delays, missed connecting flights, emergency medical evacuations, accidents, sickness, medical expenses, baggage delays, and lost luggage.
Travel insurance doesn’t generally include foreseeable situations, for example, forecasted natural disasters. It’s for unexpected situations and expenses. Pre-existing conditions may also be excluded from your plan.
So, refer to your plan documents to determine whether a benefit is included or excluded.
Types of Travel Protection Plans AXA Offers
AXA offers three main travel protection plans for international and domestic travel.
Silver
Silver is ideal for domestic trips. It covers up to 100% of trip cancellation costs, up to $25,000 in emergency accident and sickness medical coverage, and up to $750 in baggage and personal effects coverage. The plan starts at $16.
Gold
Going on a cruise? Gold was designed to protect you at sea. With this protection plan, you get trip cancellation coverage, up to $100,000 in emergency accident and sickness medical coverage, and up to $1,500 in baggage and personal effects coverage. The plan starts at $36.
Platinum
The most popular plan of the three, Platinum, gets you the most coverage – total trip cancellation coverage, up to $250,000 in emergency accident and sickness medical coverage, and up to $3,000 in baggage and personal effects coverage. As a bonus, you can purchase Cancel for Any Reason insurance. The plan starts at $52.
How to Purchase Travel Insurance: Online vs. Agent Assistance
There are several ways to buy travel insurance, including online or with agent assistance. Making your purchase online means exploring and comparing your travel plan options yourself, selecting a plan and paying online, and making the policy decision yourself. With AXA’s convenient online quoting and payment systems, you’ll find the process to be painless. Start here with a quote.
On the other hand, agent assistance involves communicating with a travel insurance agent or broker to help you choose the right plan, make payments, research plans, and more. Our travel agents and representatives make every effort to answer each of your travel-related questions and match you with the right plan for you. Call 855-327-1441 and select option 2 to be connected with an agent.
For more general questions, call the same number and select option 1.
When you purchase travel insurance, you’ll be provided with a document or certificate outlining the specifics of your coverage. Below, you’ll see an example of an AXA Travel Protection document:
How Can I Cancel My Travel Insurance Policy?
Canceling a travel insurance policy is usually not a problem. But you’ll have to follow any terms and conditions concerning when, how, and why you can cancel a plan. The cancellation process depends on the insurer, cancellation policy, and state of residency. It’s important to carefully read your policy’s terms and conditions.
We understand that sometimes travel plans may change, which is why AXA offers an easy money-back cancellation policy. We can refund your unearned plan costs within 10 days of the cancellation date or according to the terms of your plan document. It’s important to review your policies, terms and conditions, and your state of residency, as it may affect your cancellation.
To know more, give us a call at 855-327-1441 and select option 1 for assistance.
Wrapping It Up
So, here you have the basics of travel insurance. At AXA, we want you to know what travel protection is, what it is mainly for, the most suitable international travel health insurance, what it covers, and why it’s needed. For more questions about AXA travel insurance, read our Frequently Asked Questions or contact an agent today. Happy travels!
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