I’m a travel agent, and like many travel agents I find the whole travel insurance process to be one of the more stressful things about the business. There are more shades of grey than a certain popular series of erotic fiction.
The first decision on insurance is, of course, whether or not to purchase it. That is still, to my mind, an individual decision. But, for those who do decide to take travel insurance, here are some pitfalls to avoid.
Things can change rapidly in this business, and policies vary even with companies, so I’m avoiding details in an effort not to be misleading.
1. Don’t buy coverage that doesn’t cover the entire trip — either the entire cost or the entire time.
Some insurance companies can deny a claim if the entire trip isn’t covered. And, insurance that starts, for example, the day of a cruise or tour, may well not cover missed flights or problems that inevitably happen a few days earlier.
2. Don’t dismiss buying insurance directly from the supplier.
Now, it can be a risk to insure with the travel company itself. If they go out of business, there may be no recourse. On the other hand, the cancellation process can be a whole lot easier. For example, Classic Vacations has a waiver as part of their insurance which means cancellation results in an immediate refund, without the hassle of paperwork.
3. Never miss booking deadlines.
Some insurance options are available up to and including the day of departure, especially for medical issues. However, generally, most trip cancellation insurance must be purchased BEFORE final payment for a cruise or tour, i.e., before penalties kick in. And, most insurances that waive pre-existing conditions must be purchased very soon — at most 21 days — after a deposit is put down.
4. Pay attention to cancellation deadlines and coverage.
Some cancellation insurance doesn’t cover no-shows. Some other policies, and cancellation waivers directly from suppliers, may require travelers to cancel a day in advance. In those cases an accident on the way to the airport, or a missed flight, can be disastrous.
5. Note all exclusions.
Pregnancy, for example, is usually excluded from many policies, as are mental health issues. A year ago, I had a family with teenagers who were going on a Disney Cruise. They planned to take a cheaper, third party insurance, until the father casually mentioned his only worry was his daughter’s depression for which she had been hospitalized briefly in the past.
They switched to Disney’s insurance, which had a “cancel for any reason” provision to cover most of the trip. While fortunately they didn’t need to cancel, and ended up having a great vacation, they also had a lot less worry beforehand.
6. Pay attention to pre-existing condition clauses.
If you aren’t sure, ask. Of course, many people have some chronic condition that may be under control. Sometimes those are covered, if there has been no change in X amount of time. Again, ask first. The insurance company has the final say.
7. You can buy only medical and emergency trip evacuation insurance.
Some travelers may be willing to risk losing all their trip costs. On the other hand, they may not want to risk needing to foot the bill if they have to fly home early and need either several seats or medical transport. (As a bonus, insurance that doesn’t cover cancellation might still cover trip delay and lost or delayed baggage.)
In short, the simplest way to avoid these problems is to read the cancellation penalties for whatever policies you are considering carefully, and read the insurance options just as carefully. If you have questions, ask. Record the answers they give you. It may be time-consuming, but it may also save a good deal of time, money and anguish later.
Janice Hough is a California-based travel agent a travel blogger and a part-time comedy writer. A frequent flier herself, she’s been doing battle with airlines, hotels, and other travel companies for over three decades. Besides writing for Travelers United, Janice has a humor blog at Leftcoastsportsbabe.com (Warning, the political and sports humor therein does not represent the views of anyone but herself.)
