Trip Cancellation – reimburses you for prepaid, nonrefundable travel expenses if you have to cancel the trip due to an illness, a death in the family or another mishap listed in the policy. Some policies offer “cancel for any reason” coverage for an additional cost. This type of policy also kicks in if your cruise line or tour operator goes out of business.
Trip Interruption – reimburses you for the unused portion of your vacation if you or one of your immediate family members (whether traveling with you or back home) becomes seriously ill or dies during the trip, or if – due to any other mishap listed in the policy – you are forced to return home earlier than planned.
Baggage Insurance/Personal Effects Coverage – provides coverage if your belongings are lost, stolen or damaged during your trip, including while you travel to and from your destination.
Emergency Medical Assistance – covers you if you need to be airlifted to a medical facility because of an accident or sudden illness, if you are sick or injured and have to spend an extended time in a foreign hospital, or if you need to be flown home to receive proper care – something known as a medical evacuation.
Accidental Death – provides a variety of coverage if you or a family member traveling with you dies during the trip.
Travel insurance is frequently purchased as a package that includes several different types of coverage. Many travel insurance plans sold in the U.S. also include 24/7 emergency travel services, such as replacing lost passports, cash wire assistance and rebooking canceled flights.