The summer season is now upon us, which means vacation plans for millions of Americans are taking shape. One loss exposure many people fail to consider concerns vacation-related losses. Travel insurance can be purchased to cover this potentially large exposure.

Travel insurance is a specific type of insurance that is available to a person who will travel in the near future. It is designed to protect an insured from a wide variety of travel-related losses. These include:

  • Trip cancellation or interruption
  • Emergency medical events
  • Emergency evacuation
  • Lost or delayed baggage, personal effects, passports, and visas
  • Legal expenses

It is important to look at the pros and cons of travel insurance and the scenarios in which it may be a wise purchase. On the positive side, travel insurance is probably a wise idea for the person who engages in adventure travel. For example, say that you are hiking in the Andes and are seriously injured in a fall. You need to be airlifted off the mountain, with a cost of $50,000. Travel insurance would be invaluable in this scenario.

Indeed, even non-adventure travelers to foreign countries should seriously consider travel insurance that provides medical care. Prior to this decision, however, you should check with your current health insurer to see if it provides coverage in the country you are visiting. If your existing policy does not provide coverage, travel insurance is probably a wise choice.

If your health is a bit on the precarious side, travel insurance may be a good idea, particularly for complex trips involving numerous flights and connections. If your medical problems necessitate a cancellation or delay in the trip, your travel insurance will typically pay your associated costs. Be aware, however, that any health conditions you have may need to be disclosed up front to the insurer.

Another situation where travel insurance may be advisable is the planning of a destination wedding, in which a huge chunk of the expenses are nonrefundable, such as airline passes for family friends and venue reservations. If an event interferes with the wedding, the nonrefundable expenses could be large and daunting.

On the flip side, travel insurance can be expensive. The cost may be anywhere from $200 to $400 to insure a $6,000 domestic trip. In this case, you are purchasing travel insurance for financial annoyance. Travel insurance should be purchased for financial disaster, such as the airlifting example above, and not for financial annoyance.

Travel insurance often contains a host of exclusions. Thus, consumers should read the policy carefully to see what is and is not covered. For example, some travel insurance policies may not cover medical evacuation or may have severe restrictions on this coverage.

Lastly, deal with a reputable travel agent when deciding to procure this coverage. This travel agent will properly vet the travel insurance company, verifying that it is financially stable and has been in business for many years. There have been cases of financially insolvent travel insurers denying claims right and left due to financial difficulties.

Copyright: International Risk Management Institute, Inc. (IRMI)

Read Other Blog Posts

Candle on table

Candle Safety Considerations

Candles provide a warm ambiance for an intimate dinner, a sparkling decoration for a birthday cake or a nice scent for your home. Ambiance aside, candles can be a fire hazard if they are left unattended or placed where they can start other objects on fire. If you enjoy candles, be sure to follow these tips to use them safely.
Introducing the Murphy Insurance Condominium Owner’s Manual Your Guide to Preventing Costly Condo Repairs & Damages SMM

Introducing the Murphy Insurance Condominium Owner’s Manual: Your Guide to Preventing Costly Condo Repairs & Damages

Murphy Insurance Agency has launched a new Condominium Owner's Manual designed to help you prevent costly home repairs and avoid common insurance claims. Backed by decades of real-world experience, this practical guide provides seasonal tips, safety advice, and a comprehensive maintenance checklist to protect your home—and your wallet—all year round. Download your copy today!
Deer Sign

Road Safety and Wildlife: What Drivers Need to Know

Every year, countless accidents occur because drivers aren't prepared for unexpected encounters with animals on the road. Whether it's a deer darting across a rural highway or a stray dog wandering into city traffic, these moments can be dangerous for both humans and animals. Staying alert and understanding how to respond in these situations can make a critical difference in preventing harm and keeping roads safer for everyone.
Quest for the Best 2025

We Did It Again! 5-Time Gold Winners in Quest for the Best

We’re proud to announce we’ve won Gold in MyFM 101.3’s Quest for the Best – Insurance Category for the 5th year in a row! Thank you to everyone who voted and continues to support us. If you're a client, we’re grateful for your trust. If you’re looking for a second opinion, we’d love the chance to earn your business.
Happy driver

The Benefits of Raising Your Limits

An overwhelming majority of states require individuals to carry insurance in order to operate a vehicle. While meeting these minimum limits may be enough to get you on the road, they may be inadequate if you are involved in a serious accident. For better protection, you may want to consider raising your limits to secure proper protection.
Murphy Insurance Team

27 Reasons to Work with Murphy Insurance Agency

For more than 88 years, Murphy Insurance Agency has been a trusted partner for families, individuals, and businesses across Massachusetts. As a family-owned and independent agency, we prioritize relationships over transactions, offering guidance and support tailored to your needs. With access to more than 25 top-rated carriers, we deliver personalized solutions, competitive options, and peace of mind. Discover 27 reasons why thousands have chosen Murphy Insurance to protect what matters most.
Personal Article Floater

What Is a Personal Article Floater—and Do You Need One?

Many people assume that their home or renters insurance covers all their personal belongings—but it's not always that simple. While these policies do offer significant protection, there are usually limits, especially when it comes to high-value or one-of-a-kind items. If you own something valuable, rare, or that you often take with you, you may want to consider adding a personal article floater to your coverage.
Home Fall Prep for Winter

Fall Into Home Prep: Smart Projects to Help You Avoid Winter Insurance Claims

Fall is the perfect time to tackle home maintenance projects before winter sets in. Use our seasonal checklist to protect your home, prevent costly damage, and keep everything running smoothly—inside and out.
Living room

Renting Out Your Home? Here’s What You Need to Know About Liability and Insurance

Renting out your home—whether short-term or long-term—can provide extra income but also introduces legal and insurance risks. Before listing your property, it's essential to research local laws, use a clear rental agreement, screen tenants carefully, and ensure your insurance policy provides the right coverage. Taking steps like securing valuables, documenting your home’s condition, and staying accessible can help protect your property and minimize potential issues.

Visit Our Personal Insurance Page

Life is an ever-changing journey, and it deserves a thoughtful, comprehensive plan to protect the things and people that matter most. Our dedicated team at Murphy Insurance is here to assist you in creating that plan. With a wide range of product options at our disposal, we ensure that your plan is tailored precisely to your requirements. Our commitment to providing clear, intelligent guidance to help you achieve true peace of mind. Learn more about our personal insurance portfolio.