Interest in travel insurance is high, and for good reason. Over the past few years, the travel industry has contracted, expanded, and even exploded in response to demand. All of these changes are fraught with uncertainty, and travelers should worry about what might happen if things go sideways.
Having travel insurance related to COVID-19 is great, but with pressing issues seemingly imminent, what else are people looking for?
What does travel insurance cover?
Did you know that there are many types of travel insurance? Their coverage runs the color gamut. Some policies are designed to protect you during high-risk activities, while others offer refunds when your bag is lost. Here are some of the most common types of insurance.
Common types of travel insurance
Cancellation for any reason (CFAR) insurance is on the decline
Popular during the pandemic, CFAR insurance allows travelers to cancel for any reason. This is an optional add-on to other travel insurance packages that allows you to get a refund if your travel plans change. CFAR insurance is different in that it does not have to cover a covered event. You can wake up one day, change your mind and get your money back.
Now, according to new data from insurance aggregator Squaremouth, searches for CFAR insurance are down 37%. It makes sense; as countries reopen their borders and travel restrictions ease, we are confident that more travelers will actually be able to spend their holidays.
What kind of travel insurance are people looking for?
Do you know what people are confident about?if you were looking news this summer, you would know. Interest in travel delay compensation has increased 74% this year as understaffed organizations continue to struggle to meet the enormous travel demand.
Travel delay and trip interruption insurance will reimburse travelers if their plans change due to events beyond the traveler’s control. This means that if the airline delays and eventually cancels your flight, leaving you stranded overnight at the airport, travel delay insurance will pay for your hotel costs. Reasonable expenses incurred due to the delay, such as purchasing air fresheners, clothes, etc., are also covered.
There is also growing interest in lost baggage insurance and delayed baggage insurance. Searches for lost baggage increased by 33% and searches for delayed baggage insurance increased by 30%.
Again, this makes sense if you’ve ever glanced at the news. Amsterdam He Dick Benshop, CEO of Schiphol Airport, resigned in mid-September after extensive delays forced the airport to limit the number of flights it operates. These delays left many travelers frustrated by long lines and lost luggage.
So what if you’re looking for these types of insurance? You can always buy a policy. Companies like Squaremouth compare quotes from hundreds of companies to get the best coverage. But there is another option.
You may already have travel insurance
Do you have a travel credit card? It doesn’t have to be flashy. Many travel credit cards come with some form of free insurance, even if you don’t pay an annual fee.
chase credit card Especially suitable for this. More than 30 hotel, airline and Sapphire branded cards come with travel insurance.
of Chase Freedom Flex℠For example, we offer non-refundable prepaid passenger fares up to $1,500 per person and up to $6,000 per trip in the event of travel cancellation or interruption. There is no annual fee and this insurance is free. Just charge your card.
of Chase Sapphire Reserve® Another great option for travel delay insurance. Cardholders with the highest complimentary coverage can receive up to $500 per person for travel delays of 6 hours or more.
We also offer Baggage Delay Insurance, reimbursing up to $100 per day for up to 5 days if your baggage is delayed for more than 6 hours. This allows you to purchase essentials such as toiletries, clothing, and electronic device chargers.
Finally, the card will also cover you if your baggage is completely lost by the airline. This includes both checked and carry-on baggage, pays up to $3,000 per person, per trip, and helps replace lost baggage.
Credit card travel insurance is not limited to Chase. American Express and Capital One also have different credit cards with different levels of complimentary travel insurance. Here are some good examples.
Each card offers its own version of travel insurance, so it’s a good idea to check out our guide to benefits before resorting to travel.
Travel insurance can be adapted to suit your risk
There are many different types of travel insurance, but there is no denying the growing need for insurance against travel delays, lost luggage and delayed bags. You can always choose to purchase a policy if you want to protect yourself while traveling. Get various quotes. Coverage levels and costs can vary greatly between providers.
Otherwise, check your credit card to see if you already have free travel insurance. The best cards come with full protection, but even cards with no annual fees can offer on-the-go coverage.
How to maximize your reward
You want a travel credit card that prioritizes what’s important to you. Here are our picks Best Travel Credit Cards of 2022including best suited for: