Do I Really Need Travel Insurance?

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May 2, 2022

In many cases, vacations can involve thousands of dollars and months of advanced planning, organizing and saving. So, if you’re wondering if you should get travel insurance, the answer is often yes. Like any other investment of this magnitude, it’s important to make sure you have adequate insurance to protect your nonrefundable trip costs should the trip be cancelled due to severe weather, natural disaster, injury, illness (including COVID-19) or some other unforeseen event that upsets your vacation plans. Certain nontraveling family member illnesses can also trigger coverage benefits.  

Meemic has partnered with AAA and Allianz Global Assistance to offer you expertise, stability and peace of mind to make your travel plans.

Travel insurance can be purchased as a packaged plan with a variety of benefits, including Trip Cancellation and Interruption, Travel Delay, Baggage and Baggage delay, Emergency Medical, Emergency Medical Transportation, 24/7 Travel Assistance and much more.  Let Meemic and AAA help find an Allianz Travel insurance plan that fits your needs. 

1. Trip Cancellation and Interruption

Travel insurance typically protects you from financial losses should certain circumstances prevent you from taking the trip. Each plan includes a list of named occurrences that are covered for trip cancellation. Look to the specific plan to determine covered reasons, but most will include circumstances like jury duty, military duty, a covered tour operator or cruise line going out of business, personal or family illnesses, and the death of a family member.

The plan may also reimburse you, under the Trip Interruption benefit, for any unused, nonrefundable portion of your vacation should you become seriously ill or injured once on the trip.  

Travel insurance costs vary based on the benefit levels, the nonrefundable trip cost and the age of the traveler. Depending on which plan you choose, cost can be as little as 4-5% of trip cost up to 10-12% of trip cost. An investment in travel insurance not only protects nonrefundable trip costs but also protects the traveler during the trip. 

Keep in mind that trip cancellation benefits aren’t the same as the cancellation wavier your tour operator or cruise line may offer you. While the waiver is relatively inexpensive, at around $50 to $150, it must be purchased when you book your vacation. These cancel-for-any-reason waivers usually result in a future travel credit if you cancel, while more traditional travel protection pays cash back when you cancel for a covered reason. The waivers are usually accompanied by multiple restrictions, such as not covering a cancellation occurring near the date of departure or once the trip has begun. It’s important to remember that a cancellation waiver offered by a cruise line or tour operator isn’t insurance and isn’t regulated by any agency, which means it might not be worth the paper it’s printed on if the business goes bankrupt or closes.

2. Emergency Medical Benefits

Ask your health insurance carrier what type and degree of coverage you’ll have on a trip to a foreign country. If your health insurance policy doesn’t cover you at all or leaves you under-insured while visiting a foreign country, then you may want to consider a travel insurance plan that includes emergency medical and emergency medical transportation. These benefits, along with the 24/7 travel assistance, can ensure that you are well protected if you experience a crisis during your trip. The plan can provide benefits for medical transportation to a hospital capable of treating your illness or injury, hospital stays, and, should you be seriously ill or injured, transportation home.

3. Travel Delay Benefits

With more frequent severe weather conditions, travel delays are becoming increasingly common and can create extra, unplanned travel expenses like meals and accommodations. With travel delay benefits, you can be reimbursed for additional expenses like these during a covered delay. If you choose, you can opt to receive a flat, $100 payment per insured traveler for your covered delay. And if your plan includes SmartBenefitsTM*, your payment can even be sent to you automatically for tracked delays when you provide your flight details ahead of your trip.

4. Baggage /Personal Effects Benefits

Many travel insurance plans provide benefits should your personal belongings be damaged, lost or stolen during a covered trip. This protection is limited to the max benefit, typically ranging between $500 and $2,000 per person, depending on the plan. 

Baggage delay benefits can also reimburse you for the purchase of essential replacement items after a covered baggage delay.

You'll also want to determine if your homeowners or renters insurance covers off-premise thefts of high value items. Items not covered by your travel insurance policy could possibly be protected under your homeowners or renters policy. 

5. 24/7 Live Assistance Services

If you have a travel emergency or mishap, help is just a phone call away with round-the-clock assistance services wherever you’re traveling. These services include, but aren’t limited to, medical triage with referrals to local, prescreened medical providers and ongoing medical monitoring, payment guarantees, emergency medical transport arrangements, help making alternate transportation arrangements after missed flights, making accommodation arrangements for a quarantine and more.

6. Rental Car Damage Protection

A typical auto insurance policy only covers your vehicle within U.S. states and territories and Canada. You can check with your auto insurance carrier to determine how your auto insurance will apply to your vacation destination and mode of transportation – rental or personal vehicle. Should your trip include renting a vehicle outside the areas specified in your personal auto insurance policy, then you’ll need to purchase coverage applicable to your destination. With Rental Car Damage Protector from Allianz Global Assistance, you can get up to $40,000 of primary coverage benefits for loss or collision damage, which can help avoid a personal auto insurance rate increase, offer protection with a $0 deductible and protect you from additional auto rental charges like “loss of use” for the time the rental vehicle is out of commission while damages are being repaired.
* When you opt in and provide flight information, Allianz will monitor flights and send flight status and benefit alerts, including about flight delays that qualify for automated travel delay payment. Standard message/data rates apply to SMS alerts. SmartBenefits automated claims system and payment availability is not guaranteed and is subject to our sole discretion. All claims subject to policy terms, conditions, and exclusions.
Read more about Allianz Travel Protection’s COVID-19 insurance coverage limitations and accommodations.

Terms, conditions, and exclusions apply to all travel insurance plans. Insurance benefits underwritten by BCS Insurance Company (OH, Administrative Office: 2 Mid America Plaza, Suite 200, Oakbrook Terrace, IL 60181), rated “A” (Excellent) by A.M. Best Co., under BCS Form No. 52.201 series or 52.401 series, or Jefferson Insurance Company (NY, Administrative Office: 9950 Mayland Drive, Richmond, VA 23233), rated “A+” (Superior) by A.M. Best Co., under Jefferson Form No. 101-C series or 101-P series, depending on your state of residence and plan chosen.  Plans only available to U.S. residents and may not be available in all jurisdictions. Allianz Global Assistance and Allianz Travel Insurance are marks of AGA Service Company dba Allianz Global Assistance or its affiliates. Allianz Travel Insurance products are distributed by Allianz Global Assistance, the licensed producer and administrator of these plans and an affiliate of Jefferson Insurance Company. The insured shall not receive any special benefit or advantage due to the affiliation between AGA Service Company and Jefferson Insurance Company. Plans include insurance benefits and assistance services. Any Non-Insurance Assistance services purchased are provided through AGA Service Company.  Except as expressly provided under your plan, you are responsible for charges you incur from third parties. Contact AGA Service Company at 800-284-8300 or 9950 Mayland Drive, Richmond, VA 23233, or
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