8. Friends or family are visiting from a foreign country

When a family member from a foreign country plans to visit you in the US, they need insurance to cover them here. A travel medical policy would provide basic medical emergency coverage.

If a friend who lives abroad is planning a visit, they need coverage here in the US. They probably have coverage back home, but chances are it will not apply for accidents or illnesses here in the US.

Travel medical insurance can provide medical and evacuation benefits for non-US residents who are spending time in the US. These policies can usually be purchased for very short periods of time, as little as 5 days, and longer periods up to a few years.

7. Spending extended time abroad

Many people choose to live abroad for extended periods of time. Sometimes it is for work, or travel, or school. Either way, you need medical insurance that will cover you overseas. You have insurance at home, and it is just as important to have it in a foreign country.

People who need travel medical insurance:

• students attending school abroad
• employees working in overseas locations
• those taking an extended vacation and living abroad
• expatriates

Travel medical insurance can be purchased for periods of time from 5 days and up to 3 years. It provides medical expense coverage as well as medical evacuation coverage. Many plans also offer 24/7 phone support, which will help get beyond language issues in foreign countries and get the help you need.

6. Financial default of a travel company

If the airline, tour operator or cruise line you’ve booked a trip with goes bankrupt, and stops providing service, you could be in trouble. A portion of your trip could be lost.
If it happens and you don’t have travel insurance, you could be out the part of your trip that is booked with the bankrupt carrier.

Travel insurance, if purchased within a certain amount of time of you initial trip deposit, will provide coverage for financial default.

5. A travel delay strands you in a city and you need a hotel room for the night

If a travel delay strands you unexpectedly, you might need to get some accommodations for the night. Avoid getting stuck with the hotel bill by insuring your trip.

Most package plans includes coverage for travel delay. This covers additional expenses incurred after being delayed for a certain amount of time. Different travel insurance companies have varying delay times, usually between 3-12 hours but sometimes up to 24 hours.

4. Your bags are lost and you need to buy new clothes

You get to the hotel but your bags are lost or delayed. All you have are the clothes on your back.

You need to buy something to wear and other necessities.

Travel insurance can help cover the costs of buying clothes and other necessities you require if your bags are lost or delayed.

Most travel insurance policies kick in after a 12-24 hour delay, and have limits from between $100-$600. This is enough coverage to get you a change of clothes and some personal items until you receive your bags.

Related Links
Read more of the “11 real world reasons to consider travel insurance” series

3. Medicare does not cover you outside the United States

Many people rely on Medicare, but are unaware they won’t be covered outside the United States. That includes Canada and Mexico. Medicare only covers you if you’re in the US.

Travelers who depend on Medicare need to purchase travel medical insurance for trips that take them outside the United States. Travel medical insurance is very affordable and is available for travelers of all ages.

Related Links
Read part 2 of the “11 real world reasons to consider travel insurance” series
Faq’s, does Medicare cover me outside the Unites States

Here is a story of a family receiving a 50,000 euro hospital bill for their family member, who died after a fall. The hospital will not release the body to be flown home until they pay the bill, and even the repatriation of the mortal remains will cost an additional 5,000 euro.

The man did not have travel insurance, so the family is stuck with the bill.

This is a perfect example of the need for travel medical insurance. Travel medical, also known as international medical, is cheaper than trip cancellation insurance and can provide very basic medical and evacuation coverage.

As you can see in the example above, the costs can be huge. The last thing you want to worry about in such a terrible situation is how you’re going to pay the bills.

1. You have an accident in a foreign country and need to be evacuated

If you have an accident and get hurt in a foreign country, you need to get home somehow. Sometimes, just getting to the hospital in the first place requires complicated transportation.

Medical evacuation is a term for the complicated, specially arranged transportation required to move an injured person. Sometimes just getting to the hospital in the first place can be a nightmare.
It is not as simple as getting on a commercial flight

Some injuries require a specially equipped airplane with trained medical staff. These planes are made for wheelchairs, stretchers, and special medical equipment.

In some cases a commercial flight can be used, but an entire row of seats is needed…at last minute retail prices.

This can all add up very quickly. It is not unheard of for medical evacuations to cost over $100,000. And what can you do if you don’t have insurance? You need to get home don’t you?

Related Links
Part 1 in the “11 real world reasons to consider travel insurance” series
Glossary Medical Evacuation

(This is an 11 part series discussing real world reasons to consider travel insurance for your next trip)

1. Someone gets sick right before you leave

Trip cancellation coverage is there in case something (a serious injury, unforeseen sickness, or death) happens to you, a traveling companion, a family member, and sometimes a business partner, right before you leave.

What is covered?

• serious injuries
• unforeseen sicknesses
• deaths

The above reasons typically must be so disabling as to cause a reasonable person to delay, cancel, or interrupt a trip. A doctor usually needs to verify this with the insurance company. A broken leg would be a good reason to cancel. A runny nose would probably not qualify.

Who is covered?

• you
• a traveling companion
• a family member
• a business partner

This is where things get a little tricky and you need to read the policies from the different companies. Most plans cover you and a traveling companion for sickness and injuries. For your family members or your traveling companion’s family members, the condition must be considered life-threatening or require hospitalization, or your immediate care.

Death coverage usually includes you, a family member, a business partner, a traveling companion, and sometimes your traveling companion’s family member.

How do I find out what the different insurance companies cover?

Go to Insuremytrip.com and look at the policy comparison page here. This lists the benefits and coverage for the different package plans. Look down at the “Trip Cancellation” coverage, and going across to the right you will see “Trip Cost” listed for each travel insurance company. This means they cover trip cancellation up to the trip cost. Click on “Trip Cost” to see each company’s actual policy wording (See Below)

Trip Assured’s legal troubles continue

From the Tennessean.com, another update about Trip Assured and their legal trouble. If you have not followed the story, Trip Assured is a Tennessee company that sells “travel protection”, but does not have an insurance license.

The company’s owner claims they do not sell insurance, and therefore do not need an insurance license. Looking at their website and brochures, you will notice they do not use the word insurance anywhere. It would be interesting to hear Trip Assured explain the difference between their “travel protection” products and actual travel insurance products.

Lawsuits filed for denied claims

They have also fielded numerous complaints, especially from senior citizens, regarding unreasonably denied claims. Several lawsuits are pending, including a newly filed federal lawsuit.

Find a reputable company for trip insurance

We all look for reputable companies when shopping. This is especially important with travel insurance, where large financial losses and even your health are at stake.

Comparison sites are a great place to browse different plans, and they list reputable companies and products (see How to Compare Quotes with a Travel Insurance Comparison Site)

These tend to be the same companies that show up in Google for “travel insurance”. They have been around a long time and have insured millions of travelers.

Look for A.M.Best ratings for travel insurance companies

A.M.Best is a resource that rates insurance companies. By visiting their site and looking up different travel insurance providers, you can be assured of using a reputable source.