The hardest part of buying travel insurance is knowing which type of plan to choose.
You’ve heard about travel insurance, and that it might be a good idea for your trip. You’ve started with some online research. You’ve visited a few websites looking for information.
But you’re still asking, “So, which type of plan do I need?”
You don’t want to buy the wrong plan. You want to make sure you have the coverage you expect so there are no surprises.
Once you grasp the main difference between the these policies, it makes researching and buying a plan easy.
Here’s the quick summary: If you want coverage for trip cancellation, you need a Package Plan. If you are just worried about medical emergencies, you need Travel Medical insurance.
Keep reading for a few more details. You’ll learn how the coverage compares with the different plans and who typically buys which type. You’ll also learn about a few other specialty plans
Travel Insurance Plans: Compare the coverage
The following table outlines the different types of plans and what they cover.
What type of travel insurance do I need?
Here is an overview of what each plan covers and what type of trip it works well for.
Package (Comprehensive Trip Insurance)
When most people think of travel insurance, they’re thinking of a package plan.
It goes by many names, including: Trip Insurance, Vacation Insurance, Comprehensive Travel Insurance, Trip Cancellation Insurance, or simply Travel Insurance. All of these terms are used to describe this type of plan.
Travel insurance package plans deliver coverage for cancellations, interruption, hurricanes, medical emergencies, evacuation, lost, stolen, and delayed baggage, and more. This type of plan is the most popular because it fits the needs of most travelers.
The main difference is the coverage for trip cancellation. This is the only plan that offers this, and it is always bundled as a “Package” with all the additional benefits. There are no standalone policies that only cover trip cancellation.
Package plans are ideal for:
- Cruises
- Vacations & general travel
- Family trips
- Domestic or foreign travel
- Any traveler concerned about losing money due to a canceled trip
Read more about travel insurance package plans.
Travel Medical
Travel medical insurance provides emergency medical coverage when you are outside your home country.
It is also knows as: Travel Health Insurance, International Medical Insurance, and International Travel Insurance.
It provides coverage for medical emergencies, accidents, emergency evacuations, and repatriation. In many cases, travel medical plans include comprehensive-style benefits, but those benefits are often limited; this type of travel insurance plan focuses on medical and evacuation coverage.
Travel Medical plans are ideal for
- Travelers leaving their home country (U.S. and non U.S. citizens)
- Vacations abroad
- Business trips abroad
- Long-term work or study abroad
- Expats living in a foreign country
Read more about travel medical insurance plans.
Evacuation (Medevac)
Medical evacuation, or Medevac, plans provide coverage for emergency medical evacuations and international security evacuations.
These plans focus on emergency evacuation services to take you to the nearest hospital or return home.
Medevac plans are ideal for
- Cruise travelers with health insurance coverage
- Vacations in a foreign country
- Travelers visiting remote locations
- Any traveler concerned with emergency medical evacuation costs
Read more about travel medical evacuation insurance plans.
Travel Accident
Travel accident plans provide international accident protection and term life benefits for frequent travelers.
This type of plan focuses on AD&D (accidental death and dismemberment) and term life insurance benefits that are in effect while the insured is traveling on an insured trip or during their annual coverage period, depending on their plan.
Travel Accident plans are ideal for
- Any traveler concerned about having life insurance and AD&D
Read more about travel accident insurance plans.
Annual
Annual travel insurance plans are more common than you think and useful because they provide a variety of coverages in one convenient plan that covers you for an entire year’s worth of trips.
Frequent travelers, traveling academics, business travelers, and even retirees who travel often like the simplicity of having the same coverage all year long.
Annual plans are ideal for
- Frequent travelers
- Business travelers
- Any traveler with multiple trips per year
Read more about annual travel insurance plans.
Specialty Plans
Specialty travel insurance plans are those that cover one-off needs like car rental, term life, and other types of coverage that fill in the gaps between what the traveler already has available to them back home.
Specialty plans are ideal for
- Corporate Kidnap, Ransom and Extortion coverage
- Car rental collision and road trip coverage
- Term life insurance coverage
- Medical tourism coverage
- Any traveler concerned with a specific travel risk