A Quick Look at Travel Insurance Needs and Trends

Over 80% of Americans lost money due to trip cancellations during the pandemic. Naturally, Covid-induced uncertainties have bolstered the case for travel insurance which is witnessing a boom, with over 50% or more travelers readily accepting this travel essentiality. 

So, what exactly has changed? With travel being so tricky, travelers are now more vigilant about their plans and what they might need in a foreign land. In that light, travel insurance covers various aspects such as trip cancellation, medical assistance, travel delay insurance, and much more. Rebooking, refunds, and extra facilities thus can be easily availed if one is insured.

However, a variety of things need closer consideration when deciding on the best options out there. Some insurance policies have add-ons like cancel for specific reasons or medical covers, while some don’t.

To that end, let’s look at why you need travel insurance and how it allows you to travel worry-free.

Why Do You Need Travel Insurance?

1. Loss of Items

Losing your baggage is one of the most common mishaps that happen while traveling. Luckily, travel insurance policies cover this aspect and allow the traveler to claim their lost baggage. This even includes reimbursement for damage that’s caused to the luggage. Insurance companies offer top-notch service and provide claims of up to $3000 depending on the situation, policy, and valuation.

2. Health Coverage

Moving to faraway lands can sometimes bring forth challenging scenarios and experiences. Injuries, health issues, etc., can regrettably befriend you on your journey abroad. This is why health insurance is there to protect you during your vacation in an alien land. US-based health plans might not work where you are headed. Hence, getting travel insurance, albeit for the sake of getting health coverage, would be a smart move.

3. Travel Delay Insurance

Both national and international flight delays cause problems for travelers. These delays can happen due to any unprecedented event, flight overbooking, or weather conditions. By virtue of travel insurance, these travel delays make passengers eligible for travel delay claims that could include flight tickets, stay charges, free meals, lounge access, and much more.

4. Trip Cancellation

Trip cancellations owing to flight delays and a host of other reasons have been a routine occurrence since 2020. About 10% of the American travelers who have suffered cancellation at the hands of Covid-19 have lost over $3000. 30% more have incurred losses between $1500 and $3000.

Going forward, trip cancellation cover will be one of the most sought-after insurance covers travelers would look forward to before boarding a plane. After all, this prepares them to tackle unusual happenings, be it travel delays, border closing, etc.

5. Cancel for Any Reason

There might be times when the reason for which you can’t be on that flight is not listed in your policy. It can be an unwillingness to go on the trip, withdrawal symptoms to travel, medical conditions, and more. What can one do in such circumstances? 

Well, travel insurance holds a special clause for such cases where travelers can cancel their trip for any reason. In these cases, they are liable to get over 75% of their money back, making travel planning less hectic.

Changing Trends

The travel insurance industry has seen interesting trends and related requirements popping up in the past few years. From leveraging technology to being prepared for unusual times, passengers must follow the new trends while opting for an insurance cover.

1. Pandemic Cover

As elucidated above, Covid-19 has taught the need for a cover that deals with urgent situations such as closing borders, medical expenses, or quarantine cover. As such, travelers invariably seek a comprehensive package that takes care of any unforeseen circumstances. Favorably, most of the travel insurances today are combinations of various covers that act as an umbrella for a greater number of cases.

2. Leveraging Technology for Claims

One of the leading trends in the travel industry concerning insurance is that baby boomers, millennials, and GenZ are all looking for a quick claim resolution. Technology-induced claims have faster rundowns, with travelers availing most of the comfort and benefits of this perfect match of tech and traveling easily and promptly. Using technology to save time and get faster claims is a trend that we predict is going to stay for a prolonged period.


Every destination has a variety of rules and restrictions. Thus, it would be best if you were covered securely for your next big trip. It’s noteworthy, however, that renters or condo insurance don’t cover travel insurance. Therefore, if you are planning long trips, you might want to get travel insurance right away. Remember that getting travel insurance for your next adventure is your obligation as a traveler. So, cover yourself and travel without any worries.