News

Travel insurance — don't leave home without it?

December 13, 2007

It remains one of the more confusing aspects of travel — insurance. But with growing delays and cancellations, and with what seems to be an increasing number of ways to interrupt — or postpone your trips, insurance is now something to seriously consider.

And a lot of American travelers are doing just that.

Sixty-seven million Americans spent $1.3 billion on travel insurance in 2006, which is a 20% increase from 2004.  

There are several basic reasons to purchase travel insurance.  But the top three reasons to buy travel insurance are: peace of mind, protection against the unexpected, and concern over losing the financial investment in a trip. The more you have to lose, the more helpful insurance can be.

These reasons become even more meaningful when you’re traveling with your family, because there is that much more chance of something going wrong. If your kid gets a cold or an ear infection, you may not be able to fly; if your flight is delayed, guess who has to feed them? If a family of four is traveling, it only takes one lost suitcase to ruin a vacation. 

When choosing what kind of plan is right for you, there are a number of important options to consider/. Some companies offer comprehensive family plans, and may include kids for free (it’s all bundled into one big package). Or you can pick and choose what kind of coverage you want and pay on a  per person basis: trip delay or cancellation, medical evacuation, rental car damage, even baggage coverage.

Here's how many insurance policies work:

AIGT Travel Guard
Just this past fall, AIG Travel Guard introduced a new family coverage enhancement to its ProtectAssist travel insurance plan (its most popular plan).  With the new family coverage, children aged 17 and under are now covered at no additional charge if they are related to an insured adult under the ProtectAssist insurance plan.