Travel insurance is an essential for just about every traveler. With minimal upfront investment, travelers can secure protection in the event of the unexpected during their trip, whether emergency medical or trip interruption related. This is why selling travel insurance can provide an incredible opportunity to further assist your clients and to increase your revenue as an insurance retailer or professional.

First, it’s important to understand what travel health insurance is and why it’s so important. There are two basic types of travel insurance—trip insurance and travel medical insurance.

What Is Trip Insurance?

Trip insurance is a type of travel protection policy available to U.S. residents that provides coverage for trip-related nonrefundable expenses in the event of an eligible occurrence. 

Coverage provided under these plans are for outbound travel from the United States internationally and domestic travel within the U.S. These plans may reimburse travelers for nonrefundable expenses if they are unable to take or complete their trips. Trip insurance helps to protect travelers from suffering complete financial loss of certain prepaid expenses including flight bookings, hotel costs, missed flight connections, lost baggage or passport and rental car booking costs. 

Although the specifics of each claim and what insurance companies will cover varies, the following may be covered by trip insurance plans:

• Trip Cancellation
• Trip Interruption
• Trip Delay
• Missed Flight Connections
• Emergency Medical Evacuation
• Accident and Sickness

Exact coverage details will vary from plan to plan. A traveler can choose a trip insurance plan that will offer the right benefits that they are looking for, has the coverage they desire, and fits within their budget.

What Is Travel Medical Insurance?

Travel medical insurance are policies that offer coverage for eligible emergency medical care abroad, and are typically available for travelers who are traveling outside of their home country for a period of time, although eligible home countries and destination countries will vary with each plan and insurance company.

Travel medical insurance falls into two categories: limited and comprehensive. Limited plans are less expensive and offer less benefits for travelers whereas comprehensive provides more extensive coverage for medical emergencies and baggage loss. Also known as temporary medical insurance, these plans usually cover new illnesses, conditions and injuries that a traveler might encounter while away from their home country. Travel medical plans will not cover an individual like his or her normal medical insurance would, but instead is designed to cover policyholders in the event of catastrophic or unexpected events that require immediate medical attention.

Both limited and comprehensive plans will cover unforeseen medical situations, however, some plans do not cover baggage loss, terrorist attacks, missed flights, or other travel related issues or situations. It is also important to note that a limited plan has less coverage in the case of medical emergencies and evacuations than a comprehensive plan. For cancellations, the policyholder can cancel before the effective date, usually with a full refund. After the effective date, if no claims are on file, the policyholder will be reimbursed on a prorated basis.

Although the specifics of each claim and what insurance companies will cover varies, the following are usually covered by travel medical insurance plans:

• Medical coverage for new incidents including accidents, illnesses, and injuries
• Emergency services including hospitalization and surgery
• Emergency medical evacuation

The benefits and coverage offered for travel medical insurance plans will vary and travelers can choose a plan that best suits their needs and budget.

The Benefits of Travel Insurance

Traveling and experiencing new cultures is one of the most fulfilling and exciting things that people can do, but it can be very stressful as well. By removing barriers like cost and worry, travelers can have a better time and truly enjoy their visit abroad rather than worry about what could go wrong. The peace of mind knowing that you are covered in the event of the unexpected is worth the investment in travel insurance for most people.

Like any insurance, travel insurance is a service that is designed to protect the insured from the worst-case scenario. Emergency medical care can be prohibitively expensive, especially in countries with high healthcare costs like the United States and Japan. Similarly, canceling travel plans or dealing with a trip interruption can mean losing a substantial amount of money. With a travel insurance plan, an individual can stay protected in a number of unforeseen circumstances, truly making it beneficial for all.

Learn More About the Advantages of Selling Travel Insurance

We know the nuances of travel medical and trip insurance policies can be confusing. This is where we help by working together. You will have access to the insurance company’s customer service team that can answer questions and help customers with information and claims should they have to file. You can also contact us at any time with questions or information. We want you to succeed.

If you’re ready to learn more about selling trip and travel insurance using Treppy™, please contact our team and we’ll help you get started selling travel insurance today.