According to a new AAA report, 38 percent of Americans are likely to buy travel insurance for future international travel, and that number is growing. AAA said sales of domestic and international travel insurance increased by more than 20 percent over the past year.
More than 30 million family travelers will visit the international destination this year, 9 percent more than just two years ago. There are only too many unknowns, such as family emergencies and natural disasters that can throw an unexpected key into a planned vacation. Travelers are no longer taking advantage of the opportunities and they are choosing to invest in the value and tranquility that travel insurance can provide, both for international and domestic vacations and cruises.
While every traveler has their own reason for buying travel insurance, most are not protecting their cash investments. About 88% of respondents said that travel protection is the most important priority when choosing travel insurance.
Respondents also considered buying travel insurance if their trip was booked in advance (61 percent) or if they were concerned about their health or the health of a family member (69%). Others were convinced by family and friends that it was a good idea (57%).
Travel insurance can do much more than protecting travel money. Select plans can cover reimbursement fees, meals or accommodation in the event of canceled or delayed flights. Travel insurance can also fill gaps in health insurance. Without insurance, a night in a hospital abroad can cost up to 12 times more than a night in a five-star hotel.
Just because a country has universal health care for its residents does not mean that a traveler will leave with a cheap medical bill. The second and third most expensive hospital stays are in Luxembourg (about $ 1,800 per night) and Norway ($ 1,330 per night), where a five-star hotel costs $ 154 or $ 327, respectively.
Relatively low travel insurance costs can refund dividends in the event of sudden and unforeseen circumstances before or during a holiday. Because policies and coverage options vary, travelers should consult a travel agent with the knowledge to explore travel insurance options.
AAA encourages travelers to consider these benefits of travel insurance to protect their investments in domestic and international travel, as well as cruise holidays. After all, life is unpredictable and some trips have to be canceled.
- You landed, the bags didn’t. Airlines abused more than 22 million bags in 2019. Travel insurance can provide coverage to replace necessary items if the luggage is delayed, damaged or stolen
- Sick happens. Insurance can help cover medical expenses while traveling, both internationally and in the United States. Many hospitals abroad require cash payments before treatment can be provided.
- Health insurance. Most health insurance policies do not cover international travel. Travel insurance can help cover medical expenses and an expensive medical evacuation back to the United States in an emergency.
- Delays and cancellations on the flight. Airlines must not cover all costs associated with a delayed or canceled flight. Travel insurance can help offset costs such as transcripts, meals, and accommodation.
- Economic uncertainties. Losing a job or other income can mean delaying a trip planned in advance. Travel insurance can help passengers reimburse their expenses when the funds are tightened.
The findings of the AAA travel insurance survey are the result of a telephone survey (fixed and mobile phones) of 1,003 adults living in the mainland of the United States. This study has an average statistical error of 4% at a confidence level of 95% for all adults in the United States.
As the largest motoring and leisure travel organization in North America, AAA provides more than 58 million members with travel, insurance, financial and automotive services. Since its inception in 1902, the unprofitable, fully taxed AAA has been a leader and advocate for the safety and security of all passengers. Drivers can map routes, identify gasoline prices, find discounts, book a hotel, and access AAA assistance along the way with the AAA Mobile app for iPhone, iPad, and Android.
No matter your inspiration, if you’re considering getting insurance for a trip, check out Travel Bees‘ guide to everything you need to know about travel insurance.