When booking tickets with an agent over the phone, in person, or even online, a customer is always offered the option to purchase travel insurance. In that moment of decision, when you are already spending so much on the travel, accommodation and activities for your trip, it can seem like a real kick in the pants to dish out even just a little more for travel insurance. But when it comes to insurance, a little bit can go a long way.

What Is Travel Insurance For?

1. Trip cancellation and Trip Interruption Insurance
   
   Trip cancellation/interruption insurance will reimburse you for non-refundable travel costs, including your flight and/or hotel, if your trip is cancelled, seriously delayed or cut short because of illness or natural disasters, or carriers going out of business. Protection is offered up to the maximum amount of your trip purchase. If illness is the reason for your delayed/cancelled/shortened trip, make sure you have a doctor’s note to support your claim.
    
2. Baggage and Personal Items Insurance
   
   If your luggage is delayed, lost or stolen, travel insurance can help cover the cost of replacing your belongings. Check with your carrier for exact amounts, but reimbursement usually runs around $500 per lost bag and $100-$300 for delayed luggage. 
    
3. Emergency Medical Insurance
   
   Medical emergencies can happen abroad just as they can at home, and this is one of the most important types of travel insurance you can get. Coverage rates vary depending on the insurance provider and they can cover everything from a minor doctor’s visit, prescription medication and even major surgery. 
    
4. Accidental death or dismemberment Insurance
   
   This insurance is specifically meant to cover costs associated with the death of someone on a trip, or someone suffering a life-impairing accident (like losing their eyesight).