Team Clark is adamant that we will never write content influenced by or paid for by an advertiser. To support our work, we do make money from some links to companies and deals on our site. Learn more about our guarantee here.
The U.S. Department of State recently issued a travel warning to U.S. citizens about the risk of traveling to certain parts of Mexico. This is especially relevant because the warning includes numerous popular destinations like Cancun, Cozumel, Playa del Carmen, Riviera Maya, Los Cabos, Puerto Vallarta and Tijuana.
While many Americans will choose to continue with their travel plans, others will consider calling off their trips. But can you get your money back if you cancel a vacation? That’s where travel insurance can help.
In fact, money expert Clark Howard typically recommends travel insurance for a cruise, a tour or a trip that requires prepayment of thousands of dollars. The key is to understand your needs and what to look for in a policy.
It’s essential to know what’s covered because travel insurance doesn’t cover everything. Policies are designed to protect consumers by giving them refunds in the event of illness to the traveler or immediate family member, or to provide a refund in the case of company, tour operator or airline default.
In most cases, travel insurance doesn’t cover a State Department advisory or acts of terrorism. To get any money back if you decide to cancel, you need to opt for a more expensive policy. You’ll pay about 50% more, and if you do cancel, you’ll be reimbursed up a certain percentage (likely 70%) of your prepaid trip.
It is always important to comparison shop — especially for insurance! You can review several plans and providers at sites like InsureMyTrip.com to get a better idea. Be sure to pay special attention to any exclusions!
If you decide to purchase travel insurance with a booking website like Travelocity, Orbitz or Expedia, take a look at which company is actually writing the policy (it’s usually not the booking company) so you can get the claim process started quickly and efficiently.
Consumers should always purchase a policy independent of the cruise, tour or vacation planner. They are designed to protect only the company and not the consumer.
[anvplayer video=”4153605″]
This post was last modified on September 26, 2019 3:26 pm
Deciding to save and invest are great habits. But once you check that box, your…
If you're considering subscribing to Fubo, you need to be comfortable missing out on some…
Are you looking for a way to earn 2% back on every purchase you make…
You're not alone if you're running a balance on your credit cards. Collectively, Americans are…
A big part of saving money comes down to knowing how to comparison shop. But…
If you work for a big company as a full-time employee, chances are you have…