• 22
  Sep
  2009

• Trip Cancellation Insurance – Tips to buy

  
  Filed Under: Blogging
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While buying a trip cancellation insurance, you need to ensure that your advance un-utilized amount needs to be reimbursed to the maximum. This may include flight tickets, advanced travel package reservations, hotel accommodation bookings and other non-refundable deposits you incurred before travel.

Some of the plans also arrange for economy transport of the insured in case the trip gets interrupted in the middle.Look for the circumstances under which the insurance company would reimburse the financial losses in case of trip interruption and cancellation. If the claim does not fall under the specific valid coverage reasons, you claim may be rejected. “Cancel for any reason” benefit comes with lesser restrictions than “named peril” coverage where the reimbursement circumstances are pre-determined.

About 75 – 90% of the pre-paid deposits would be reimbursed.Look out for conditions under which pre-existing medical conditions would be waived. For example, if the trip cancellation insurance is purchased within 10 – 21 days of initial travel deposit, the insured may eligible for coverage of pre-existing medical conditions also!

Since there are no specific pre-defined industry standard benefits for the trip cancellation insurance policy, you need to specifically look into your coverage needs before purchasing such a policy.