The Chicago Tribune recently highlighted the pros and cons of travel insurance. While the article raises great points about why travel insurance is important and how it can protect your vacation plans, we do want to provide more information about one part of the article.
The article’s author, Gregory Karp, warns travelers about having duplicate coverage. This means a person would have coverage for the same services under more than one benefit plan. In this case, it would homeowners insurance and travel insurance. While it is true that your homeowners insurance may cover you if you experience a loss while on vacation, your homeowners policy may only cover a portion of your total loss due to coinsurance and deductible requirements.
In the end, it is important to remember travel insurance is designed to protect you in three ways: 1) to reimburse you for your financial investment should a variety of unforeseeable reasons force you to cancel or interrupt your trip or delay you while traveling; 2) most importantly, to protect you against the costs incurred during your trip for medical expenses, a medical evacuation, services to assist you in an emergency situation; and 3) to protect against loss, damage or destruction of your personal belongings.