Getting travel insurance is a wise decision for anyone embarking on a trip. It offers peace of mind and protection in case something unexpected happens — be it a medical emergency, trip cancellation, or lost baggage. However, what if plans change, and you must cancel your trip?
Can you cancel travel insurance and get a refund?
Related: 10 Reasons You Need Flight Cancellation Insurance
The Importance of Travel Insurance
When planning a trip, travel insurance is often the last thing people think about. However, it is essential to have proper coverage before you leave.
Travel insurance safeguards you from incurring exorbitant costs in case of emergencies abroad, including medical treatment, repatriation, and emergency evacuations.
Different Types of Travel Insurance Policies
Travel insurance comes in different flavors, such as trip cancellation and interruption coverage, medical coverage, and baggage coverage.
Trip cancellation coverage covers you if you have to cancel your trip due to illness, injury, or other unforeseen circumstances.
Medical coverage comes into play if you require medical attention while on your trip. Baggage coverage provides compensation for lost or damaged baggage.
Check Your Credit Card or Employer’s Health Benefits If It Includes Travel Insurance
Before purchasing travel insurance, check whether your credit card or employer’s health benefits program includes travel insurance.
Most premium credit cards provide 14 days of travel insurance that covers medical emergencies, trip interruption, and trip cancellation. You can also check if your employer’s health benefits cover you for medical emergencies and travel.
Why Someone Would Need to Cancel Their Travel Insurance Policy
Plans can change at any time, including after securing travel insurance. You might have to cancel your trip due to unforeseen circumstances such as a family emergency, an illness, or an unavoidable work commitment.
In such cases, you may no longer need travel insurance. Therefore, it’s natural to wonder if you can cancel your travel insurance policy and get a refund.
Can You Cancel Travel Insurance and Get a Refund?
The answer to this question depends on your policy type and the time you decide to cancel it.
Suppose you’ve bought a trip cancellation and interruption coverage and canceled your trip before the insurance coverage’s effective date. In that case, you may be entitled to a full refund of the premium you paid.
Some insurers offer free-look periods, which give you a window to cancel your policy and receive a full refund.
However, in most cases, canceling a policy after its effective date means you may not receive a refund. Most policies have cancellation fees and penalties that increase over time. Suppose you’ve used your policy and filed a claim.
In that case, you will not receive a refund even if you cancel it before the policy term expires.
Key Takeaways
Travel insurance is essential to protect you from unexpected circumstances while traveling.
Most credit cards and employer’s health benefits programs provide some travel insurance coverage, so check before you purchase extra coverage.
If you need to cancel your trip and your travel insurance policy, the refund you receive depends on the policy type, how much, and how long you’ve kept it.
Conclusion
Travel insurance is crucial to have before embarking on any trip. It provides protection and peace of mind in case unexpected things happen.
If you need to cancel your trip and travel insurance policy, it’s essential to understand the type of policy you have, when you purchased it, and what your insurer’s cancellation policy is.
By knowing these details, you’ll be able to decide whether to cancel effectively and receive a refund or not. Don’t screw yourself over and your wallet without travel insurance.
Liya Kravchenkin is an experienced portrait photographer. She has worked with clients worldwide and has even traveled to more than 50 countries. Liya loves photography because it allows her to capture a moment that can never be repeated. Liya also enjoys traveling, learning about new cultures, and seeing the world’s unique natural wonders. Her favorite travel memories are from swimming with dolphins in the Galapagos and eating cheesecake in New York City.
