US Travel Insurance (2026)
When it's worth buying, what it actually covers, and where to get it.
US travelers bought $3.8 billion in travel insurance in 2024 (US Travel Insurance Association), up 35% since pre-pandemic. The reason: US health insurance usually doesn't work abroad, and medical evacuation alone can cost $50,000–$250,000. A single skiing accident in Switzerland without travel insurance can wipe out a year of savings. Travel insurance costs 4%–10% of trip cost; for international trips and cruises it's almost always worth it. Below: what a standard policy covers, the upgrades worth the money, and when to skip it entirely.
When to buy travel insurance
- International trip of any length where US health insurance won't work.
- Cruise (most cruise lines have strict cancellation penalties).
- Prepaid nonrefundable trip costs $2,000+.
- Elderly traveler or traveler with pre-existing conditions (with a waiver).
- Adventure travel (trekking, diving, skiing — with appropriate rider).
- You're concerned about missing work, family emergencies, or other cancel-worthy events.
When to skip travel insurance
- Fully refundable bookings.
- Short domestic US trip where health insurance already covers you.
- Credit card travel benefits already cover your expected risks.
- Trip cost low enough that self-insuring is practical.
Questions answered
Typical package: trip cancellation (reimburses prepaid nonrefundable expenses), trip interruption, travel medical (covers medical emergencies abroad, where US health insurance often doesn't work), medical evacuation (huge: a private jet evac can cost $50,000+), baggage loss, and trip delay. Standalone medical-only and evacuation-only policies exist.
For domestic US travel with refundable bookings: usually not. For international travel, cruises, or expensive prepaid trips: strongly yes. Your regular US health insurance often doesn't work abroad; medical evacuation alone can run $50,000–$250,000 uncovered.
Typically 4%–10% of trip cost. A $5,000 family trip costs $200–$500 to insure. The peace of mind vs. being on the hook for a $50,000 cruise cancellation because of a family emergency is usually worth it.
Sometimes, if you pay the entire trip with the card. Chase Sapphire Preferred, Sapphire Reserve, and Amex Platinum include trip delay, trip cancellation (up to limits), primary rental car coverage, and sometimes medical. Limits are lower than standalone policies — worth checking coverage gaps before buying supplemental insurance.
Lets you cancel for literally any reason (not just a listed covered reason) and get back 50%–75% of prepaid costs. Costs 40%–60% more than base policy. Worth it for high-dollar trips where your reasons for canceling aren't insurable (changed mind, work conflict).
Most policies now treat COVID as any other illness — covered if it causes you to miss or interrupt a trip. Some still exclude pandemic-related coverage; read the policy. CFAR generally does cover COVID-related cancellations without the illness-related restrictions.
Standard travel insurance usually excludes pre-existing conditions. Pre-existing condition waivers (PECW) are often available free if you buy the policy within 14–21 days of your first trip deposit. Miss that window and the exclusion applies.
Cancellation: something happens before the trip starts. Interruption: something happens during the trip. Interruption typically includes the cost of getting home early plus unused trip expenses.
Pre-existing conditions without a waiver. Adventure/extreme sports without specific rider. Losses from war/civil unrest in some policies. Intentional injury. Intoxication-related injuries. Travel to a country under State Department 'Do Not Travel' advisory. Read exclusions carefully.
Aggregators like Squaremouth, Insuremytrip.com, TravelInsurance.com let you compare 20+ providers. Major US providers: Allianz Travel, Travel Guard (AIG), World Nomads, Generali Global Assistance, Seven Corners. Don't buy from the airline or cruise line at checkout — always more expensive than third-party.