Flight Insurance: Worth The Cost?

When booking a flight, you will often be given the option to add travel insurance to your purchase. While this can provide peace of mind and protection in the event of unforeseen circumstances, it is not always necessary or worth the additional cost. The decision to purchase insurance for your flight tickets ultimately depends on several factors, including the cost of your flight, the likelihood of cancellation or interruption, and whether you have alternative sources of coverage.

Should I purchase the insurance on my flight tickets?

Pros and cons of purchasing flight insurance

Flight insurance is coverage that protects the cost of your non-refundable flight. It covers flight expenses only, and lodging, rental cars, etc. are not covered. Basic flight insurance generally reimburses just the cost of your non-refundable plane ticket if you have to cancel your trip. Some flight-specific policies don't even cover cancellations.

Pros

• If you have many non-refundable trip expenses, such as pre-paid excursions and hotel accommodations, buying a comprehensive travel insurance policy to cover your entire trip is likely a good option.
• Comprehensive travel insurance policies typically cover trip cancellations, unexpected medical expenses, and costs incurred due to baggage loss, delay, or theft.
• Travel insurance can provide peace of mind and protection on your trip.
• If you have a credit card that provides some form of travel insurance, the coverage limits may be enough to protect your flight.
• If you are booking a flight with cash or miles, flight insurance can help you get your money or miles back if your trip is unexpectedly cancelled or delayed.
• If you are planning an international trip, insurance is much more necessary than for a domestic trip, particularly if you have to plan far in advance.

Cons

• If you purchase a ticket that allows for free changes and cancellations, you may not need flight insurance.
• You may already have sufficient flight insurance through your credit card.
• The insurance offered by airlines at the time of trip purchase may not be the best option, as it is difficult to know exactly what you are buying, who is underwriting the policy, the extent of the coverage, and whether you are paying for coverage you already have.
• Some airlines use scare tactics to entice customers to buy their trip protection.
• If your flight is cancelled, you are generally entitled to have a seat on the next available flight going to your destination, so insurance is not going to make much difference in getting you re-booked faster.

How to purchase flight insurance

Flight insurance covers non-refundable airfare and is worth considering if you cannot get a refund or credit for airfare through the airline or the credit card used to book the trip. It is recommended to purchase flight insurance when you make your first trip deposit to get the maximum length of coverage for trip cancellation benefits.

There are several options for purchasing flight insurance. You can buy a policy from an airline after purchasing your plane tickets, which is usually through a partnership between the airline and a travel insurance company. You can also buy a policy from a travel insurance provider after booking your trip, which is also usually through a partnership with a travel insurance company. It may also be offered by your credit card company when you use the card to book your trip.

When purchasing flight insurance, it is important to read the exclusions and understand any relevant to your trip. For example, some flight-specific insurance policies cover cancellations, while others do not. Additionally, the cost of flight insurance can vary depending on the type of policy, where you buy it from, your age, and the total trip cost.

• Travel inconvenience benefit: a one-time payment for inconveniences such as runway delay or flight diversion.
• Emergency travel assistance: specialized representatives available day or night for unexpected travel issues.

It is also worth noting that comprehensive trip insurance policies and credit card travel insurance will reimburse you for taxes and fees paid on award tickets, but may not cover the miles. Therefore, it is important to check your policy if booking with points.

What does flight insurance cover?

Flight insurance covers non-refundable airfare, including taxes and fees paid on tickets. It is important to note that flight insurance covers flight expenses only, meaning lodging, rental cars, and other trip expenses are not covered. Basic flight insurance plans generally reimburse the cost of your non-refundable plane ticket if you have to cancel your trip. Some flight-specific policies do not cover cancellations, so it is important to read the fine print.

Flight insurance can be purchased as an add-on from the airline when booking your flight. This is typically through a partnership between the airline and a travel insurance company. It can also be purchased from a third party or a travel insurance company. You may also already have sufficient flight insurance through your credit card.

In addition to covering the cost of your flight in the event of a cancellation, flight insurance may also cover:

• Trip delays
• Trip interruptions
• Lost, damaged, or stolen baggage
• Medical expenses and evacuation coverage

When is the best time to buy flight insurance?

There are a few different opinions on the best time to buy flight insurance. Some sources suggest purchasing travel insurance shortly after booking your flight, as this allows you to provide the necessary information to buy a policy while remaining eligible for time-sensitive add-ons and benefits. It is also a good idea to buy insurance early on in the booking process to maximise your coverage period in case you need to cancel your trip.

However, it is also important to know the total cost of your trip to get an accurate quote, so you may want to wait until you have nailed down all the details. You can also buy travel insurance last minute, and it is better to buy insurance late than not have it at all.

Alternatives to flight insurance

Flight insurance is a good option for those who want to protect their investment in the case of unforeseen events. However, if you are looking for alternatives, there are a few options to consider:

• Credit Card Coverage: If you have a credit card that provides travel insurance, this may be enough to cover your flight and other non-refundable trip expenses. Check with your credit card company to understand the specific benefits and coverage limits offered.
• Comprehensive Travel Insurance: If your trip includes multiple non-refundable bookings, such as hotels, excursions, or rental cars, a comprehensive travel insurance policy may be a better option. These policies typically cover a wider range of expenses and can provide peace of mind for unexpected events throughout your trip, not just flight-related issues.
• Airline Partnership Policies: Some airlines partner with travel insurance companies to offer policies specifically designed for air travel mishaps. These policies may cover benefits such as flight and baggage delays, but they may not always reimburse airfare costs.
• Standalone Flight Insurance from a Third Party: If you are only interested in insuring your flight, you can purchase standalone flight insurance from a third party. This option covers flight expenses only and is a good choice if you don't require the additional protections of comprehensive travel insurance.
• Basic AirCare Plan: For those seeking inexpensive and less comprehensive protection, a basic AirCare plan offers fixed amounts for flight-related coverage. For example, if your flight is canceled, you'll receive a set reimbursement amount regardless of the flight cost.

When considering alternatives to flight insurance, it's important to carefully review the terms and conditions of each option to understand what is and isn't covered. Additionally, it's recommended to purchase travel insurance as soon as possible after booking your trip to maximize your coverage and benefits.

Frequently asked questions