For many travelers, buying travel insurance feels like an optional add-on—something you might check off at the end of a booking process without really knowing what you’re getting. It’s easy to assume that nothing will go wrong, especially on short trips or when you’re feeling confident in your planning. But as seasoned travelers and unfortunate travel mishaps can attest, the unexpected can (and often does) happen: lost luggage, canceled flights, accidents abroad, or sudden illness.
Still, plenty of travelers question whether it’s truly worth the money. After all, it’s one of those purchases you hope you never have to use. The truth is, travel insurance can be a trip-saver—or a waste—depending on how you buy it, what your trip involves, and how well you understand the fine print. It’s not about fear-mongering; it’s about smart planning and financial protection, especially for international or high-cost travel.
Before you skip the insurance checkbox on your next booking, it’s worth considering what you’re risking without it—and how a single event could disrupt your entire itinerary or drain your budget. In this guide, we’ll break down when travel insurance is genuinely valuable, how to avoid buying the wrong kind, and the common mistakes that leave travelers unprotected even when they think they’re covered.
Travel insurance is one of those things you hope you never need but might regret not having. Some travelers swear by it, while others see it as an unnecessary expense that rarely pays off.
So, is travel insurance actually worth it? Or is it just another overpriced, overrated add-on? Let’s break down the real pros and cons—so you can decide if it’s worth your money.
Read Here European Things that terrify Americans and American Habits that make Europeans Cringe
Read here how to pack for Europe and Best eSIM for Europe
BOOK YOUR TRAVEL INSURANCE
Two of our favorite travel insurance: Heymondo Vs Safetwing cheapest travel Insurance. You can get for $135 USD your Heymondo Travel Insurance with Heymondo discount code valid for 90 days. Read our full comparison of Genki vs Safetywing Travel Insurance Review and the comparison Heymondo vs Genki
Quick & Easy Tips
Always read the fine print to understand exclusions, especially regarding pre-existing conditions or adventure activities.
Buy early—you often get more protection (like trip cancellation) if you purchase right after booking.
Compare policies from independent providers, not just what airlines or booking sites suggest.
For domestic trips, assess whether coverage is truly necessary—often, you may already be protected.
Keep copies of your insurance documents and emergency contact numbers digitally and on paper.
Understand your home health insurance—most don’t cover international care or emergency evacuation.
Watch out for “cancel for any reason” loopholes—some require an extra upgrade and specific conditions.
Don’t assume credit card coverage is enough—know what is (and isn’t) included.
When Travel Insurance Is Worth It
1. You’re Booking Expensive, Non-Refundable Trips
Why It’s Worth It:
If you’re spending thousands on flights, hotels, or cruises, travel insurance protects you from losing everything if something goes wrong.
Many plans reimburse cancellation fees due to illness, injury, or emergencies.
Example: You book a $5,000 trip to Japan, but two days before departure, you get sick and can’t go—without insurance, you lose everything.
Best Option: Look for a trip cancellation/interruption policy that covers non-refundable bookings.
2. You’re Traveling to Countries With Expensive Healthcare
Why It’s Worth It:
Medical emergencies abroad can cost a fortune. A simple hospital visit in the U.S. can be $5,000+, and medical evacuations can cost $100,000+.
Many countries won’t treat uninsured tourists for free.
Example: You break your leg while hiking in Switzerland—without insurance, your hospital bill is $10,000.
Best Option: Get a policy with medical coverage ($100,000+ recommended) and emergency evacuation.
3. You’re Going on an Adventure or High-Risk Activities
Why It’s Worth It:
Many regular insurance policies don’t cover high-risk activities like scuba diving, skiing, or hiking at high altitudes.
Some countries require proof of insurance for adventure activities.
Example: You crash while riding a motorbike in Thailand—without travel insurance, you pay out of pocket for surgery and hospital bills.
Best Option: Choose a plan that covers adventure sports & activities.
4. You’re Worried About Lost or Stolen Luggage
Why It’s Worth It:
Airlines lose thousands of bags every day—insurance can help you recover costs.
Theft can happen anywhere—if your passport, phone, or camera is stolen, travel insurance can help.
Example: Your airline loses your suitcase, and your laptop is stolen from your Airbnb—travel insurance covers your losses.
Best Option: Look for policies covering lost luggage, theft, and personal belongings.
5. You Need COVID or Emergency Coverage for Certain Countries
Why It’s Worth It:
Some countries require travel insurance for entry (like Thailand, UAE, and Argentina).
COVID-related expenses can be costly if you get stuck abroad.
Example: You test positive for COVID in Bali and must quarantine for 10 days at a hotel—insurance covers the extra costs.
Best Option: Check if your destination requires travel insurance for entry.
When Travel Insurance ISN’T Worth It
1. You’re Traveling to a Country With Free or Cheap Healthcare
Why It’s Overrated:
If you’re going to Europe (with an EHIC card) or countries with universal healthcare, medical costs are minimal or free.
You might already be covered by your home country’s healthcare.
Example: A hospital visit in Germany or the UK costs less than $50—hardly worth an expensive insurance policy.
What to Do Instead: Check if your destination offers affordable emergency care.
2. Your Credit Card Already Provides Coverage
Why It’s Overrated:
Many premium credit cards offer free trip cancellation, baggage loss, and rental car insurance.
If your card has strong coverage, paying for extra insurance is redundant.
Example: You have a Chase Sapphire Reserve or Amex Platinum—these cards already cover most travel emergencies.
What to Do Instead: Check your credit card benefits before buying extra coverage.
3. You’re Taking a Cheap, Flexible Trip
Why It’s Overrated:
If you book low-cost, refundable flights and hostels, you don’t need insurance for cancellations.
If your trip costs less than $500, it’s probably not worth insuring.
Example: You book a $150 budget airline ticket and a $50 hostel stay—insurance costs almost as much as your whole trip.
What to Do Instead: Book flexible tickets and avoid unnecessary insurance costs.
4. You’re Staying in One Place for a Long Time
Why It’s Overrated:
If you’re living abroad or a digital nomad, a long-term health insurance plan is better than short-term travel insurance.
Most travel insurance policies only cover short trips (30-90 days), so they’re useless for long stays.
Example: You’re living in Spain for 6 months—a regular travel insurance plan won’t cover routine doctor visits or check-ups.
What to Do Instead: Get expat or international health insurance (like Cigna or SafetyWing).
The Hidden Downsides of Travel Insurance
Even when it’s worth it, travel insurance isn’t perfect.
Common Problems
Claim Denials: Many insurers find reasons to reject claims—especially for pre-existing conditions.
Slow Reimbursements: You might have to pay out of pocket first and wait months for reimbursement.
Complicated Fine Print: Not all plans cover cancellations due to personal reasons or delays due to weather.
Example: Your flight is canceled due to a storm, but your insurance policy doesn’t cover weather-related delays.
How to Avoid Problems
Read the fine print before buying.
Keep all receipts and documents for claims.
Choose reputable insurers (World Nomads, SafetyWing, Allianz, etc.).
Final Verdict: Is Travel Insurance Worth It?
YES, if you:
Book expensive, non-refundable trips.
Travel to countries with high medical costs.
Do adventure activities or extreme sports.
Want peace of mind in case of emergencies.
NO, if you:
Travel to places with free or cheap healthcare.
Already have coverage through your credit card.
Book refundable flights & accommodations.
Are staying in one place long-term and need better coverage.
About the Author: Ruben, co-founder of Gamintraveler.com since 2014, is a seasoned traveler from Spain who has explored over 100 countries since 2009. Known for his extensive travel adventures across South America, Europe, the US, Australia, New Zealand, Asia, and Africa, Ruben combines his passion for adventurous yet sustainable living with his love for cycling, highlighted by his remarkable 5-month bicycle journey from Spain to Norway. He currently resides in Spain, where he continues sharing his travel experiences with his partner, Rachel, and their son, Han.