Do I need travel insurance?
Read the guide: Travel Insurance for Beginners: The Complete Guide
The two questions that settle it
Will I lose money if I have to cancel? Deposits, a cruise fare, a tour, flights you cannot refund, a rented house. If the answer is yes, a plan pays that money back when you cancel for a reason it lists: you or a family member gets sick, a death in the family, a hurricane, a job loss, and a long list of others.
Am I leaving the country? Outside the United States most health insurance pays little or nothing and Medicare pays nothing. A plan pays the hospital and, if you need it, the flight home. That flight can pass $100,000 on its own.
One yes means you need a plan. Two means you need one badly. Two noes means you can skip it.
| Your trip | Money you cannot get back | Leaving the country | Do you need it? |
|---|---|---|---|
| A cruise, a tour or a resort week paid in advance, outside the US | Yes | Yes | Yes. Both risks are on the table. |
| A trip to Europe or Asia on flights and hotels you can cancel | Little | Yes | Yes, for the medical side. A cheap plan or a travel medical plan does it. |
| A non-refundable domestic trip: a ski week, a wedding, a rented beach house | Yes | No | Yes, for the cancellation side. Your health insurance works at home. |
| A refundable domestic trip: points flights, a hotel you can cancel | No | No | No. There is nothing to insure. |
What it costs against what it protects
A package plan usually costs 4 to 8 percent of the prepaid trip cost. A basic plan can be under 4 percent and a top plan with Cancel For Any Reason can pass 10 percent. Price depends on the trip cost, the length of the trip and the ages of the travelers.
| Trip cost | Typical plan price (4 to 8 percent) | What a bad week costs without it |
|---|---|---|
| $3,000 | $120 to $240 | The $3,000, or a hospital bill abroad |
| $8,000 | $320 to $640 | The $8,000, or an air ambulance home at $100,000 or more |
| $15,000 | $600 to $1,200 | The $15,000, or both |
See every top plan priced for your trip
Enter your trip once and every top plan comes back side by side, priced for your dates. Same price as buying direct.
See plans & pricesAbout 60 seconds. Nothing to sign up for.The cases where you can skip it
A refundable trip inside the United States has nothing to insure. A short drive to see family is the same. Some people also skip it when the trip is cheap enough that losing it would sting but not hurt, and that is a fair call, as long as the trip stays inside the country where your health insurance works.
One thing does not count as a reason to skip it: the coverage on a credit card. Card benefits are usually limited to what you paid with that card, carry low limits, and rarely include a real medical or evacuation benefit. Read the card’s guide to benefits before you lean on it.
What the plans say
Every plan we compare does the same two jobs: it refunds the trip cost when you cancel for a listed reason, and it pays for emergency medical care and evacuation abroad. The medical limits run from $10,000 to $500,000 and the evacuation limits from $50,000 to $1,000,000, and the price goes up with the limits. Every plan has a free look period, usually 10 to 15 days, when you can return it for a full refund if you have not left or filed a claim. The beginner’s guide walks through picking one.
Questions people also ask
Do I need travel insurance for Europe?
Not by law if you are a US citizen on a short visit; the insurance rule for the Schengen area applies to travelers who need a visa. You still want it, because your health insurance pays little or nothing there and Medicare pays nothing. The countries that require travel medical insurance are listed in our guide.
Do I need travel insurance for a domestic flight?
Only if you would lose money you cannot get back. Your health insurance works at home, so the medical side is covered. If the flight and hotel are refundable, skip it. If you have paid for a ski week, a wedding trip or a rented house, insure that money.
Is travel insurance worth it?
It is worth it when the money at risk is bigger than the price of the plan, and the price is usually 4 to 8 percent of the trip cost. A $200 plan on a $4,000 trip is worth it if there is any real chance of a cancellation or a hospital abroad. A plan on a trip you could cancel for free is not.
Related answers: Does Medicare cover me outside the United States? · When should I buy travel insurance? · Do I have to insure the full cost of my trip?
Sources: the 54 plans on the CoverTrip comparison, September 2026; Medicare.gov, Travel outside the U.S.
See every top plan priced for your trip
Enter your trip once and every top plan comes back side by side, priced for your dates. Same price as buying direct.
See plans & pricesAbout 60 seconds. Nothing to sign up for.Related
Damian TysdalDamian Tysdal is the founder of CoverTrip, and is a licensed agent for travel insurance (MA 1883287). He believes travel insurance should be easier to understand, and started the first travel insurance blog in 2006. About CoverTrip.