Is Travel Insurance Worth It for Holiday Travel?
Holiday travel can be a stressful experience, especially with the added disruptions such as flight cancellations, delays, or lost bags. Last winter, Southwest Airlines’ holiday travel meltdown left millions of travelers stranded and frustrated. Consumer complaints against U.S. airlines have increased significantly, forcing the Department of Transportation to temporarily stop reporting data as it processes complaints.
Despite the chaos, holiday travel is still on the rise this year. According to a NerdWallet survey conducted by The Harris Poll, about 50% of Americans plan to pay for flights or hotel stays this holiday season. These travelers, referred to as “2023 holiday travelers,” are determined to keep their usual holiday travel plans regardless of the expense. In fact, a quarter of them are opting to fly instead of drive due to the rising cost of gas.
With the uncertainties surrounding holiday travel, many people are considering whether it’s worth paying extra for travel insurance this year. The survey found that 21% of 2023 holiday travelers plan on buying or have already bought travel insurance for their holiday trips, up from 16% last year.
Is Flying Truly Worse?
The post-pandemic travel surge is real, but has the flying experience actually gotten worse? Let’s take a look at the numbers.
An analysis of data through June 2023 by the U.S. PIRG Education Fund found that the number of airline passengers for the first half of 2023 increased by 11% compared to 2022, almost reaching pre-pandemic levels. However, on-time performance for flights in June fell to 71.3%, worse than a year ago. Flights are also fuller this year, meaning travelers have fewer flight options.
While travel returns to pre-pandemic levels, travelers face limited flight options and gloomy statistics. Considering these factors, travel insurance is at least worth considering this year.
Lowering the Risk of Disrupted Travel
One way to lower the risk of disrupted travel is by adjusting when or how you fly. Nearly 2 in 5 2023 holiday travelers in the NerdWallet survey plan to avoid busy travel days by extending the duration of their holiday trips.
What Type of Travel Insurance Should You Get?
The type of insurance you should buy depends on several factors, including whether your trip is nonrefundable, where you’re going, if your credit card provides protection, and what your health coverage is at the destination. If you already have health insurance coverage and your credit card offers basic trip cancellation or interruption coverage, you may not need additional insurance.
However, if you don’t have built-in protection or the limits aren’t sufficient, it’s worth looking into buying a stand-alone travel insurance policy. You can explore options offered by your airline, insurance providers, online travel agencies like Expedia, or compare quotes from travel insurance marketplaces.
Having travel insurance could provide some comfort during your holiday trip, especially with the uncertainties and disruptions that can occur.
Conclusion
Holiday travel can be a challenging experience, but with the right precautions and considerations, you can make it more manageable. While the flying experience may have its drawbacks, such as limited flight options and reduced on-time performance, travel insurance can provide peace of mind during your trip. Whether you opt for insurance offered by your airline or purchase a stand-alone policy, it’s important to assess your needs and choose the coverage that suits you best. Stay informed, plan ahead, and enjoy your holiday travel with confidence.
About the Author
Amrita Jayakumar writes for NerdWallet. Email: [email protected]. Twitter: @ajbombay.
Article Source
The article “Should You Buy Travel Insurance for Holiday Travel?” originally appeared on NerdWallet.
George Barham, an accomplished journalist and avid gambling enthusiast, serves as the esteemed Editor-in-Chief at fly-to-australia.com, Australia’s leading source for comprehensive gambling news and insights. With an unwavering passion for both the written word and the ever-evolving world of betting and gaming, George brings a wealth of knowledge and expertise to the helm of our editorial team.
