Average Cost of Travel Insurance for 2025

Average Cost of Travel Insurance by Trip Cost

The cost of your trip generally has the largest impact on the price of travel insurance. When purchasing a plan, you can insure prepaid expenses for each person traveling, including everything from transportation and lodging to excursions you're participating in when you arrive at your destination. Here's a breakdown of what you might expect to pay for trips ranging from $1,000 to $25,000.

Average Cost of Travel Insurance by Age

The two major benefits travel insurance provides are paying for emergency medical care and covering forfeited travel expenses because of trip cancellation, interruption or delay. Because older people are more likely to need medical care while traveling, travel insurance premiums typically increase as you age.

Source: Squaremouth

Is Travel Insurance Worth It?

Travel insurance can be a good investment, particularly if you're going abroad or planning an expensive vacation with many nonrefundable expenses. It isn't always necessary, however. Here are some things to consider to decide if it makes sense for you.

Where You're Traveling

If you're heading to another country and plan to rely on your U.S.-based health insurance to cover you if you get sick or injured, travel insurance can come in clutch. Most U.S.-based health plans won't pay for medical care outside the United States, but travel insurance does. If you're leaving the country, purchasing a plan is probably worth it.

If you're traveling within the U.S. to an area where health care facilities accept your insurance and you'll never be too far from a doctor or hospital, you may be able to skip the coverage.

There is one caveat to consider, however: If you're traveling to a remote location or an area with poor health care (whether domestically or internationally), travel insurance can pay for emergency transportation to get you to a place that can provide the care you need. Without it, you could be on the hook for tens or even hundreds of thousands of dollars if you need an emergency evacuation.

The Cost of Your Nonrefundable Expenses

If you've shelled out thousands of dollars in prepaid travel expenses that you won't be able to get back if you have to cancel your trip or it gets interrupted, trip insurance may be worth it as it can reimburse you for the upfront costs you paid.

On the flip side, if most of your expenses are refundable or you haven't paid for many upfront expenses, the added cost may not make sense.

Your Credit Card

Many travel cards offer some of the same benefits third-party travel insurance plans provide when they're used to pay for trip-related expenses. Sometimes, credit card travel insurance benefits aren't as comprehensive and policy limits are lower, so check the details to determine if the coverage your card provides is adequate.

How to Get Travel Insurance

You have a few options for getting travel insurance. A good place to start is with your credit card. Many cards offer travel insurance benefits, including trip interruption and cancellation, trip delay, lost or damaged luggage, travel accident, emergency assistance and more when used to pay for travel-related expenses.

If your credit card doesn't provide coverage or has limits that are too low, you can purchase a plan from a travel insurance company or through an online marketplace that allows you to compare plans from multiple providers. Evaluating the benefits, policy limits, exclusions, price and other details of several plans will help you find one that best meets your needs.

You may also be able to purchase coverage directly from airlines, tour operators and other travel providers at booking, giving you an opportunity to select the expenses you want to insure and skip the ones you don't.

Frequently Asked Questions

The Bottom Line

The price of travel insurance depends largely on the expenses associated with your trip. The more expensive the trip, the more you have to pay to cover it. Travel insurance can help you recoup nonrefundable expenses if you experience a hiccup during your journey or cancel your trip altogether. It can also provide much-needed coverage for medical expenses when your primary insurance plan doesn't cover you.

Whether the added expense is worth it depends on where you're headed and how many upfront expenses you've already paid for. If you decide to insure your trip, include the cost of insurance in your travel budget.