There are plenty of smart ways to save money on your travel plans, but refusing to buy travel insurance isn’t necessarily one of them. Sure, you may not feel you need a travel insurance policy if you are going on a road trip or planning a cheap vacation close to home. However, we all know there are plenty of scenarios (from travel delays and flight cancellations to pandemic outbreaks and destinations encountering protests or unrest) that can knock any travel plans off track.
To determine the Cheapest Travel Insurance Companies, U.S. News created sample traveler profiles for three separate eight-day trips to different domestic and international destinations at various price points (ranging from $6,000 to $12,000). We used that information to get quotes for the cheapest option for 100% trip cancellation coverage for each trip. We then calculated the average cost of the trips to determine the sample average cost. Find more information on the methodology for the Cheapest Travel Insurance Companies here. (Note: The sample average costs are not price quotes from U.S. News. To find a travel insurance price quote, use the “compare plans and get a quote” link to enter your trip details and find more information.)
The Cheapest Travel Insurance Companies:
Why do you need travel insurance? Vacations can unexpectedly be interrupted or canceled altogether due to an unexpected illness, a family emergency or a cancellation by an airline or resort. “If you’ve spent a material amount for trip expenses, you want to make sure you’re protected in case something happens,” says Angela Borden, product strategist at Seven Corners. “If you get sick and can’t go, if something happens and you need to come home early … I think it’s really important because travel is so expensive right now.”
Not only that, but travel insurance can also cover other components of your trip you maybe haven’t considered. This could include lost or stolen baggage or a missed connection that requires a sudden hotel stay and a few dinners while you’re rerouted on another flight.
Try not to think of travel insurance as just another expense you should avoid while planning your dream trip. Think of travel insurance as protection for the financial investment you made in your vacation. With that in mind, it is thrifty to shop around for the most affordable travel insurance policies.
Keep in mind coverage limits and availability may vary by state. Also note: Coverage for trip cancellation or interruption due to COVID-19 varies by provider, so you’ll want to consult each travel insurance website for further details. Read on to find out more about what each company offers and decide which travel insurance policy is right for you.
Average cost of travel insurance across sample trips: $146
World Nomads sells travel insurance policies that travelers can customize based on price and what type of coverage they seek. The policy inclusions are broad, but one thing that makes World Nomads Travel Insurance stand out is its standard policy automatically covers 200-plus adventure sports like skydiving, scuba diving, ATV riding, zip lining, snowmobiling, skiing, snowboarding, and more. Many other travel insurance companies require specific, separate policies to cover extreme sports.
Two plans are available within World Nomads: Standard and Explorer. The Standard plan is going to be the most cost-effective. It includes:
- Up to $2,500 worth of trip protection for cancellation or interruption
- Up to $1,000 in coverage of lost, stolen or damaged baggage; up to $750 for baggage delays on your outward journey
- Up to $100,000 in emergency medical insurance
Average cost of travel insurance across sample trips: $215
AXA Assistance USA offers three tiers of travel insurance for customers who want to pay more (or less) to get the right amount of coverage. The Silver Plan is the most affordable option with:
- 100% coverage for trip cancellation and interruption
- $750 in coverage for baggage and personal effects; $200 in coverage for baggage delays
- $25,000 in accident and sickness coverage
Also note, AXA Assistance USA plans come with a 10-day money-back guarantee. This means you can purchase a plan, change your mind and get your premiums back provided you have not started your trip or filed a claim.
Average cost of travel insurance across sample trips: $222
Trawick International provides numerous insurance options for all types of travelers, including tourists, students heading abroad, businesspeople, families, groups and more. The travel insurance company offers six different plan types for trip protection and cancellation insurance, and consumers can select from these options to choose what’s going to work best for them.
The budget-friendly Safe Travels Explorer plan is billed as “just the necessities,” and features:
- Trip cancellation (up to $30,000) and interruption coverage for 100% of the insured vacation
- $750 in coverage for lost and damaged luggage; $200 for baggage delays
- Up to $50,000 in emergency medical coverage
There are three annual travel insurance trip options available as well. Trawick International also provides several plan options for those who want specific travel medical insurance, popular with those who have preexisting conditions, and student travel insurance for those studying abroad.
Average cost of travel insurance across sample trips: $272
Generali Global Assistance presents three travel insurance plan options, ranging from basic, affordable coverage to an enhanced, premium policy. The Standard (and cheapest) plan provides:
- Coverage up to 100% of the insured vacation for trip cancellation and up to 125% of the insured vacation cost for trip interruption
- $1,000 per person for lost, damaged or stolen bags; $200 per person in baggage delay coverage
- Up to $50,000 in emergency medical coverage
What’s more, Generali Global Assistance provides a few travel insurance options specifically for those booking a vacation rental.
Average cost of travel insurance across sample trips: $313
Seven Corners offers coverage for U.S. residents, and it also extends medical coverage plans to travelers who are visiting the United States. To help stand out from other providers, Seven Corners also offers unique group travel insurance plans; travel insurance for students; road trip insurance for trips throughout the United States, Mexico and Canada; and medical evacuation and repatriation coverage designed specifically for visa holders. In addition, you can purchase annual travel insurance plans that cover more than one trip within a year.
The most popular plan Seven Corners offers is the Trip Protection Choice Travel Insurance plan. This coverage is for a single trip, and it applies to United States residents who are traveling within the U.S. or internationally. There are two tiers available: Trip Protection Basic and Trip Protection Choice (also known as Economy and Elite in select states).
The bottom-tier Trip Protection Basic (or Economy) plan comes with:
- Trip cancellation coverage up to $20,000 to $30,000 (depending where you live) and trip interruption coverage up to 100% of the cost of the trip
- Lost, stolen or damaged baggage coverage up to $500
- Emergency accident and sickness medical coverage up to $10,000 to $100,000 (based on state of residence)
Average cost of travel insurance across sample trips: $318
Allianz Travel Insurance provides a plethora of travel insurance plans, from specialized rental car and medical insurance to more traditional single-trip and annual travel insurance options. There are two top cost-effective plans from Allianz: OneTrip Cancellation Plus and OneTrip Basic.
The OneTrip Basic policy includes:
- Trip cancellation and trip interruption coverage up to $10,000
- Luggage loss and damage protection up to $500 per traveler; delay protection up to $200
- Emergency medical and dental coverage up to $10,000 ($500 for dental expenses)
Preexisting conditions are covered under this plan if specific requirements are met. Allianz also offers customers access to a 24/7 hotline to assist with any travel emergencies on your trip.
Average cost of travel insurance across sample trips: $318
IMG Travel Insurance offers many different types of insurance you can buy, ranging from specialty plans for retired travelers ages 65 and older to plans for expats, business travelers and students. When it comes to general travel insurance plans, however, there are three main tiers of coverage: iTravelInsured Travel Lite, iTravelInsured Travel SE and iTravelInsured Travel LX.
The iTravelInsured Travel Lite plan is the most budget-friendly, although coverage limits are not necessarily skimpy. This plan comes with:
- Up to 100% in coverage for trip cancellation (up to $25,000) and a trip interruption benefit worth up to 125% of the trip cost
- Up to $750 for lost, damaged or stolen bags; $150 in luggage delay coverage
- $100,000 in emergency medical coverage
Average cost of travel insurance across sample trips: $324
WorldTrips offers Atlas Trip Protection at three main levels of coverage: Economy, Preferred and Premier. The most budget-friendly policy, Economy, includes:
- 100% of trip cost (up to $10,000); 100% in trip interruption
- Up to $250 per item in lost, damaged or stolen baggage (max $1,000)
- Up to $25,000 in emergency medical and illness coverage
Preexisting conditions are covered in the Economy plan if you purchase the policy within 21 days of the initial trip payment. Plus, 24/7 traveler assistance is available.
Average cost of travel insurance across sample trips: $333
Nationwide specializes in three types of travel insurance plans: cruise, single-trip, and annual or multitrip plans. Most travelers will likely be interested in the Single-Trip Essential Plan. This option covers:
- Trip cancellation (up to $10,000) and trip interruption (up to 125% of the total trip cost), including travel interruptions or delays due to terrorism
- $600 for lost, damaged or stolen luggage; $100 in baggage delay coverage
- Up to $75,000 in accident and illness medical coverage
Those looking to upgrade their plan to include cancel for any reason coverage, higher policy coverage and additional benefits will want to opt for the Single-Trip Prime Plan.
The company’s cruise plans (there are three options) also provide a variety of safety nets, from standard trip cancellation or interruption perks to coverage of cruise-specific issues like itinerary changes due to mechanical problems, missed excursions and weather-related trip changes.
Frequently Asked Questions
Buying travel insurance only makes sense if you purchase enough coverage to protect the investment you made in your trip. For that reason, the cheapest travel insurance plan is not always the best. You should compare pricing, but you should also make sure you’re buying coverage from a quality provider (like the ones included above). Additionally, check that your coverage comes with inclusions and limits that make sense for your trip.
To find the right travel insurance plan for your needs, start by tallying up the cost you paid for your trip, including prepaid charges for airfare, lodging and transportation. From there, you can select coverage limits for trip cancellation and interruption coverage, and you can also compare plans based on the most important components that could result in major losses, such as medical coverage and emergency evacuation. Also, make sure your policy provides adequate protection for baggage and personal items, as well as the implications of a significant travel delay. Finally, make sure you have the option to include any additional coverage you need, such as cancel for any reason coverage or waivers for preexisting conditions.
Ideally, you will wind up with a travel insurance plan that offers just the right amount of coverage for a price you can afford.
Keep in mind, some of the more basic travel insurance plans do not include certain coverage that everyday travelers may need.
“A lot of people are focused on cost; one consideration is generally the economy level plans aren’t going to have a preexisting condition waiver,” says Stan Sandberg, co-founder of TravelInsurance.com. “… and that may not affect everybody but if somebody has a chronic health consideration like asthma, they would want a policy with a preexisting condition waiver.”
Travel insurance may cost anywhere from $50 to $1,500 or more. The cost of travel insurance varies depending on the age of the travelers in your group, the total cost of your trip and other factors. Older people will typically have to pay more for a travel insurance policy since these travelers are more susceptible to health issues as they age. The total cost of your trip will also help determine the cost of your travel insurance plan since more expensive trips require higher coverage limits.
Interestingly enough, the length of your trip and the destination you are visiting will not typically affect the cost of travel insurance coverage. Further, your health may not be part of the equation either, and travel insurance companies even refrain from asking health questions when you apply for a travel insurance quote. This doesn’t mean that preexisting conditions will be covered, however, so you’ll want to check the details.
The price of the plan you select will depend on how much coverage you want.
[Protect your trip: Search, compare and buy the best travel insurance plans for the lowest price. Get a quote.]
Why Trust U.S. News Travel
Holly Johnson is an award-winning content creator who has been writing about travel insurance and travel for more than a decade. She has researched travel insurance options for her own vacations and family trips to more than 50 countries around the world, and has experience navigating the claims and reimbursement process. In fact, she has successfully filed several travel insurance claims for trip delays and trip cancellations over the years. Johnson also works alongside her husband, Greg, who has been licensed to sell travel insurance in 50 states, in their family media business.
Erin Evans is the Managing Editor of Travel at U.S. News & World Report. She has become an expert in travel insurance since the COVID-19 pandemic wreaked havoc on the travel industry, reading through fine print and details, and trying to summarize the information to make things more digestible for the everyday traveler. If you need an easy explainer on understanding how it works and why it’s beneficial (including cancel for any reason coverage), she’s your gal.
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