Average Cost of Travel Insurance for 2024 (2024)

Key Takeaways

  • The average cost of travel insurance is about 3% to 5% of a trip’s total value, according to quotes gathered by our research team across different travel insurance providers for various traveler profiles.
  • Factors such as total trip costs, coverage levels, travel destinations, traveler ages and trip payments can affect the price of a travel insurance policy.
  • Travel insurance can be worth the cost and provide peace of mind if you must cancel your trip, experience a travel interruption, lose your baggage, experience a medical emergency or more.

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Rating Factors

How Much Does Travel Insurance Cost?

Our research team gathered 1,519 quotes using seven unique traveler profiles to understand the average cost of travel insurance. Based on this research, you could pay between $14 and $765 for travel insurance. While this may seem like a wide price range, it’s important to understand that travel insurance is not a “one price fits all” purchase.

Travel insurance provides a range of protection before and during your trip. If you must cancel your vacation for reasons stated in your policy, travel insurance can reimburse you for nonrefundable expenses. It can also help cover medical care and evacuation costs in an emergency. One way to predict your travel insurance cost is to look at your trip cost — most insurance policies cost between 3% and 5% of your total trip cost.

Use the calculator below to get an estimate of your travel insurance policy cost:

Average Cost of Travel Insurance for 2024 (5)

Travel Insurance Cost Calculator

Total Trip Cost

Your Estimate Estimates are based on your trip cost. This is an estimate, NOT an official quote.

Travel Insurance Cost by Total Trip Price

The main factor that affects travel insurance costs is the total price of your trip. The more your trip costs, the more a travel insurance company will need to reimburse you if you file a valid claim. For example, if you’re taking a $10,000 trip to Japan versus a $3,000 trip, you’ll likely pay more for a policy offering the same amount of coverage.

To better understand the cost of travel insurance by trip price, we gathered quotes from multiple providers for a 30-year-old traveler taking a two-week trip to the United Kingdom. The chart below outlines the average policy cost across those quotes for different trip values.

Total Trip CostAverage Policy CostPercentage of Trip Cost
$1,000$515.1%
$2,000$794.0%
$3,000$1133.8%
$4,000$1393.5%
$5,000$1733.5%
$6,000$2343.9%
$7,000$2784.0%
$8,000$3284.1%
$9,000$3574.0%
$10,000$3974.0%
$15,000$6374.2%

Average Travel Insurance Cost by Age

Age is another factor that affects travel insurance costs. Generally, younger travelers may be less likely to file a claim than older travelers since they are often healthier and may not have pre-existing conditions. Due to the higher chance of travel insurance providers receiving a claim from older travelers, plan costs generally increase with age.

We gathered quotes from 20 different providers for a $4,000, two-week trip to the United Kingdom to learn more about how travel insurance costs increase by age. From this data, we found virtually no increase in policy costs for travelers aged 20 to 30 years. However, travelers aged 30 and up saw policy costs increase with age. Based on our research, an 80-year-old will pay 303% more than a 20-year-old for the same policy.

See the table below for a closer look at percent increases for policy costs based on age.

Traveler AgePolicy CostPercentage of Policy CostPercent Increase From 20-Years-Old
20$1393%0%
30$1414%1%
40$1684%21%
50$1835%32%
60$2506%80%
70$3499%151%
80$56114%303%
Average$2566%

Travel Insurance Cost by Number of Travelers

The number of travelers under a travel insurance policy can also affect the total cost.

MARKETWATCH GUIDES TIP

While travel insurance prices increase slightly depending on the number of people, one policy for the entire group is likely cheaper than purchasing a solo policy for every traveler.

We gathered quotes for a $5,000, two-week trip to the United Kingdom for different groups of travelers and found that adding just one traveler to a plan can increase costs by 8.3%, on average. While this is the average increase across quotes from 20 different providers, your costs may differ, as we found plan cost ranges widely varied.

Our research team attributes this extensive cost range to the provider, chosen plan, and whether or not coverage includes children for free. Many providers, such as Travelex, offer plans for travelers 17 years and younger for no additional cost.

See the table below for a closer look at travel insurance costs by number of travelers.

Number of TravelersAverage Policy CostPolicy Cost RangeDifference Compared to Solo Traveler
Solo traveler$176$88–$274$0
Two adults$191$88–$282$15
Two adults and one child$211$105–$326$34
Two adults and two children$224$116–$368$48

Cancel for Any Reason (CFAR) Travel Insurance Cost

Cancel for any reason (CFAR) coverage is usually sold as a travel insurance add-on. A typical travel insurance plan includes standard trip cancellation coverage, which takes effect as long as the reason for cancellation is listed within your policy terms. With CFAR coverage, however, you can cancel your trip for a reason not typically covered by your provider. For example, while your policy may cover an unexpected cancelation due to severe weather, CFAR coverage would allow you to cancel because you no longer want to take the trip.

CFAR coverage typically reimburses 50% to 75% of your prepaid trip costs. However, note that many companies reserve CFAR coverage for comprehensive plans. Because CFAR coverage increases the risk taken on by the insurance provider, it can significantly raise the price you pay for coverage. Costs vary by insurance provider, so gathering quotes across different providers that offer this add-on can help you find coverage that fits your needs.

To better show you what CFAR coverage could cost when added to a policy, we gathered quotes for a 30-year-old traveler taking a two-week, $5,000 trip to the United Kingdom.

Insurance ProviderPolicyPolicy CostPolicy Cost with CFAR CoveragePercent Increase
TravelexTravel Select$230$470104%
Seven CornersTrip Protection Choice$209$29742%
TrawickSafe Travels Voyager$228$460102%
FayeTravel Protection Plan$216$29938%
NationwidePrime$229$470105%
Tin LegGold$191$28750%
Berkshire HathawayLuxuryCare$200$399100%
AIG Travel GuardPreferred$272$38040%
Generali Global AssistancePremium$180$27050%
World TripsAtlas Journey Premier$204$28841%

Factors That Affect The Cost of Travel Insurance

Each travel insurance provider prices its policies using a specific formula and underwriting process. While travel insurance is not a “once price fits all” type of coverage, the primary factors influencing policy pricing were fairly consistent across the companies we’ve reviewed. Take a closer look at some of these factors in the sections below.

Trip Cost

Most insurance providers offer 100% reimbursem*nt for trip cancellation and 150% for trip interruptions. A general rule of thumb when purchasing a policy is the more expensive your trip is, the more expensive your premium will likely be. This is because your travel insurance provider would potentially need to pay more if you file a claim for a covered cancellation or interruption.

Coverage

If you choose a travel insurance policy with multiple protections and higher coverage limits, you can typically expect to pay more for coverage. Extra coverages outside of standard offerings — such as car rental collision coverage or CFAR coverage — can increase your policy premium.

Destinations

Some destinations, notably those in more remote areas, may have less robust medical infrastructures. This increases the likelihood of needing a medical evacuation in the event of an emergency. Because of this, you can likely expect to pay more for travel insurance to a remote destination.

Traveler Age

Older men and women may have medical conditions that impact travel plans, increasing the price of insurance. As previously stated, our research team found that an 80-year-old will pay 303% more than a 20-year-old for the exact same policy. If you’re an older traveler, you can anticipate more for a travel insurance policy.

Trip Payments

The date you paid for your travel can also affect your premium and the type of add-ons available. Buying a policy immediately after booking your trip could save you money and provide a greater protection window for trip cancellation benefits, which usually begin on your plan’s effective date. Alternatively, you can generally expect to pay more for coverage if you paid for your trip weeks or months before shopping for insurance. If you want CFAR coverage, providers may implement timelines for when you must purchase a policy.

How To Save on Travel Insurance

If you’d like to insure your trip but want to keep policy costs low, we recommend shopping around and comparing travel insurance companies and available plans. Many providers allow you to customize your coverage to fit your needs, and one company may offer a similar plan that’s cheaper overall compared to other options.

Customization is another factor to consider when trying to save on travel insurance costs. While you shop, keep in mind what your travel itinerary entails. For example, you might opt out of emergency medical and evacuation coverage if you’re traveling domestically — especially if you have an active health insurance policy through a domestic healthcare provider.

In addition, you can save money by not overinsuring your trip. Consider your health, destination and trip cost when deciding which coverages you need. For instance, if you’re traveling to a remote area without a robust medical system, you may consider purchasing higher medical evacuation coverage than if traveling to an urban area with access to hospitals.

While there are ways to lower travel insurance costs, cheaper coverage is not always better.

“Choosing travel insurance to protect your trip, health and belongings is not usually the time to go bargain basem*nt shopping,” said Angela Borden, a product marketing specialist at Seven Corners. “While any travel insurance is usually better than none, deciding to go with the cheapest plan you can find often comes back to haunt you in an emergency.”

Domestic vs. International Travel Insurance Costs

Typically, international travel can result in spending more on prepaid —and often non-refundable — trip costs. An international vacation can involve more than one flight, and if you choose non-refundable hotels or excursions, you could lose a large amount of money without a travel insurance plan.

However, the more your prepaid expenses, the more your policy will cost you — meaning insurance for an international trip could cost you more than for domestic travel. In addition, many domestic healthcare plans will likely not cover medical care abroad. A plan with emergency medical and evacuation coverage is worth considering while traveling internationally, but it will cost you more than a travel insurance plan without this protection.

According to a Pollfish survey our team conducted in February 2024, 46% of the 1,000 U.S.-based respondents were traveling domestically within the U.S. the last time they bought a travel insurance policy. Many companies sell travel insurance for domestic vacations, which can offer less expensive coverage that’s better suited for this type of trip. For example, the Seven Corners Trip Protection USA plan provides trip cancellation and trip interruption coverage, forgoing emergency medical or air travel benefits. This may be ideal if you’re traveling by car and already have a domestic health insurance plan.

What To Consider Before Buying Travel Insurance

To ensure you select the best travel insurance policy for your individual needs, you can consider the following factors.

Coverage Needs

It is important to consider the type of protection you need while traveling. If your trip spans a few days, you may only need basic trip cancellation coverage, whereas a month-long trip may warrant additional medical coverage. Additionally, consider your health, as many domestic health insurance policies do not cover health care outside U.S. borders. Also, think about any add-on coverage you may need. If you foresee needing to cancel your trip for a reason not covered under policy terms, for example, you may want to invest in CFAR coverage.

Credit Card Travel Insurance

It’s worth calling your credit card company before purchasing a travel insurance plan to see if you already have benefits. Many credit cards, such as the Chase Sapphire Preferred card, offer travel perks such as rental car coverage, trip cancellation protection, trip delay coverage and more. If you’re comfortable with the amount of coverage provided by your credit card, you can reconsider buying a separate travel insurance policy — saving you money you can put toward other travel expenses.

Claims Processes

We recommend you read up on how a provider handles its claims. Can you, as the policyholder, file a claim multiple ways? How quickly does the provider issue reimbursem*nts? Note that some providers allow you to upload required claim documents online, whereas others require you to submit documents through the mail. We recommend speaking to insurance representatives directly to learn more. You can also browse customer reviews from third-party aggregators, such as the Better Business Bureau (BBB) and Trustpilot, to better understand how a provider handles claims.

Do I Need Travel Insurance?

Not every traveler will need a travel insurance policy. Borden, quoted earlier, provides more insight: “There are times when travel insurance might not be worth it — the most common being if you don’t have many, if any, prepaid trip expenses.” She also points out that this could be the case if you’re staying with family and foregoing hotel expenses. “You don’t need to insure trip expenses if they’re already covered by someone else,” she added.

Is Travel Insurance Worth the Cost?

According to the U.S. Department of Transportation, one in five flights experienced a delay in 2023. Travel insurance can help provide coverage if you experience a delay — one of the many scenarios where a policy can be worth the cost. If you need to cancel your trip, experience a trip interruption, lose your baggage or experience a medical emergency abroad, travel insurance can help you recoup some prepaid, nonrefundable expenses.

If you’re looking for peace of mind as you plan your trip, we recommend gathering quotes from multiple travel insurance providers to find coverage that suits your needs and your budget.

Frequently Asked Questions About the Cost of Travel Insurance

Yes, many travel insurance policies consider COVID-19 a covered reason for trip cancellation or delay. Note that providers cover trip interruptions and cancellations caused by the COVID-19 pandemic on the condition that you were healthy when you purchased the policy.

Cancel for any reason (CFAR) coverage allows you to cancel your trip even for reasons not listed in your insurance provider’s policy. If you are worried about illness or general travel or wish to have the flexibility of canceling, CFAR coverage may be worthwhile. Note that this add-on reimburses up to 75% of your trip costs, not the entire amount.

You can expect to pay $35 to $200 per trip, depending on the total trip cost and your age, among other factors. Based on quotes we pulled from five popular providers, the average cost of travel insurance for a $1,000 trip to Cancun, Mexico, for a 35-year-old male is $45.

Yes, trip cancellation coverage may cover 100% of your costs if you cancel your trip for a covered reason, such as illness, a family emergency or military deployment. If you purchased CFAR coverage, you can cancel for any reason but will only recoup around 50% to 75% of trip expenses.

In our review, we found that Travelex’s Basic policies were some of the most affordable on the market. Other affordable travel insurance providers include Nationwide and Faye, which specialize in streamlined online applications and issuance. We recommend getting a quote from each of our recommended providers before buying coverage to ensure you’re getting the best rates.

Additional Travel Insurance Resources

  • Best Travel Insurance Companies of October 2023
  • What Is Travel Insurance? (2023 Guide)
  • 9 Best Travel Medical Insurance Companies of 2023
  • Single-Trip Travel Insurance 2023
  • The 9 Best Senior Travel Insurance Companies of 2023
  • Travel Protection vs. Travel Insurance (2023)
  • 6 Best Group Travel Insurance Companies of 2023
  • Last Minute Travel Insurance: Guide for 2023
  • Should You Buy Travel Insurance for Domestic Vacations in (2023)?
  • Travel Insurance for Pre-Existing Conditions 2023 Guide
Average Cost of Travel Insurance for 2024 (2024)

FAQs

What is a reasonable price for travel insurance? ›

The average cost of travel insurance is about 3% to 5% of a trip's total value, according to quotes gathered by our research team across different travel insurance providers for various traveler profiles.

What is a good amount of travel insurance? ›

Be sure to check for exclusions, including those due to your age or health and pre-existing conditions (such as cancer). You can also choose to add a deductible, which may lower your premium. Good to know: Minimum coverage of $1 million or even more is generally recommended if you're travelling to the United States.

How much in advance should I get travel insurance? ›

The golden rule is to buy your insurance as soon as you book your trip. This move will make you a savvy traveller because it means you're immediately protected against any pre-departure mishaps, like cancellations or health issues that prevent you from travelling.

How far in advance do I get travel insurance? ›

Buy travel insurance as soon as you know your travel dates. That way you're covered if your trip is cancelled before you even leave or if you're unable to travel at all.

Where is the best place to get travel insurance? ›

An award-winning provider
  • Best Travel Insurance Provider. Post Office won a 'Best Travel Insurance Provider' award at the Your Money Awards in 2021, 2022 and 2023.
  • Best Travel Insurance Provider. Post Office won a “Best Travel Insurance Provider” award at the British Travel Awards in 2023.
  • Defaqto 5-star rated cover.

Does travel insurance cover 100%? ›

If all conditions are met, most of the policies will reimburse you 50% to 75% of your trip costs, unless otherwise noted.

What does travel insurance not cover? ›

Most travel insurance policies won't pay out if you're negligent while under the influence of alcohol or drugs, and have an accident or have property stolen.

Do credit cards provide travel insurance? ›

Credit card travel insurance is a benefit included with certain travel credit cards. You'll often see this perk with travel rewards credit cards, such as the Chase Sapphire Preferred® Card, Chase Sapphire Reserve®, or The Platinum Card® from American Express.

How much travel insurance do I need for Europe? ›

Without this coverage, you are responsible for any medical expenses. The average cost of travel insurance is between 5% and 10% of the total price of your trip. This can be worth it for the medical benefits alone when traveling in Europe.

Is 100000 enough for travel insurance? ›

Every plan is different, but the coverage amounts and benefits may vary. Determine how much you really need. For example, SquareMouth recommends international travelers get around $50,000 in Emergency Medical coverage and $100,000 for cruises or travel to remote areas.

Do you buy travel insurance before booking a trip? ›

Relax. You don't have to buy travel insurance in the middle of the booking process. You certainly can, if you just need to insure something simple, like a flight or a weekend getaway. But if you're planning a big trip, it's okay to wait until you've nailed down all the details.

Do I get travel insurance with my bank? ›

For a monthly fee, some current accounts come with other perks besides banking. Travel insurance, breakdown cover and mobile phone insurance are some of the most common ones.

Is it better to buy travel insurance early or late? ›

Purchasing travel insurance isn't mandatory for a good vacation, but it can certainly come in handy if your plans go awry. While it's possible to buy travel insurance up until just before — or even after — you depart, the best time to do so is shortly after you begin booking the trip.

Can I add travel insurance later? ›

The short answer is: It's not too late! You absolutely can buy travel insurance after booking your trip. However, it's always best to purchase insurance as early in the process as possible.

Does travel insurance cover flight cancellation? ›

Cancellation cover is a common inclusion with most standard travel insurance policies, but you can take it out separately if it doesn't offer enough cover. Alternatively, if you only want cancellation cover to protect you against cancelled flights rather than baggage protection, you can get it for that.

What is the cheapest travel insurance for flight cancellation? ›

Compare the Cheapest Travel Insurance Companies
CompanyAverage Plan CostCheapest Plan
Travelex GET QUOTE$212Travel basic
Nationwide Travel Insurance GET QUOTE$175Essential
Seven Corners Travel Insurance GET QUOTE$216Trip Protection Basic
Trawick International GET QUOTE$212Safe Travels Voyager
3 more rows
Apr 2, 2024

Why is USA travel insurance so expensive? ›

Why is travel insurance to USA so expensive? Travel insurance to USA is so expensive because medical care costs are much higher than average for the rest of the world. Since medical claims account for 31% of travel insurance claims, the medical aspect of cover is nothing to be sneezed at.

What are the disadvantages of travel insurance? ›

Important: While travel insurance policies may be more comprehensive than credit card protections, it has limitations. They typically won't cover non-essential medical expenses, high-risk sports or activities, or pre-existing conditions — at least without paying for add-on coverage.

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