If you’re looking forward to getting away this summer, you may be wondering if you should purchase travel insurance. The answer depends on several factors, including the destination, the cost/refundability of the trip, your health, the international coverage provided by your health insurance, your risk aversion, and whether you pay with a credit card that offers travel insurance.
Travel insurance covers three components — your expenses, your well-being and your belongings:
- Expenses: Insurance reimburses for non-refundable costs in case of trip cancellation, delay or interruption, typically for covered reasons. Cancel-for-any-reason policies are more expensive.
- Well-being: Medical coverage usually is not necessary if you are traveling within the U.S. When traveling internationally, all UC health plans cover emergency care and urgent care, but health plans may not provide comprehensive coverage overseas. See UC health plan coverage while traveling below for details. Medical coverage is especially important if you’re traveling to remote destinations where care may be limited, and the cost of evacuation could be $100,000-$200,000.
- Belongings: Airlines are legally required to reimburse you for lost luggage, but it can be difficult to get reimbursement, and travel insurance usually has a higher limit.
Travelers have the option of purchasing travel insurance through a tour or cruise provider or from another insurance provider. Some providers offer annual policies, which can be very cost-effective for travelers who take multiple trips per year.
UC employees and retirees also have the option of purchasing personal travel insurance through the UC Office of the President (UCOP). For travelers who do not need cancellation and belongings insurance, such as those who have adequate coverage by using a credit card to pay for the trip, the UC policies offer an option for medical coverage only at a very reasonable cost.
Travel insurance varies in terms of coverage, limits (plans with higher limits cost more), and exclusions, so it is important to read the policy details. Be sure to ask about coverage for pre-existing conditions. Policies typically do not cover such things as negligence and fear of flying or travel, and supplementary coverage may be necessary for risky activities such as mountain climbing, scuba diving or skydiving.
The value of travel insurance really comes down to your risk aversion and what you can afford to lose. Before making your decision, do your homework, ask questions and decide how much peace of mind is worth to you.
UC health plan coverage when traveling
All UC medical plans cover emergency care and urgent care anywhere in the world, including transport to the nearest emergency room — your deductible will apply. No UC medical plans provide coverage for medical evacuation back to the U.S. or for repatriation of remains.
Most travel insurance provides secondary coverage, requiring you to submit claims to your primary insurance company first. When you’re in a non-English speaking country, try to get the most detailed receipts that you can — and try to get them translated into English. If you cannot get them translated, it can help to speed up reimbursement to translate receipts into English yourself.
If you have a situation that’s urgent but not an emergency while you’re in the U.S., consider visiting an in-network urgent care center or using an advice line or video visit through your health plan. For emergencies, dial 911 or go to the nearest ER.
Here’s more information for specific plans:
- Anthem travel brochure for UC’s plans that are administered by Anthem Blue Cross (CORE, UC Care, UC Health Savings Plan, UC Medicare PPO, UC High Option). Please note that these plans offer a network of preferred providers outside the U.S. — some of whom can bill U.S. insurance.
- UC Blue & Gold HMO (Health Net) travel guide
- Kaiser contracts with certain urgent care centers within the U.S. where they do not have service areas. For more details, visit healthy.kaiserpermanente.org/get-care/traveling
- UC Medicare Choice (UnitedHealthcare) travel brochure
Thank you to Guerren Solbach, UC Davis Health Care Facilitator, and Sue Barnes, a UCLA retiree and coordinator of the UC Retirees Travel program, for contributing to this article.