Several reasons why I do Trip Insurance for all International trips, and some others

[tedtim]

I believe it is a choice that we should all consider. Separate insurance covers different things.

For example, we are covered for lost or delayed luggage through our credit card company. We had to use that a couple of years ago when our luggage was delayed by four days. The airline sucked. I had a check from insurance company for $500 before I even got the forms from the airline. The same credit card provides for the additional insurance on rental cars, but not for trucks, SUV, of 4WD. Heck, we were sure willing to pay the additional $11 a day on a rental truck because we did not have good faith in the drivers,the rental agency (almost felt like ransom for this reason), or road conditions at our destination.

As for trip cancellation insurance, we did not routinely purchase that until my wife's parents started to suffer the ills of old age. Now, she needs the security of being able to get back home without additional cost, or to cancel a trip on short notice because of a serious illness.

As for medical and life insurance, to me it all depends on your personal situation. I carry a bunch of life insurance and have done so for a number of years. When your kids are younger and you are the main income provider in the family, plus you have a mortgage it can be a sensible choice. Now that they are gone, I can reduce the amount to ensure that my wife has enough cash when I am gone to take care of things. The requirement changes over time. For the medical side, purchasing separate insurance for each trip does not make sense in my situation. I am fortunate in that I had medical coverage on my family, and now myself, that I could carry forward when I retired from the military.

NOBODY is correct here. YOUR situation will be different from MINE. If you feel safe playing the odds, the do so. If you feel safe with insurance, then go out and get it.

 

[Tim Ingersoll]

In 26 years of dive trips I always buy the insurance. Twice the weather delayed our trips and no other flights were scheduled to leave until the next day.

My trip to Bonaire next week cost me $120 for 2 people to insure trip for $2200.00. Now if we miss the plane for instance in San Juan we have to wait 24 hours until the next plane. We are paying $200.00 a day in Bonaire so the insurance will pay for itself if something happens.

Last trip my wife fell on a shore dive and was unable to dive for a few days and again it paid for itself.

It is piece of mind and less stress just to purchase the insurance IMHO.

Or you could look at it the other way. I missed the last flight from St. Maarten to Saba last year when the airline coulkdn't get the stairs up to the plance. OMG the horror. I got stuck in St. Maarten for the night. Turned out to be one of the most memorable nights of my life. Fabulous resort, great food and drink, awesome entertainment. Sure it cost me extra money BUT WHAT A NIGHT! Disaster or opportunity? You make the call.

BTW check with your health insurance company. If you have a policy like mine you are covered for medical issues overseas including hyperbaric treatments. Check with your credit card company you probably have lost luggage coverage. DAN covers my gear, luggage and losses due to a diving accident. What exactly does trip insurance cover? Well it arguably would have covered my night at the resort in St. Maarten. But read the fine print on travel interruptions. My guess is there is a disclaimer for delays caused by the airline. When I read the policy offered to me I discovered that the disclaimed situations were more numerous and liekely to occur than the covered ones!

There is no right answer for everyone. Risk tolerance varies from individual to individual. As a scuba diver who also sky dives I guess my risk tolerance is fairly high.

 

[Tim Ingersoll]

Just one other thought. You have been travelling for 26 years. If we assume you took one dive trip per year and insurance cost you $120.00 then you have spent $3,120.00 on trip insurance. I bet if you total your claims its less than what you have spent. The insurance companies always win by playing the odds.

 

[DandyDon]

Just one other thought. You have been travelling for 26 years. If we assume you took one dive trip per year and insurance cost you $120.00 then you have spent $3,120.00 on trip insurance. I bet if you total your claims its less than what you have spent. The insurance companies always win by playing the odds.

Yep, it's true - as I said, even collision insurance on a new car would be a bad idea for the person who pays for the purchase in full. My dad never did collision - just liability, and for him it was right.

For many of us tho, having to pay an extra $1,000 to leave before the storm hits, losing the whole trip because an emergency before we left, being refused extensive medical treatment in another country because we couldn't guarantee payment at the time - altho all rare, the possibility can be more uncomfortable than the $120 payment each time.

Still, I agree: It is a personal judgment to make. This thread was posted in hopes it'd help many more consider the idea more closely, whether they buy the insurance or not. The participation has been admirable, thank you. Many more will read it than the number who posted on it, seeing both sides well presented, and leave with a better understanding...

 

[sasscuba]

Just one other thought. You have been travelling for 26 years. If we assume you took one dive trip per year and insurance cost you $120.00 then you have spent $3,120.00 on trip insurance. I bet if you total your claims its less than what you have spent. The insurance companies always win by playing the odds.

You are right but I am not about to cancel my car insurance nor my homeowners insurance just because I have not had anything bad happen, insurance always wins in the end, that is just the way it is........

 

[redacted]

You are right but I am not about to cancel my car insurance nor my homeowners insurance just because I have not had anything bad happen, insurance always wins in the end, that is just the way it is........

A couple things. Car and home insurance are usually covering large, unaffordable, potential losses and they also tend to operate in a competitive environment with smaller profit margins. Similar thing with life insurance. The value of a home usually makes it prudent to maintain insurance even when it is paid off. Not many folks can simply absorb a multi hundred thousand dollar loss. (some can - I'll bet the White House is not insured) But when the values associated with insured items is low or the loss is affordable, then insurance may not be wise. Like carrying collision insurance on a older car worth only a couple thousand dollars - about the cost of many dive vacations.

 

[Tim Ingersoll]

A couple things. Car and home insurance are usually covering large, unaffordable, potential losses and they also tend to operate in a competitive environment with smaller profit margins. Similar thing with life insurance. The value of a home usually makes it prudent to maintain insurance even when it is paid off. Not many folks can simply absorb a multi hundred thousand dollar loss. (some can - I'll bet the White House is not insured) But when the values associated with insured items is low or the loss is affordable, then insurance may not be wise. Like carrying collision insurance on a older car worth only a couple thousand dollars - about the cost of many dive vacations.

Very nice assessment. BTW thanks to this thread, or better yet thanks to the post above, I now have DAN in my cell phone.