Should You Buy Travel Insurance for Your Spring Break Trip?

Spring break is a great time for R&R, but it's not always easy on the wallet. You might already be spending hundreds or even thousands of dollars on flights, and then there are all the expenses you'll incur at your destination -- hotels, food, rental cars, and entertainment, to name a few.

You might be reluctant to add yet another cost to your holiday travel, but travel insurance could be worth the investment. Below, we'll take a closer look at what it covers and how to decide if it's right for you.

What is travel insurance?

Travel insurance helps reimburse travelers for expenses that arise from unforeseen issues on vacation. Every insurance policy covers different things, but most include at least the following:

• Accidental death and dismemberment coverage: The policy pays out a benefit to the policyholder or their loved ones if the policyholder dies or loses a limb while traveling.
• Baggage loss/delay coverage: This reimburses travelers for the cost of clothing, toiletries, and other essential goods if their baggage is lost or delayed. Most policies only pay out these claims if the baggage is lost for a certain amount of time.
• Emergency medical evacuation coverage: This coverage kicks in if the policyholder is forced to return to their home state or country due to a medical emergency that can't be effectively treated where they are.
• Missed connection coverage: Policyholders may be reimbursed under this coverage if an airline carrier's delays force them to miss a connecting flight to their destination.
• Trip cancellation/interruption coverage: This reimburses travelers for nonrefundable costs if they're unable to go on their trip or are forced to leave early due to a qualifying reason, like the illness or death of a family member or a natural disaster at the destination.
• Trip delay coverage: This pays the policyholder for any nonrefundable costs, like a guided tour, that result from unexpected airline delays as well as any other costs directly related to the delays. Typically, there's a minimum length of time the policyholder must be delayed in order for this coverage to apply.

In addition to the above coverage, many travel insurance providers enable applicants to customize their policy with additional protections. For example, some companies have a Cancel for Any Reason rider that enables policyholders to receive refunds for trip expenses, even if they simply change their mind about going.

But travel insurance doesn't cover everything. Some common omissions include:

• Named storms, if the trip is booked after the storm appears
• Injuries resulting from extreme sports
• Pregnancy-related costs
• Elective medical procedures
• Injuries resulting from drug or alcohol use

For this reason, it's important to read through a sample travel insurance policy before purchasing one. The policy terms often reveal a lot of limitations that the provider's website may not make immediately apparent. These rules could limit the utility of the coverage for some.

How to find the best deal on travel insurance

It's important to have the trip mapped out prior to seeking travel insurance because the trip details affect the cost of the policy. Know the dates and location of the trip as well as the number of travelers and their ages.

Then, get quotes from several top travel insurance companies. Some popular options include:

• Allianz
• Nationwide
• Travel Guard by AIG
• Travelex
• TravelSafe
• World Nomads

Get online quotes and compare their coverage and costs. If a policy is too expensive, see if adjusting the limits or the deductible helps.

Those who already have travel credit cards may want to dig out their cardholder agreements to see what they things cover. Sometimes, they include some of the same protections as travel insurance. If this is the case, a separate travel insurance policy might not be worth the investment.

But for those that decide to buy travel insurance, it's best to do it a little ahead of the trip. Some policy options, like coverage for preexisting health conditions or Cancel for Any Reason coverage, may only be available if purchased several weeks before the trip. If you have any questions about the coverage, reach out to the travel insurance provider for clarification.