The cost of travel insurance is based on a range of factors, each of which travel insurance companies consider when determining premiums. While the state you live in can play a role in how much you pay for coverage and which plans are offered to you, travel insurance premiums are mostly based on factors like the age of travelers, the destination being visited, the length of the trip, and the total trip cost.
Once you start shopping for travel insurance, you'll also notice most companies offer basic plans with minimal coverage, mid-tier travel insurance with more generous benefits, and premium plans. Ultimately, this means you could pay different premiums with the same provider, depending on whether you want only essential travel insurance coverage in place, or you prefer a plan with higher policy limits and all the bells and whistles included.
As we analyzed quotes from the best travel insurance companies on the market today, we found the average costs of travel insurance could be as low as 4% and as high as 11% based on trip cost alone. We also found that less expensive trips were more expensive to insure, and that older travelers paid much higher premiums than their younger peers.
How much does travel insurance cost on average?
The average cost of travel insurance varies widely based on the cost of the trip, the age of the travelers, how many travelers are in your traveling party, and the plan you choose. In order to determine the basic costs of these plans and provide an overview of average premiums, we got travel insurance quotes for a wide range of plans using the comparison site Squaremouth.com.
Travel insurance premiums by trip cost
To determine average travel insurance premiums by trip cost, we retrieved quotes for a 14-night trip to Costa Rica in January of 2024 for two 30 year old adults. From there, we compared pricing across 16 different travel insurance policies from AXA Assistance USA, Generali Global Assistance, HTH Travel Insurance, Tin Leg, Travelex, and WorldTrips.
| Total trip cost | Average travel insurance premiums | % of trip expense |
|---|---|---|
$1,000 | $108.81 | 11% |
$2,500 | $152.41 | 6% |
$5,000 | $224.72 | 4% |
$10,000 | $414.05 | 4% |
As you can see from the chart above, the average cost of insuring a $1,000 trip works out to around 11% of the required premiums, whereas the percentage of the trip cost goes down for more expensive trips of at least $2,500 and up to $10,000.
Travel insurance premiums by age
We also compared travel insurance premiums by age, after receiving quotes for a 10-night solo trip to Italy in March of 2024, with a total trip cost of $5,000. For this specific selection of quotes, we analyzed ten different travel insurance plans from Aegis, AXA Assistance USA, Berkshire Hathaway Travel Protection, Generali Global Assistance, IMG, Nationwide, Seven Corners, Tin Leg, Travel Insured, and Trawick International.
| Age of traveler | Average travel insurance premiums | % of trip expense |
|---|---|---|
20 | $178.22 | 3.5% |
30 | $177.72 | 3.5% |
40 | $223.67 | 4% |
50 | $240.58 | 5% |
60 | $338.66 | 7% |
70 | $437.92 | 9% |
80 | $690.94 | 14% |
As you can see, younger travelers get access to more affordable plans overall, whereas older travelers pay a higher percentage of their total trip costs in travel insurance premiums. Also note that the biggest jump in premiums for travelers starts at age 60, but that the difference in premiums from ages 20 to 30 (and even up to age 50) isn't substantial.
Travel insurance premiums by number of travelers
The number of travelers needing coverage will also play a role in how much travel insurance premiums cost, yet adding another person to your plan won't double your costs.
To get an idea of the average travel insurance premium by number of travelers, we retrieved quotes from Squaremouth for a seven-night trip to Mexico in January of 2024, with a total trip cost of $4,000. From there, we compared pricing across various plans from Aegis, AXA Assistance USA, Berkshire Hathaway Travel Protection, Generali Global Assistance, IMG, Nationwide, Seven Corners, Tin Leg, Travel Insured, and Trawick International.
| Travel group | Travel insurance cost |
|---|---|
1 adult (age 40) | $187.23 |
2 adults (age 40) | $209.19 |
2 adults, 2 children (ages 8 and 10) | $224.54 |
As you can see, adding a second adult to a travel insurance plan only makes the one-person plan cost of $187.23 increase by $21.96. Meanwhile, adding a second adult and two children only increases the average plan cost by $37.31.
Travel insurance premiums by plan
The plan you choose from a travel insurance provider will also play a role in the premiums you're asked to pay. This is because individual travel insurance companies typically offer several unique plans to suit different needs, from basic to premium or luxury plans. The example travel insurance premiums shown below are for a 14-night trip to Costa Rica in January of 2024, for two 30 year old adults.
| Company | Plan | $1,000 trip | $2,500 | $5,000 | $10,000 |
|---|---|---|---|---|---|
AXA Assistance USA | Silver | $94 | $120 | $148 | $258 |
AXA Assistance USA | Gold | $122 | $156 | $192 | $306 |
AXA Assistance USA | Platinum | $146 | $184 | $228 | $366 |
Generali Global Assistance | Standard | $80.34 | $130.90 | $215.22 | $383.82 |
Generali Global Assistance | Preferred | $116.70 | $168.96 | $256.08 | $430.38 |
Generali Global Assistance | Premium | $147.04 | $213.58 | $324.42 | $546.12 |
HTH Travel Insurance | TripProtector Economy | $103.80 | $125.66 | $181.46 | $347.93 |
HTH Travel Insurance | TripProtector Classic | $128.39 | $154.92 | $223.31 | $432.70 |
HTH Travel Insurance | TripProtector Preferred | $170.74 | $206.68 | $299.20 | $581.95 |
Tin Leg | Adventure | $180 | $248 | $364 | $654 |
Tin Leg | Gold | $46 | $104 | $184 | $382 |
Tin Leg | Luxury | $118 | $188 | $304 | $600 |
Travel Basic | $46 | $96 | $156 | $300 | |
WorldTrips | Atlas Journey Economy | $52 | $92 | $150 | $294 |
WorldTrips | Atlas Journey Preferred | $86 | $112 | $166 | $334 |
WorldTrips | Atlas Journey Premier | $104 | $138 | $204 | $408 |
What factors determine travel insurance cost?
A range of important factors influence how much you'll be asked to pay for travel insurance, as we have shown above. For example, the age of the travelers on a plan seems to influence the cost the most, yet the total cost of a trip and the length of a trip can also play a role in premiums. The specific plan chosen will also impact travel insurance premiums. For example, premium plans with more coverages and higher policy limits cost more than basic plans overall.
Also note that select add-ons you purchase as part of a travel insurance plan can make the trip cost go up significantly. For example, adding cancel for any reason (CFAR) coverage to a travel insurance plan will make the premium increase sharply. However, CFAR coverage lets travelers cancel a trip for any reason at all, then get between 50% and 75% of their prepaid, nonrefundable travel expenses back, depending on the plan.
Other add-ons that can make travel insurance more expensive include coverage for pre-existing medical conditions, optional higher coverage for medical expenses, and auto rental coverage, when not already included in a plan.
Types of travel insurance
The types of coverage included in a travel insurance plan can also impact cost, mostly because some providers include additional coverages others do not. That said, here's a rundown of the basic types of travel insurance you'll want to look for in a plan.
Trip cancellation insurance
Trip cancellation insurance helps you get your nonrefundable, prepaid trip costs back when a trip must be canceled before you depart. This coverage could benefit you if one of your travel companions becomes gravely ill before you leave on your trip, or if a natural disaster makes your travel destination dangerous or uninhabitable. Most trip cancellation policies are worth up to 100% of the prepaid trip cost, although plans vary.
Trip interruption insurance
Trip interruption insurance comes into play when a trip must be interrupted or cut short after it starts. This coverage can be useful when you or a travel companion becomes sick or injured after you've already departed on your trip, or if civil unrest in one of your travel destinations has made it unsafe to continue.
While trip interruption plans vary, most let you get up to 150% and sometimes 175% of your prepaid expenses back. This coverage can help you get home, but it can also reimburse you for airfare, hotel stays, tours, and more.
Trip delay coverage
Trip delay coverage helps you get reimbursed for expenses you have to cover when a trip is delayed for reasons beyond your control. If your flight's departure is delayed until the next morning and you have to pay for dinner and a hotel stay, for example, that's a scenario where trip delay coverage would apply.
Note, however, that trip delay coverage typically kicks in after your trip is delayed three to 12 hours. Coverage usually comes with a per-day maximum and a total maximum as well. For example, you may get trip delay coverage worth up to $2,000 with a $250 daily limit in place.
Emergency medical expense protection
One of the main reasons to get travel insurance is to have coverage for emergency medical expenses when you're away from home and your own health insurance plan doesn't apply. This coverage can pay for emergency medical expenses (and not routine care), including hospital visits, doctor bills, surgery, and more.
Due to the high costs of emergency medical care around the world, many travel insurance plans offer $50,000 to $250,000 in coverage for emergency medical expenses or more.
Emergency evacuation coverage
Emergency evacuation and transportation coverage typically comes in high limits of $100,000 all the way up to $1 million, and for good reason. This insurance protection can pay for the incredibly high costs of emergency medical evacuation in a helicopter, as well as medically supervised transportation to your home country if you become gravely ill.
Some evacuation plans even include coverage for a travel companion to accompany you, although terms apply and limits for this additional coverage vary.
Baggage delay insurance
Baggage delay insurance is, not surprisingly, meant to help you get reimbursed for incidental expenses when your bags are delayed. This coverage typically comes with fairly low limits of around $200 or $500, and it can pay for toiletries, clothing, and other essential supplies you have to purchase while you wait for your bags. Note that most baggage delay plans require your luggage to be delayed at least 12 hours (and sometimes 24 hours) before coverage kicks in.
Lost luggage reimbursem*nt
Lost luggage reimbursem*nt can provide financial relief when your bags and your belongings are lost or stolen while in transit. These plans typically have total limits of $2,000 to $5,000, and separate limits for high-value items can also apply.
Note that a baggage delay claim could ultimately turn into a lost luggage claim after enough time has gone by. According to the U.S. Department of Transportation, the majority of airlines will declare a bag lost between five and 14 days after a flight has taken place.
How to get travel insurance
Here's a list of all the different ways you can secure this important coverage.
- Comparison sites: Use sites like Squaremouth and InsureMyTrip to compare travel insurance pricing across multiple providers and plans in one place. Using a comparison site is a great way to save time and money, since you only have to enter your information once.
- Credit cards: Some of the best credit cards for travel offer benefits like trip cancellation and interruption insurance, trip delay coverage, baggage delay insurance, and lost luggage reimbursem*nt. Just remember that credit cards typically do not offer adequate coverage (or any coverage) for emergency medical expenses.
- Travel agents: Work with a travel agent to determine your travel insurance needs and which plans might work best. This source for coverage can work well if you want to speak with a professional about your options before you buy.
- Travel insurance companies: You can buy travel insurance directly from companies like AXA Assistance USA, Generali Global Assistance, and Travelex. Most providers make it easy to compare plans and get a free quote online, and all you have to do is answer some basic questions about your trip.
- Travel providers: Airlines and cruise lines also offer their own travel insurance products, typically when you purchase travel from them. However, their plans tend to be basic, and they don't give you the chance to shop around.
Frequently asked questions (FAQs)
What is usually covered by travel insurance?
Most travel insurance plans include coverage for emergency medical expenses, emergency medical evacuation, trip cancellation, trip interruption, travel delays, and lost or delayed baggage.
Is it a must to have travel insurance?
The majority of travel destinations do not require travel insurance for entry, but that doesn't mean you don't need it. While travel insurance can make your trip cost 4% to 11% more on average, not having this coverage can leave you financially vulnerable if you become sick or injured during your trip, or another travel mishap takes place.
What are the disadvantages of travel insurance?
The only real downside of travel insurance is cost. Typically, buying travel insurance will make your vacation cost between 4% and 11% more.
What is not covered in travel insurance?
Make sure to read over your travel insurance policy to check for exclusions. Common instances not covered by these plans include acts of war, non-emergency medical care, losses caused by dangerous activities, medical expenses related to pre-existing conditions (when a waiver is not in place), and more.
