Ultimate Guide To Cruise Travel Insurance

Welcome Cruisers!

Yay, you’ve got your cruise booked!

Now’s the time to talk about cruise insurance. I know, I know, it’s not nearly as fun as planning your exciting days on the ocean, but it is vital that you know your options so you make an informed decision as soon as possible after you make the deposit on your cruise vacation.

Cruises offer an awesome and unique travel experience, and with that there are unique circumstances to cover by insurance. Cruise mishaps like missed ports, injuries, severe weather, or the need for medical evacuation happen. Cruise insurance plans ensure you're prepared for these situations.

So, as you are planning to set sail on a fun cruise to explore new destinations, one thing is certain: travel insurance is your ticket to peace of mind. In this comprehensive guide, we'll dive into everything you need to know about cruise and travel insurance, from why it's essential to where to purchase it and what to do if you need to make a claim.

Why Purchase Cruise Travel Insurance?

Generally speaking, insurance is intended to assist you when the unexpected happens. Whether it's an unexpected illness or a family emergency, having cruise insurance can save the day and your finances.

 A cruise vacation is a substantial financial investment for most people. Travel insurance helps you protect that investment in case of unexpected events and mishaps.

Coverage is offered for many of life’s curveballs that you may not have even thought could happen-but do. Events like ship or airplane mechanical issues, change in work or school schedule, or an unplanned surgery can derail your cruise vacation.

 From cancellation prior to the start of your cruise to interruption during your cruise, travel insurance can provide a safety net and peace of mind.

Please remember that I may receive a commission when you click on my links to make a purchase. This, however, has no bearing on my content, reviews and comparisons. I will do my best to keep things fair and balanced to assist you in making the best decision for you.

Types of Cruise Travel Insurance

When it comes to travel insurance, there are several types of coverage to consider:

Trip Cancellation: Travel insurance for cruises offers a valuable shield against the uncertainties of last-minute cancellations, providing a safety net for unexpected situations that could disrupt your travel plans. This coverage is particularly crucial for cruise-goers as it can offer peace of mind and financial protection in case unforeseen events force you to alter or cancel your trip.

Reimbursement coverage for last-minute cancellations on a cruise is a lifeline that can mitigate the financial impact on travelers facing unexpected circumstances.

Trip Interruption Insurance: Trip interruption coverage reimburses you for non-refundable trip costs if you need to cancel or cut short your trip due to covered reasons. For example, if you are a first responder and you are called to duty during your cruise, the travel expenses could be reimbursed.

Flight Delays and Cancellations:

Flight delays and cancellations are common travel issues. Travel insurance can reimburse you for missed connection and travel expenses, such as meals and hotels, incurred due to delayed and cancelled flights, ensuring your journey remains as smooth as possible.

Baggage and Personal Effects Insurance: Offers protection for lost, stolen, or damaged luggage and personal items. If your luggage containing valuable items gets lost during your journey, this insurance would compensate you for the lost items or help cover the cost of replacing them.

Emergency Medical and Dental Insurance: Covers medical and dental emergencies that occur while traveling. For instance, if you develop a sudden toothache during your cruise and need emergency dental treatment, this insurance would cover the expenses of the dental care received.

Medical Evacuation Insurance: Provides coverage for emergency medical transport to a suitable medical facility in the event of a serious illness or injury. For example, if you suffer a severe injury while on a shore excursion during your cruise and require airlift to a specialized medical facility, this insurance would cover the expenses of medical evacuation.

Cancel For Any Reason: Cancel for any reason (CFAR) travel insurance offers the ultimate flexibility by allowing you to cancel your travel plans for reasons that may not be covered by standard trip cancellation insurance, such as change of mind or fear of traveling. With CFAR coverage, you can reclaim a significant portion of your prepaid trip expenses, providing added peace of mind and freedom to adapt to unforeseen circumstances. For example, if you have a pet that falls ill and you need to be home to care for it, you could use CFAR to cover if you choose to cancel your vacation.

Cancel For Any Reason (CFAR) insurance policies can reimburse you either in original form of payment or credit (typically cruise line insurance offerings). Please check the policy to be sure of which method of reimbursement you will receive.

Note that CFAR is a specific type of insurance that is NOT included in all policies. Please be sure to check the specifications of the policy you are interested in to be certain that this coverage is included.

Annual Policies: If you travel frequently, you may want to look into an annual travel insurance policy. This can save you money by paying only one premium per year.

What Cruise Travel Insurance Covers

Travel insurance provides comprehensive protection. It is not just for health-related issues. It can cover events such as job loss, supplier bankruptcy, pregnancy complications, hurricanes, jury duty, and more.

Remember, your regular health insurance may not cover you outside the United States. Medicare does not provide coverage outside of the United States.

Sometimes, even if your health insurance does cover outside of the U.S., it may not be primary medical coverage. Which means that you will need to pay out-of-pocket now and submit the information to your insurance company for reimbursement.

The United States government does not pay your medical bills. The State Department can assist you in finding a medical provider in a foreign country but they will not assist you financially.

If you need to visit the medical center aboard the cruise ship, they will typically charge your shipboard cabin-not your health insurance, for any services/products they provide.

Another factor to consider is that in many countries, hospitals require substantial down payments before treatment. Many travel insurance policies acts as primary coverage, filling in the gaps.

Before you leave the country, it is a good idea to call your health insurance provider and ask about the specifics of your plan.

Examples of Why You May Need Coverage

Example: You've been dreaming of your upcoming cruise for months, but a sudden illness forces you to cancel your trip at the last minute. You call the cruise line only to discover you are within the penalty period. Without travel insurance, you could be facing significant financial losses.

Example: You've been eagerly anticipating visiting a specific port of call, but due to bad weather, the ship can't dock. Travel insurance can help compensate for the non-refundable missed excursion costs.

Example: You unexpectedly lose your job can no longer afford your cruise plans. Travel insurance may provide financial security in such scenarios.

Example: You break a bone or experience sudden appendicitis while cruising, and the foreign hospital demands a significant payment upfront. Travel insurance can assist in the coordination of payment.

Example: Your connecting flight is delayed, causing you to miss the cruise departure, travel insurance can cover the costs associated with catching up to the ship at the next port of call.

Example: A supplier files bankruptcy, travel insurance can provide coverage for the portion of the vacation that is no longer available.

Where to Purchase Travel Insurance

When it comes to purchasing travel insurance, you have many reputable companies to choose from such as Allianz, Travelex, and TravelInsured.

One way to compare coverages and premiums is to utilize comparison websites like Squaremouth or InsureMyTrip. Once you enter your vacation information, they provide information from several insurance companies that you can view at once.

There are even some travel insurance companies that are now offering policies specifically for cruises. Nationwide is one company offers cruise specific policies.

Cruise Line Insurance: Many cruise lines offer their own insurance plans, but be sure to compare them with third-party options.

Sometimes, the insurance that is offered through the cruise line does not provide coverage for pre or post cruise travel or bankruptcy of the vendor. They also tend to offer cancellation reimbursement as a percentage of the total paid and in the form of credit rather than in the original form of payment.

Although it is convenient to just purchase the insurance when you purchase your cruise, be sure to do your comparison shopping so that you receive that plan that is most comprehensive for your money.

Annual Plans: Allianz, AIG, and Trawick International offer annual travel insurance plans.

When to Purchase Cruise Travel Insurance

The best time to purchase travel insurance is at the time you make a deposit or purchase the first component of your vacation.

Some insurance companies only offer coverage for pre-existing conditions or cancel for any reason coverage if the policy is purchased within the first 7-14 days after deposit.

This does NOT mean you shouldn’t purchase travel insurance after this period of time has elapsed.

Travel insurance can usually be purchased up to the time of travel. However, the coverages typically change from cancellation to interruption and medical.

Always read through the policy for detailed information about coverages and exclusions.

How Much Does Cruise Travel Insurance Cost?

The cost of travel insurance can vary depending on several factors, including your age, trip duration, destination, coverage limits, and pre-existing conditions. To give you an idea, here are some sample quotes for different trip scenarios:

7-day Caribbean cruise for a 25-year-old with a total trip cost of $3500: $77 – $150

7-day European cruise for a 35-year-old couple with a total trip cost of $4000: $150- $250

7-day Caribbean cruise for a family of 4 with 2 adults age 45 and 2 children with a total trip cost of $10,000: $250-$450

How To Calculate Trip Cost For Cruise Travel Insurance

Before purchasing travel insurance, it's important to calculate your total trip cost. The trip cost for travel insurance is all pre-paid, non-refundable travel arrangements made. This includes cruise fare, flights, accommodations, excursions, and other pre-paid expenses.

Additionally, be sure to disclose any pre-existing medical conditions to ensure you have adequate coverage.

If you have any issues deciding what expenses to include or how to calculate the total vacation cost, contact the insurance company directly and they will be able to guide you through the process.

It is important to have this information correct so in the event of a claim, you have the correct coverage.

Example: Let's say you've booked a 10-day Mediterranean cruise for $3,000 per person. Your total trip cost for a family of four would be $12,000. If you need to cancel your trip due to a covered reason, such as a death in the family, and you've purchased trip cancellation/interruption insurance, you would be reimbursed for the non-refundable trip costs, protecting your investment.

Example: You experience a medical emergency during your cruise and require medical evacuation, having the right insurance coverage ensures you receive the necessary care without worrying about exorbitant expenses.

Example: There is a hurricane that makes your post-cruise hotel uninhabitable, so you decide to fly home instead of staying in the port city. The cost of your hotel and any non-refundable tours could be reimbursed.

What to Look for in a Policy

When reviewing travel insurance policies, be sure to pay attention to coverage limits, exclusions, and conditions.

Additionally, research customer reviews and ratings to gauge the reliability and quality of the insurance provider. Look for policies that offer 24/7 assistance services for emergencies and claims support.

Comparing policies is a great way to be certain that you are making an informed decision about your specific needs.

This is especially important when looking at the insurance coverage that a cruise line offers.

What to Do If You Have a Claim

In the unfortunate event that you need to make a claim, here's what you should do:

Contact Information: Reach out to the travel insurance company's claims department as soon as possible.

Documentation: Keep all of your receipts, bills, and communications. These documents are crucial to having proof of your claim.

Claims Process: Follow the step-by-step process outlined by the insurance provider, including providing necessary documentation and adhering to any deadlines.

Follow-Up: Stay informed throughout the claims process and follow up as needed to ensure a timely resolution.

FAQ

Is travel insurance necessary for a cruise vacation? Absolutely! Travel insurance provides essential protection against a wide range of unforeseen circumstances that can disrupt your cruise experience.

What does travel insurance typically not cover? Travel insurance typically does not cover some pre-existing medical conditions, extreme sports or activities, or acts of war or terrorism. Be sure to review the policy details for specific exclusions.

Can I purchase travel insurance after booking my cruise? Yes, you can usually purchase travel insurance up until the day before your trip departure. However, it's recommended to purchase it as soon as possible to ensure you have coverage for any unforeseen events that may arise.

Does travel insurance cover COVID-19-related issues? Many travel insurance policies now offer coverage for COVID-19-related issues, including trip cancellations, medical expenses, and emergency evacuations. Be sure to review the policy details for specific coverage related to the pandemic.

Can I cancel my trip for any reason with travel insurance? Some travel insurance policies offer “cancel for any reason” coverage as an optional add-on. This allows you to cancel your trip for reasons not covered by standard trip cancellation insurance, such as change of mind or fear of traveling.

 What's the difference between travel insurance and regular health insurance? Regular health insurance may not cover international travel or provide primary coverage outside the United States. Travel insurance is designed to fill these gaps.

 How do I choose the right travel insurance for my cruise? To find the best policy, consider your trip's cost, the level of coverage you need, and your individual circumstances. It's advisable to compare multiple options.

 What should I do in case of an emergency during my cruise? In case of an emergency, contact your insurance provider immediately. They will guide you on how to proceed and what is covered under your policy.

Common Objections

I deserve this vacation and I'm going no matter what: Although you may feel that way when you book, there are situations that may cause you to change your mind.

My credit card offers insurance on my purchases: Please double check what the coverages are and compare with travel insurance. Many times it is a very limited amount of coverage.

I'm healthy, I don't need insurance: Travel insurance not only covers your health but it covers if a close family member would become ill. It also covers for other events such as natural disasters and travel delays.

My health insurance covers me outside of the United States: Please check to see if it covers you as primary insurance and the coverage limits to compare with travel insurance. If you are covered, check to see if the coverage is primary (they will pay the provider) or secondary (you pay the provider and the insurance company reimburses you).

I got a great deal on this cruise and I won't be out much if I have to cancel: Travel insurance is not just for cancellation. It covers for medical emergencies, lost or stolen personal items and baggage delays.

Tips

When travel insurance asks for your destination, choose the first international port of call.

Example: Your cruise is roundtrip from Miami and goes to Cozumel, Mexico; Roatan, Honduras; and Nassau, Bahamas. You will enter Mexico as the destination.

When entering the dates for your vacation, enter the date you leave your home and the date that you return home. This may be different from your actual cruise dates.

Example: Your cruise is from April 3-10, but you are leaving on April 2, to fly to Miami to stay for the night before your cruise and you are staying in Miami for 2 days after your cruise to visit friends then flying home on April 12th. You would enter your travel dates as April 2-12.

If you are traveling with people who live in another state or are traveling different dates than you, they will most likely need to purchase a separate plan. Contact the travel insurance provider for specific details.

The deposit date is the date that you made the first booking for this vacation.

Example: You booked your cruise on February 3 with a $99 non-refundable deposit and purchased your airfare on February 17th. Your deposit date is February 3.

If you need ideas of what Caribbean islands to visit on your next cruise, check out my article, Ultimate Guide to Top Caribbean & Bahamas Cruise Ports 2024.

Policy Levels

Most travel insurance companies will have more the one level of policy available with additional products you can add-on to meet your needs.

A travel insurance company may have different plans and plan options, from a basic level that has smaller benefit amounts to a premium policy level that offers higher benefit amounts.

The other difference in plans can be the amount of time for a flight or baggage delay before coverage begins. For example, a basic plan may cover a flight delay if it is longer than 8 hours, while a premium plan may cover a flight delay if it is longer than 3 hours.

Extreme Sport Add-on: If you are planning to sky dive, bungee jump, participate in bullfighting or any other extreme sport, there are add-on policies for coverage. Please check the specifics on the policy or contact the insurer to see whether the activity you are planning is covered.

Pet Insurance Policy: Some insurance companies are beginning to offer coverages for pets. For example, Faye offers a pet travel insurance policy.

The best advice is to compare policies and coverages to be certain that you know what you are getting in your policy. When you have questions, reach out directly to the insurance company to get the most accurate information.

Travel with Peace of Mind

 Cruise travel insurance plans are your safety net for a worry-free vacation experience. Whether you're cruising the Caribbean or exploring exotic destinations, having the right coverage can make all the difference. So, before you set sail on your next adventure, be sure to secure travel insurance and enjoy peace of mind every step of the way. Safe travels and remember, we are with you from Shore To Cruise!

Disclaimer:

Please note that the information provided in this article is for general informational purposes only and should not be construed as professional advice. While every effort has been made to ensure the accuracy and reliability of the information presented, I am not an insurance agent, and this article does not constitute legal or financial advice.

Travel insurance policies vary widely in coverage, terms, and conditions, and the specifics of what is covered and to what extent are determined by the insurance company and the policy purchased. Claims processes and coverage limits may also differ depending on the individual circumstances and the policyholder's chosen coverage.

For specific details regarding coverage, exclusions, limitations, and claims procedures, it is recommended to contact an insurance company directly or consult the policy documentation provided by the insurer. It is essential to carefully review and understand the terms and conditions of any travel insurance policy before purchasing to ensure it meets your individual needs and requirements.