Average Cost of Travel Insurance in April 2024 - NerdWallet (2024)

According to NerdWallet analysis, the short answer to “How much does travel insurance cost?” is that it’s typically 7% of your overall trip cost. For example, travel insurance will cost you an additional $70 (roughly) for a $1,000 trip.

However, depending on your provider, travel insurance costs can range from 4%-16% of your trip cost. That means for that $1,000 trip, you might find coverage for as little as $40 or up $160 on the high end.

Costs vary across providers, level of coverage and factors like your age and destination. Let’s take a look at the different types of travel insurance, what influences its cost and the average cost of travel insurance.

Average cost of travel insurance by trip cost

The Nerds dove deep into over 50 real world coverage price points to get a clearer sense of typical travel insurance costs in 2024.

On average, travelers should expect to pay 6.87% of their total trip cost for travel insurance. The minimum you might expect to pay is 4.15%, but it can go as high as 15.8%.

Estimated trip cost

Average travel insurance cost across ages, depth of coverage and providers

Average travel insurance cost as % of trip cost

$500

$60.27.

12.05%.

$1,000

$72.74.

7.27%.

$1,500

$105.43.

7.03%.

$2,000

$112.60.

5.63%.

$3,000

$185.44.

6.18%.

$4,000

$225.22.

5.63%.

$5,000

$264.20.

5.28%.

$7,500

$460.52.

6.14%.

$10,000

$599.63.

6.00%.

$15,000

$1,016.56.

6.78%.

$20,000

$1,308.69.

6.54%.

$30,000

$1,688.50.

5.63%.

$40,000

$2,897.31.

7.24%.

$50,000

$4,410.48.

8.82%.

How did we determine these ballpark travel insurance prices?

We broke it down by looking at four individual providers' cheapest basic plan and most expensive basic plan for two traveler age demographics: a 30 year old and a 60 year old.

The Texas-based travelers are taking a 10 day trip to Florida in the summer. Included providers in our analysis were:

According to the U.S. Travel Insurance Association, a national association of insurance carriers, the amount you can expect to pay for travel insurance will vary between 4% to 8% of your overall trip. This falls in the general range of our analysis, too.

If your vacation was $5,000, you’d be looking at somewhere between $200 and $400 for insurance. NerdWallet findings corroborate this range, with the average travel insurance cost for a trip at this price point being about $350.

Of course, as we describe below, the type of coverage you choose can greatly affect the cost of your insurance.

» Learn more: What does travel insurance cover?

Factors that affect travel insurance cost

So, how much is travel insurance? Several factors will influence the cost, like:

  • Type and extent of coverage.

  • The length of your trip.

  • Your destination.

  • The age of the policyholder.

  • Total trip cost.

Let’s say that you chose to purchase an insurance policy to cover any health care expenses you incur while traveling. This will reimburse you in the event you need to see a doctor, require hospitalization or have a variety of needs related to health care.

However, let’s say that you also chose to insure some of your trip costs; this means that, if need be, the policy will reimburse you for nonrefundable trip costs in case of a covered event. This will drive up the price of your policy overall.

Another factor that will affect the cost of your travel insurance is the coverage limits of your policy. These limits dictate how much you’ll be reimbursed in the event you need to use your insurance; the higher the amount, the more expensive your insurance.

» Learn more: The best travel insurance companies

More example costs of travel insurance

Here are some sample costs of travel insurance for a seven-day trip in the United States for two travelers ages 34 and 36. Full trip costs are estimated to be $2,000, and trip bookings have yet to be paid in full.

Policies include trip interruption coverage, travel delay coverage (up to $500) and emergency medical coverage.

Provider

Plan

Policy cost

Percent of total trip cost

Trawick International

Safe Travels Voyager.

$72.70.

3.6%.

Seven Corners

RoundTrip Choice.

$152.

7.6%.

Generali Global Assistance

Standard.

$81.08.

4.1%.

Travelex

Travel Select.

$112.

5.6%.

Types of travel insurance

In addition to the cost of travel insurance, we also need to talk about the different types of travel insurance. This is because the price you’ll pay will depend on the insurance you choose. Some policies — like those that allow you to cancel for any reason — can be more expensive than other, more limited, policies.

Common types of travel insurance include:

Different types of insurance will cover various things. Trip cancellation insurance, for example, will allow you to recoup a portion of nonrefundable costs when you’re forced to cancel your trip for a covered reason.

How to buy travel insurance

It’s simple to purchase travel insurance; you’ve probably seen dozens of ads for insurance whenever booking a flight or rental car.

However, it’s a better idea to get multiple quotes for policies. Insurance policy aggregators, such as Squaremouth, allow you to search a variety of different providers at once. You can then compare the coverage and price of each policy before choosing one that suits your needs.

» Learn more: What to know before buying travel insurance

Credit cards with travel insurance

If you’re looking into purchasing travel insurance, you may want to check which credit card you’re using to book your trip. Many of today’s popular travel credit cards offer complimentary travel insurance.

🤓Nerdy Tip

Cards such as the Chase Sapphire Preferred® Card offer primary rental car insurance; this means that the card will pay for any covered damage so that it doesn’t pass on to your personal insurance policy.

The types of insurance and total coverage vary according to the card, so you’ll want to check your individual policies.

Common coverage includes trip delay insurance, lost luggage insurance, rental car insurance and emergency medical insurance.

Popular cards that provide these types of coverage include:

  • Chase Sapphire Preferred® Card.

  • Chase Sapphire Reserve®.

  • Capital One Venture X Rewards Credit Card. (Benefits may change over time.)

  • The Platinum Card® from American Express. Terms apply.

  • United℠ Explorer Card.

In order to qualify for coverage, you’ll want to use your card to pay for any trip costs, including your airfare, lodging and rental cars.

The amount you’ll be reimbursed varies widely depending on which card you hold. For instance, the Chase Sapphire Preferred® Card provides coverage for up to $10,000 per person and $20,000 per trip for prepaid, nonrefundable travel expenses for covered trip cancellations.

Chase Sapphire Preferred® Card

NerdWallet Rating

5.0

Annual fee

$95

Apply now
Read Review

These include airfare, accommodations and even tours.

The United℠ Explorer Card, meanwhile, offers far less coverage at just $1,500 per person and $6,000 per trip.

United℠ Explorer Card

NerdWallet Rating

5.0

Annual fee

$0 intro for the first year, then $95

Apply now
Read Review

Of course, your trip will need to fall under covered circ*mstances, including sickness and severe weather.

» Learn more: Does my Chase credit card have travel insurance?

Cost of travel insurance recapped

It can make sense to purchase travel insurance, especially if you’re unsure about your vacation or worried about incurring expenses you can’t afford. Before buying a policy, you’ll first want to decide what type of insurance you’re looking to buy; some types of coverage cost much more than others.

You’ll also want to check to see if your credit card already provides complimentary travel insurance. Many popular travel cards offer this feature, though the limits may be lower than you might prefer.

Finally, do your homework before buying a policy. Gather quotes from multiple companies before making a decision, and remember the average price of trip insurance ranges from 4% to 8% of your total vacation costs.

For Capital One products listed on this page, some of the above benefits are provided by Visa® or Mastercard® and may vary by product. See the respective Guide to Benefits for details, as terms and exclusions apply.

How to maximize your rewards

You want a travel credit card that prioritizes what’s important to you. Here are our picks for the best travel credit cards of 2024, including those best for:

  • Flexibility, point transfers and a large bonus: Chase Sapphire Preferred® Card

  • No annual fee: Bank of America® Travel Rewards credit card

  • Flat-rate travel rewards: Capital One Venture Rewards Credit Card

  • Bonus travel rewards and high-end perks: Chase Sapphire Reserve®

  • Luxury perks: The Platinum Card® from American Express

  • Business travelers: Ink Business Preferred® Credit Card

Average Cost of Travel Insurance in April 2024 - NerdWallet (2024)
Top Articles
Latest Posts
Article information

Author: Chrissy Homenick

Last Updated:

Views: 5333

Rating: 4.3 / 5 (54 voted)

Reviews: 85% of readers found this page helpful

Author information

Name: Chrissy Homenick

Birthday: 2001-10-22

Address: 611 Kuhn Oval, Feltonbury, NY 02783-3818

Phone: +96619177651654

Job: Mining Representative

Hobby: amateur radio, Sculling, Knife making, Gardening, Watching movies, Gunsmithing, Video gaming

Introduction: My name is Chrissy Homenick, I am a tender, funny, determined, tender, glorious, fancy, enthusiastic person who loves writing and wants to share my knowledge and understanding with you.