Don't Trip Over Insurance
For trips of $1,000 a person or more, you might want the protection of an insurance policy. Here are some guidelines:
How much? Most policies cost 4.5 to 8 percent of the trip tab. If you're over 80,it might be 10 percent or more.
Go wide. A travel operator often offers only one kind of policy. Shop around. Travelinsurancecenter.com is a good starting place.
Check basics. You'll want everything to be covered--from missed connections to a trip ending early for unforeseen reasons--without a lot of exceptions.
What if the travel company goes belly up? The only protection is to buy from an insurance company, not a self-insured tour operator.
Too sick? You'll need a doctor's note to collect. If you buy the policy when booking, it should cover pre-existing conditions.
Who's covered? If you want to cancel because a family member or pal in your trip group falls ill, a good policy should reimburse you.
This story appears in the May 9, 2005 print edition of U.S. News & World Report.