Business travel insurance can protect you and your possessions if you travel for business. It offers coverage in many situations, including if your luggage is lost or stolen or if you have an unexpected medical emergency. You can purchase a travel insurance policy but might already have travel insurance through your employer or a travel credit card.
Business travel insurance provides coverage for business trips. It differs from personal travel insurance, which is intended for vacations and other personal trips.
Business travel insurance could be available from your employer or purchased from an insurance company. It’s also possible that a personal travel insurance policy could cover you on a business trip, though it depends on the terms and conditions.
An alternative, affordable way to get coverage on a business trip is to book your journey using a travel credit card that provides travel insurance. Depending on your card and its benefits, this could provide you with car rental insurance, lost luggage reimbursement, emergency medical and dental care, and more.
Business travel insurance reimburses you for covered losses and disruptions on work-related trips. What’s considered a “covered loss” depends on the terms and conditions of each insurance policy, but could include:
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Accidental death and dismemberment
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Baggage delay or loss
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Emergency medical evacuation
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Medical expenses for an accidental injury or illness
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Repatriation
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Sickness
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Travel delay
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Trip cancellation or interruption
You can purchase domestic or international travel insurance, but you typically have to specify your travel dates and destinations when signing up for a policy.
You must submit a claim to your travel insurance company if you’ve experienced a covered loss. We recommend familiarizing yourself with your insurance policy before traveling so you know what information you need to provide. Otherwise, you might be scrambling to figure out what to do in a stressful situation.
For example, say you were traveling abroad and someone stole your phone. Your insurance policy might require you to file a police report and contact the insurance company within a specified time frame. Knowing these details ahead of time — or keeping that information in an easily accessible place — could mean the difference between a successful or denied claim.
If you’re unsure about what to provide during the claims process, contact your insurance company directly to get answers. If possible, put any claims correspondence in writing so you can reference information later, if needed. It can take weeks or months to complete the claims process, so track everything and keep appropriate receipts.
Many credit cards provide built-in travel insurance benefits when you use the card to book applicable travel expenses, such as flights, rental cars, and hotel stays. You can submit a claim to your card’s benefits administrator if you experience a covered loss on a trip you’ve paid for with your card.
Common credit card travel insurance benefits include:
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Car rental insurance
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Baggage delay insurance
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Emergency assistance services
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Lost luggage reimbursement
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Travel accident insurance
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Travel assistance services
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Trip cancellation insurance
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Trip delay reimbursement
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Trip interruption insurance
Note that this list doesn’t include some of the medical coverage you can find with paid travel insurance policies. Some credit cards do provide additional medical insurance coverage, but it’s not common.
You can also take advantage of other card protections on your travels, including purchase protection, extended warranty coverage, and cell phone protection. For example, if you purchase a new laptop for a trip and it’s stolen while traveling, you could file a purchase protection claim if you meet your benefit’s terms and conditions.
Here are some popular business credit cards that provide travel insurance benefits:
It’s a good idea to be covered for unforeseen events and circumstances while traveling for business. If you frequently travel, chances are you’ll eventually experience a trip delay or other mishap, such as an airline losing your luggage. As your travel risk increases, it’s nice to have the peace of mind that comes with travel insurance coverage.
However, your overall insurance costs can get expensive if you pay for individual business travel insurance plans for each trip. You might save money by choosing an annual plan, using credit card travel insurance, or combining the two.
Travel insurance policies often exclude reasonably foreseeable events, certain preexisting conditions, dangerous activities, and some unforeseen events. These could include epidemics or pandemics, normal pregnancy conditions, skydiving, and more. Review your specific terms and conditions, as travel insurance policies vary by plan and company.
Travel insurance commonly costs 5% to 10% of your total trip cost. That means travel insurance for a $10,000 trip could cost between $500 to $1,000. However, the price varies by the type of plan you choose. For example, an annual plan could cost more than a single-trip option but might be cheaper than buying multiple single-trip plans in a year.
It’s generally a good idea to have travel insurance if something goes wrong, such as losing a bag or having business equipment stolen. However, you’re not required to have insurance to travel. You also might already have travel insurance through a credit card or your employer. If you don’t, many travel insurance products are available from different providers.
This article was edited by Alicia Hahn
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