Our study of more than 50 travel insurance policies showed the average cost of travel insurance in the U.S. was $148. But not all travel insurance policies are the same. Some are much more comprehensive than others and, consequently, the range of costs between them can be wide. A policyholder’s age also has a significant impact on the cost of their travel insurance.
- Average Cost of Travel Insurance
- Average Cost of Basic vs Comprehensive Travel Insurance
- Average Travel Insurance Cost By Age
Average Cost of Travel Insurance
We gathered travel insurance quotes for more than 50 different policies using a sample vacationer – a U.S. citizen living in the state of New York, going to the United Kingdom for one week in August of 2017. Some policies included in our study are more comprehensive than others, but the average across them is a good representation of what most travelers can expect to pay for such a trip. Considering all of the policies below, the average cost of travel insurance is $148.
|AIG Travel Guard Platinum||216|
|AIG Travel Guard Gold||143|
|AIG Travel Guard Silver||122|
|AIG Travel Guard Basic||108|
|Allianz Classic Trip Plus||191|
|AXA USA Silver||82|
|AXA USA Gold||142|
|AXA USA Platinum||172|
|Berkshire Hathaway ExactCare||143|
|Berkshire Hathaway ExactCare Family||122|
|Travel Insured International Worldwide Trip Protector||140|
|Travel Insured International Worldwide Trip Protector Lite||101|
|CSA Travel Protection Custom||151|
|CSA Travel Protection Custom Luxe||235|
|Global Alert Preferred||84|
|HTH TripProtector Classic||149|
|HTH TripProtector Preferred||181|
|IMT Services Travel Visa Medical||20|
|IMT Services Travel Visa Plus||128|
|IMG iTravelInsured SE||153|
|IMG Patriot International||21|
|IMG Patriot Multi-Trip International||200|
|John Hancock Bronze||85|
|John Hancock Gold||127|
|John Hancock Silver||117|
|MH Ross Asset||100|
|MH Ross Asset Plus||193|
|MH Ross Bridge||167|
|MH Ross Complete||267|
|Nationwide Choice Cruise||136|
|Nationwide Luxury Cruise||159|
|Nationwide Universal Cruise||115|
|Nationwide Academic Explorer All-Inclusive International||91|
|Seven Corners RoudTrip||100|
|Seven Corners RoundTrip Coice||143|
|Flight Insure Plus||39|
|Flight Insure Plus (Flight Only)||17|
|Travelex Travel Basic||111|
|Travelex Travel Select||166|
|Travelex Travel Max||312|
|TravelSafe Basic Plan||142|
|TravelSafe Classic Plan||123|
|TruTravel Insurance Economy||90|
|TruTravel Insurance Premier||131|
Where someone is departing from, or traveling to, does not have as big an impact on rates as one might expect (unless they are traveling to an especially hazardous place). We experimented with departures from different states in the U.S. and when the final desitination remained the United Kingdom, the cost of the travel insurance policy typically remained the same. The states of New York and Jersey tended to have slightly higher premiums, but the difference was less that $10.
We also maintained the final destination (the U.K.) and found that departing from most other countries other than the U.S. resulted in a significant increase in the average policy premium. It's hard to know what the reason behind that difference is – perhaps it is because the prices of the policies we were gathering quotes for are optimized for U.S. departures. Anything outside of the U.S. might simply be categorized as a different level of risk, regardless of where someone is departing from.
Average Cost of Basic vs Comprehensive Travel Insurance Policies
We took a closer look at some relatively basic travel insurance policies and some of the least expensive ones offered by carriers. Not surprisingly, the average cost of the basic policies was lower that the average cost of the more comprehensive plans. The more a travel insurance policy covers, or the higher claim limits it has, the higher the mean premium.
Average Cost of Travel Insurance Coverage
Policyholders have quite a bit of control over the cost of travel insurance because they can choose what coverage they need or want. For contrast, if a homeowner needs to insure their house, there aren’t many things they can do to affect the cost, beyond shopping around for the cheapest carrier. The basic or silver tiers generally have less medical coverage or lower limits to claim than higher gold or platinum tiers.
Average Travel Insurance Cost By Age
In addition to the types of coverage and the claim limits, a person’s age has a substantial impact on the cost of travel insurance. No matter the type of policy someone buys, the price increases dramatically the older they are. Our analysis below showed that premiums remained relatively flat for travelers age one through 30, but then the cost begins to climb. The most drastic increases occur between ages 60 and 80. We attempted to gather quotes for travelers as old as 100, 105 and 110 but no companies offered quotes for our sample traveler of those ages.
|Age||Cost of Premium|
To access the cost of travel insurance in the U.S., we first researched and established a sample traveler to gather quotes for – a U.S. citizen living in the state of New York, going to the United Kingdom for one week in August of 2017 with an estimated trip cost of $2,500. We then collected more than 2,000 travel insurance quotes for 52 different policies offered by dozens of companies.
Through September of 2016, more than 60.8 million U.S. citizens traveled internationally and millions purchased some form of travel insurance. Americans spent more than $2.2 billion on all types of travel protection in 2014, according to a survey of the travel insurance market by the U.S. Travel Insurance Association (UStiA). The same survey, which includes the most recent available data, also showed approximately 33.4 million U.S. citizens were covered by more than 24.5 million travel insurance plans.