Rising Travel Insurance Claims: Key Reasons for Denial and How to Avoid Them

As travelers face a surge in disruptions and delays, travel insurance claims have seen a 21% increase compared to last year. With an 8% rise in fall travel and trip costs reaching record highs, securing travel insurance has become more essential than ever.

Squaremouth, a leading travel insurance comparison site, highlights three common reasons why travel insurance claims are often denied and provides tips on how travelers can improve their chances of a successful claim.

1. You Were Inconvenienced, Not Interrupted

Many travelers mistakenly believe that any inconvenience during their trip warrants a payout from their travel insurance. However, coverage typically applies only if the trip is disrupted by a specific event covered in the policy. If such an event occurs after purchasing the insurance, travelers may be eligible for a refund of out-of-pocket expenses and any additional costs incurred.

2. You Didn't Keep Your Receipts

To receive reimbursement, travelers must provide proof of their expenses. Whether it’s a trip cancellation, delay, or medical emergency, receipts are required to validate a claim.

3. You Bought the Policy Without Knowing You Were Ineligible

Many travelers assume they can buy travel insurance to cover pre-existing medical conditions or emergencies that have already arisen. However, travel insurance typically only covers unforeseen medical emergencies. If a traveler is already sick at the time of purchasing the policy, any claim related to that illness will likely be denied.

As travel continues to rise and unexpected events become more common, understanding the fine print of your travel insurance policy can save both money and stress. Proper preparation and knowledge of the conditions under which claims are approved are key to maximizing the benefits of travel insurance.