Do Not Buy Travel Insurance Through Online Travel Agencies
Online Travel Agencies (OTAs) such as Orbitz and Expedia are useful for comparing prices for certain flights and hotels, although it’s worth looking at prices directly on the airline’s or hotel’s website before booking, as we discussed earlier . You should also be aware that these third party sites are not the best option for purchasing additional services, including travel insurance.
“The # 1 biggest mistake is that people think they are getting better deals through portals,” said Alexander van Dijl, budgeting coach at CreditCards.com .
OTAs are usually overpriced, while coverage is not as complete as what you can get, for example, with your credit card or an independent travel insurance company like WorldNomads or InsureMyTrip.com (and make sure you do this is now when you actually need to buy travel insurance ). And if you buy your ticket through OTA only, then the coverage will only apply to that part of your trip. If your luggage gets lost or something else is stolen from your hotel, you’re out of luck.
Buying insurance from these independent sites also gives you the ability to know exactly what you need and compare prices. “Independent travel insurance plans cover cancellations and disruptions in transportation; medical expenses and evacuation; and lost or delayed baggage, ”writes The Points Guy , adding that depending on the type of coverage you need, you must pay between four and eight percent of the total travel costs.
At a minimum, you should read the fine print to see what exactly is covered by the OTA’s “travel protection” policies, and don’t settle for using them because they’re convenient – you might be missing out on much better deals.