Travel insurance provides valuable protection against cancellations, delays, medical emergencies, and unexpected expenses during your trip. But depending on your destination, age, and coverage needs, it can also add up quickly. The good news? There are several smart ways to reduce your travel insurance costs without sacrificing the important protections you actually need. This guide walks you through the most effective strategies to help you save money on travel insurance.
Compare Quotes From Multiple Providers
Travel insurance pricing varies significantly between insurers, even for similar coverage.
To lower your costs:
- Compare quotes from 3–5 travel insurance companies
- Use online comparison tools or marketplaces
- Check plans offered by airlines, credit cards, and independent insurers
- Review identical coverage amounts when comparing price
Shopping around is one of the fastest ways to save.
Choose the Right Coverage Level (Don’t Overinsure)
Many travelers accidentally pay for more coverage than necessary. To avoid overspending:
Match trip cost accurately
Enter the true nonrefundable trip cost—not the total price of the trip.
Avoid unnecessary upgrades
Skip optional coverage you don’t need, such as:
- Extra baggage coverage
- Hazardous sports upgrades (if you’re not participating)
- Rental car collision (if your credit card already covers it)
Choose realistic limits
You don’t always need the highest medical or baggage limits. Choose appropriate, not excessive, amounts.
Consider a Higher Deductible
Some travel insurance plans allow you to adjust deductibles for:
- Baggage coverage
- Travel delay
- Medical coverage
A higher deductible usually results in a lower premium—as long as you’re comfortable covering the initial amount out of pocket.
Avoid Cancel For Any Reason (CFAR) If You Don’t Need It
Cancel For Any Reason coverage is extremely powerful—but also expensive. It can increase your premium by 40–60%.
Only pay for CFAR if you:
- Want ultimate flexibility
- May cancel for personal or unpredictable reasons
- Have a high-cost trip where flexibility matters
Otherwise, stick with standard cancellation coverage to save money.
Buy Travel Insurance Early—But Not Too Early
Travel insurance generally costs the same whether you buy it on day two or day twenty, but:
- Buying early gives you access to pre-existing condition waivers
- Buying too late may limit certain coverage options
- Buying far in advance doesn’t lower the price
For the best balance, purchase within 10–20 days of your first trip payment.
Take Advantage of Annual Multi-Trip Policies
If you travel multiple times per year, a multi-trip annual plan can be much cheaper than buying insurance for each trip.
These plans are ideal for:
- Frequent business travelers
- Digital nomads
- Weekend travelers
- People who take 3+ trips per year
An annual plan can cost less than insuring each trip individually.
Stay Healthy and Review Your Medical Needs
Older travelers and those with medical risks often pay more. You can keep costs down by:
- Choosing plans with essential—but not excessive—medical limits
- Reviewing exclusions to avoid unnecessary add-ons
- Using your primary health insurance for domestic travel when possible
If traveling internationally, choose appropriate medical coverage without paying for unnecessary extras.
Check Whether You Already Have Coverage
Before buying a policy, review what you already have:
Credit cards
Many premium cards include:
- Trip cancellation
- Trip delay
- Rental car insurance
- Lost luggage protection
- Emergency evacuation (rare but possible)
Existing insurance
Your health insurance may cover domestic travel.
Choosing coverage that complements—rather than duplicates—your existing benefits can lower your costs.
Travel During Lower-Risk Periods When Possible
Insurance prices may increase for trips during:
- Hurricane season
- High-risk weather months
- Regions with travel advisories
- Destinations prone to political instability
Traveling during lower-risk seasons can reduce overall costs.
Buy Only What You Need Based on Trip Type
Match your coverage to the type of trip you’re taking:
- City vacations may need less evacuation coverage
- Cruises require cruise-specific protection
- Adventure trips may require higher medical limits
- Domestic trips may only need cancellation and baggage coverage
Tailoring coverage prevents overspending.
Use Group or Family Plans
If traveling with multiple people, group or family plans often offer discounted rates compared to buying individual policies.