Why You Need A Travel Insurance For Your Next Trip

Why You Need A Travel Insurance For Your Next Trip

Whether you’re planning a long-awaited vacation or a last-minute escape, travel insurance can help you save money, time, and aggravation if something goes wrong. Plus, some countries may require COVID-19 coverage as a precaution while we slowly transition out of the pandemic.

Pandemic aside, you can never tell what awaits you while traveling, even if it’s just for a short trip. You could fall sick, lose your luggage, miss a flight, or even have an accident.

If you want peace of mind and a financial buffer for emergencies, travel insurance will surely give you that kind of satisfaction. 

Types of travel insurance

While there are a variety of travel insurance policies available, the two most common are the Vacation Plan and the Travel Medical Plan.

Vacation plan 

In terms of coverage, this travel insurance is thought to be the most comprehensive. This type includes the majority of sub-types such package plans, trip cancellation, trip insurance, and even medical emergencies. Below is a quick breakdown of its coverage. 

  • Trips canceled or interrupted
  • Emergencies in medicine
  • Evacuation in case of emergency
  • Baggage that has been lost or delayed
  • Protection for your possessions 24 hours a day, seven days a week

Medical plan

When you’re traveling outside of your home country, a travel medical plan guarantees you have access to sufficient medical care in whichever country you are visiting. This coverage can be extremely crucial for medical emergencies and in some cases more important than the coverage for the trip itself. 

Its coverage includes:

  • Medical and emergency expenses

What to look for in travel insurance?

You should ask yourself the following questions before purchasing travel insurance:

  • What kinds of activities will I partake in throughout my trip?
  • Will I be transporting valuables in my luggage?
  • Is there a danger that the trip may be canceled?
  • What is the maximum amount of insurance I am willing to pay?
  • Is there any evidence that this travel company has a good track record?

The answers will differ from person to person. However, you’re essentially paying for peace of mind in a form of coverage that will buffer your unexpected expenses overseas. 

For example, you encountered a medical emergency overseas, like getting hit by a car. You’ll be forced to shell out money from your own pockets to pay for the medical expenses. And the cost of hospitalization in another country is expensive and with the right medical insurance, you don’t have to spend out of pocket on medical expenses. 

The same is true if your destination country is unexpectedly hit by a weather disturbance or natural disaster (typhoons/hurricanes/earthquakes) and you have no choice but to leave. Travel insurance ensures that you will be reimbursed if you need to cut your trip short.

If your budget is tight, getting medical coverage is the most practical choice. There’s a lot of money at stake getting medical care overseas, and it can spell the difference between you being able to come back home and getting stuck there due to the medical cost you have to settle. Also, be sure your travel insurance includes coverage for personal belongings and/or baggage-related help.

The answer here is not choosing between plain travel insurance and emergency medical coverage, but rather how much coverage you want. For obvious reasons, traveling to expensive countries like Singapore, Hong Kong, or somewhere else in Europe would entail more coverage. If you’re traveling in neighboring countries that aren’t too expensive, medical costs may not be that expensive. For the travel insurance, it will depend on how much you want to be compensated for flight delays, missing baggage, etc. 

The best travel insurance in the Philippines

Below we list down some of the most affordable but comprehensive travel insurance in the Philippines:


Their Travel Assistance Plan is designed to cover you in the case of unanticipated circumstances while on the road. It covers you in the event of a flight cancellation, a medical emergency, a hotel stay, or a car accident.


  • Flight delay
  • Trip cancellation
  • Missed connecting flight
  • Baggage delays
  • Baggage loss/damage by the airline and other items in the safekeeping of a common carrier
  • Trip curtailment
  • Aircraft hijack
  • Medical assistance


  • Personal accident – up to ₱1 million
  • Medical coverage – up to ₱2 million
  • Travel cancellation – up to ₱125,000
  • Baggage delay – up to ₱5,000
  • Personal liability – up to ₱1.5 million


Premium starts at 700


Pioneer Life Inc. was founded in 1964 and is now owned entirely by Filipinos following a joint venture with Allianz AG of Germany in 2003.


  • Trip cancellation and termination due to an emergency
  • Flight delays
  • Missed connecting flights
  • Baggage, personal effects, and financial benefits are all taken.


  • Personal accident – up to ₱1 million
  • Medical coverage – up to ₱2 million
  • Travel cancellation – up to ₱125,000
  • Baggage delay – up to ₱5,000
  • Personal liability – up to ₱1.5 million


Premium starts at ₱299 per trip. 


AIG is a multinational insurance corporation that has been serving businesses, organizations, and individuals throughout the world for decades. AIG Travel Guard is one of their products, and it focuses on offering insurance solutions to travelers.


  • Medical costs
  • Evacuation of medical personnel
  • Personal liability
  • The cost of repatriation
  • Unintentional injury
  • Child Protection
  • Visit with compassion
  • Baggage holdup
  • Cancellation of the trip
  • Termination of the journey
  • Personal effects and luggage
  • Flight delays
  • Loss of travel documents


  • Medical coverage – up to ₱2 million
  • Flight delay- up to ₱15,000
  • Baggage delay – up to ₱15,000


Premium starts at ₱400 for a four-day trip. 

Fortune general travel

Fortune General’s (FGen) travel insurance services have been updated to incorporate new features. People traveling to Asia, the Schengen area in Europe, and the rest of the world can get insurance from them.


  • Unintentional gain
  • Hospitalization and medical costs
  • Repatriation or medical evacuation
  • Dental care in an emergency
  • Return of a family member
  • Repatriation of deceased persons’ remains
  • Emergency visits with compassion
  • Children in need of compassionate emergency return care
  • Delay in flight
  • A connection flight was missed.
  • detour of the journey
  • Strikes and hijackings of planes
  • Cancellation of a vacation due to an emergency
  • Termination of the journey due to an emergency
  • Baggage and personal effects


  • Medical coverage – up to ₱2.5 million
  • Flight delay- up to ₱12,500
  • Baggage delay – up to ₱12,500


Premium starts at ₱700 for a week of travel. 


HSBC Insurance Brokers and AXA Philippines have partnered to offer TravelWise, a travel insurance product. They offer up to ₱5 million in international coverage, with customizable payment and payout levels.


  • 24/7 emergency travel assistance
  • Enjoy round the clock travel and medical assistance anywhere
  • Comprehensive medical benefits
  • Covers for medical expenses such as hospital costs, doctor’s professional fee and more in case you suffer injury and/or illness during your trip
  • Refund For pre-booked travel expenses
  • Enjoy the benefit of getting payouts on non-refundable expense in case of trip cancellation and/or postponement
  • Protection On personal belongings
  • Get protection on your baggage in case of loss or damage
  • Personal accident
  • Get covered when you suffer death or permanent disablement due to accident while on trip


  • Personal Accident Benefits – Up to ₱5 million
  • Trip Cancellation  – Up to ₱200,000 
  • Trip Curtailment – Up to ₱200,000
  • Trip Delay – Up to ₱50,000 ₱5,000 per six hours
  • Baggage Delay – Up to ₱50,000 ₱5,000 per six hours 
  • Emergency Medical Expense  – Up to ₱3,500,000 subject to ₱5,000 deductible
  • Hospital Allowance – Up to ₱150,000 ₱5,000 per day minimum of three days


Premium starts at ₱1000 for a week of travel. 

Pro tip for credit cardholders

The majority of credit card providers offer travel insurance as a benefit with their travel-focused credit cards. It’s included in their “Frequent Traveler’s” package and may save you anything from a few hundred to a few thousand pesos on travel insurance.


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