For most business travelers, going on a trip involves purchasing flights, booking a hotel room, and packing, but what most people forget about is travel insurance. In fact, only 21% of travelers purchase travel insurance. Travel plans are fluid up until the time that you’ve arrived at your destination and successfully checked into the hotel. Before this point, you face delayed or cancelled flights, overbooked hotels, and all sorts of other issues that can send your initial travel plans out the window.

Since there are all sorts of room for error when it comes to travel, here are 5 reasons why you should insure your team when they’re traveling for business purposes.

  1. Trip Cancellation

Sometimes plans fall through. Maybe one of your employees has fallen ill and is unable to travel as intended, or maybe there is a pressing issue back at the office that supersedes all travel plans. Whatever the situation may be, it’s best to be safe than sorry when it comes to travel funds. Imagine paying thousands of dollars for your team to travel, only to lose that money because of cancelled plans. Most travel insurance plans offer trip cancellation coverage. This coverage allows you to recover out-of-pocket expenses that may otherwise be lost without insurance.

  1. Compensation for Delayed Flight

We all know that airline travel is rarely perfect. Weather, ground conditions, and all sorts of other factors can impact flight schedules. If your team faces a delayed or cancelled flight, this could impact the entire trip. A delayed flight could mean missing a connecting flight, which can delay travel plans by a few hours or even a day. With travel insurance, you can receive airline compensation for delays. Be sure to choose a travel insurance plan that offers trip interruption as well as missed connection coverage. This ensures that your team is covered in the event of unexpected airline troubles.

  1. Delayed or Lost Baggage

Think delayed or lost baggage can’t happen to you? Think again! In 2016, lost luggage cost airlines about $2.1 billion. While the percentage of delayed or lost luggage has continued to decline over the years, there is always the risk that your luggage may get mixed up. If your luggage is MIA, you’ll be missing all of the items you need to enjoy your trip. With travel insurance, you can have a little less worry knowing you’re covered.

With delayed or lost bag coverage, the travel insurance company will:

  • Help you recover your luggage
  • Reimburse you for essential items
  • Reimburse you for lost, stolen, or damaged items

In fact, some coverage will even reimburse you for the cost of your luggage. When packing, be sure to notate what you’re packing and the value of your belongings. This way if something is lost, you can pinpoint what you’re missing and how much you’ll need to be reimbursed.

  1. Lost or Stolen Items

It’s easy to misplace a phone or wallet, and it’s even easier to misplace a passport. On the other hand, while traveling, it’s not uncommon to encounter some shady characters. In most cases, if one of your employees has an item stolen, they’re usually out of luck. But, with the proper travel insurance coverage, your employee’s personal belongings are covered. Insurance companies often cover items such as:

  • Lost or stolen money
  • Lost or stolen passport
  • Other valuables

While you of course want your employees to be mindful of their personal items, accidents happen. With insurance coverage, your employees can rest assured that any lost or stolen items can be reimbursed by the insurance company. Having peace of mind when traveling, especially to a foreign company, can make the trip a little more relaxed.

  1. Illness & Injury Coverage

It’s not uncommon for travelers to become ill or injured while traveling. Travel insurance comes in handy if someone on your team faces a serious health condition or a serious injury. Having travel insurance provides peace of mind for you as well as for each of your team members. This is especially useful is your employees are traveling to another country, especially since most health insurance companies don’t cover international travel.

Some foreign hospitals require cash payments before providing treatment. With travel insurance, your team members can be reimbursed for any health costs that are incurred while traveling.


If your team travels often, now is a good time to invest in travel insurance. A reputable travel insurance company will be able to cover your employees, even during the worst traveling circumstances. No one likes to dish out thousands of dollars for employee travel, only to potentially lose it due to extenuating circumstances. Protect your travel investment with comprehensive travel insurance.

Why do you get travel insurance for your team?  Has it ever saved your company money?  Share your stories in the comments below.