There are some types of insurance that are pretty much mandated as well as often being prudent, such as home insurance, health insurance, and automobile insurance, of which each of these entities are both regulated and are also well established. Then there are all sorts of other insurance, or warranty extensions, that appear to be suspect on the surface, and may or may not have any real value. For instance, the first hint that travel insurance is for most people, going to be a mistake to purchase, is the fact that the decision process as presented, isn’t typically being done by the consumer as in the sense of the customer actually searching on their own for various travel insurance companies and thereby finding the right fit; but rather it typically is a pop-up or option that shows up on their screen as an add-on to their purchase. This thus signifies, that those that are selling the airfare, the cruise, or this or that, have designed their websites so that these pop-ups are part of the process, which leads to the quite obvious question, as to whether this option for travel insurance, is the equivalency of a non-profitable service item for the consideration of the customer, or whether it is, what it has to be, an add-on option at a high profit margin.
After all, travel insurance, is not a charitable organization, it’s a for-profit enterprise, and when that travel insurance is presented to the consumer as something as easy as clicking “yes”, then for a certainty those that are making that offer at the price so being offered, have done their homework; whereas, the consumer, typically, has not. Further to the point, travel insurance is a con, because it seldom, if ever, is telling the full story; of which, if it was, it would in the interest of full disclosure, indicate to the consumer that there are some credit cards, for instance, that provide travel insurance as part of having that credit card. Additionally, having travel insurance does not mandate that the purchase so being made must be on the same website in which the booking has been initiated, because when travel insurance is pursued through a true third-party site, the deal is almost always going to be of more potential value for the consumer, because the “middleman”, that is, the website so used to book the travel, is no longer getting their cut.
The other thing about travel insurance is that as in most every insurance so bought, there are terms and conditions to them; of which, most people don’t have the interest or are willing to take the time to actually read those terms and conditions; so that, when there comes that time when the customer wants to avail themselves of that travel insurance, they may just find to their dismay, that it doesn’t actually work the way that they thought it was going to work. The other thing, is that part of the travel insurance model is to play upon people’s fears and to therefore, for what appears to be a reasonable price, offer them some security; but the thing is that money spent where it doesn’t really need to be spent, is money wasted, which is, in so many words, a con.