Travel insurance for business travelers covers specific needs that may differ from personal vacations. For example, you may need an insurance policy to cover a laptop or other business equipment and a rental car. Trip insurance can also provide peace of mind that you have coverage while traveling so you can focus on work.
We at the MarketWatch Guides Team have researched the best travel insurance companies to help you choose the right business travel insurance policy. Read on to learn more about the benefits, coverage options and cost of business travel insurance.
Why Get Business Travel Insurance
Often referred to as corporate travel insurance, business travel insurance can protect you from financial risks and losses during work trips. While personal and business insurance products still offer trip cancellation and medical coverage, there are a few key differences compared to standard travel insurance.
Business travel often includes unique risks due to frequency, trip costs and busy itineraries that require transportation. Frequent business travelers may benefit from multi-trip or annual insurance plans, along with generous coverage limits for trip delays, lost luggage and stolen business devices. These types of trip policies can help combat financial losses related to work travel.
What Business Travelers Need Covered By a Travel Insurance Policy
Below is a list of the main policy types for business trip insurance.
Trip Cancellation and Interruption Coverage
If you need to cancel a business trip or cut it short due to disruptions, travel insurance with trip interruption and cancellation coverage can help recover non-refundable, prepaid costs. Reimbursem*nt is subject to reasons approved by your travel insurance provider and can vary. Generally, travel insurance covers cancellations due to the following unforeseeable events:
- The insured traveler or accompanying business partner suffers a serious illness or injury
- Death of a family member
- Natural disasters
- Terrorist events
- Inclement weather resulting in canceled flights
- An unexpected legal obligation such as jury duty
Since most policies cover cancellations for unexpected or emergent reasons, business travelers may choose to upgrade their plan with cancel for any reason (CFAR) coverage. CFAR coverage is an add-on that allows you more flexibility in canceling your trip.
Baggage and Personal Belongings Coverage
Travel insurance with baggage coverage reimburses partial or full costs due to:
- Lost or damaged baggage
- Theft of valuable business equipment
- Loss of travel documents
Furthermore, most policies provide baggage delay insurance to reimburse you for purchased necessities (like clothes and cosmetics) if your luggage arrives late to your destination.
Business Equipment Coverage
It’s important to check the fine print of policy documents to ensure you have sufficient coverage for specific business equipment. Many providers offer additional business coverage as an upgrade. For example, the Allianz AllTrips Executive Plan features specific benefits for business equipment and rentals.
What Is Business Travel Medical Insurance?
Business travel medical insurance can help cover emergency medical expenses during business trips. While some private health insurance extends international coverage, government health insurance will not pay for your medical care while traveling abroad. Comprehensive travel insurance plans also include emergency medical evacuation and repatriation coverage, along with accidental death and dismemberment benefits.
Travel medical insurance typically pays emergency healthcare costs related to:
- Ambulance service
- Hospital or medical facility fees
- Emergency dental work
- X-rays and lab tests
Business Travel Insurance Cost
The cost of travel insurance depends on your provider, coverage selections and destination. Generally, travel insurance policies cost $35 to $200 per trip. However, your cost may vary if you add business-related coverage such as device protection or rental car damage. You may also have a different rate if you opt for multi-trip or annual coverage.
You can also check with your credit card company to see if you have existing coverage, or opt for coverage through your airline. We suggest requesting quotes from at least three providers before selecting a travel insurance plan.
Benefits of Business Travel Insurance
Whether you’re embarking on a single-trip business venture or you travel for work regularly, it pays to safeguard your travel investments. Business travel insurance costs are minimal in comparison to expensive last-minute cancellations or health emergencies while overseas.
Here are some of the top benefits of a business travel insurance plan:
- Financial protection against unforeseen events
- Reimbursem*nt of prepaid, nonrefundable costs due to travel delays, interruptions and cancellations
- Coverage of lost or stolen business equipment
- Some providers offer 24/7 travel assistance services for business travelers
Tips for Choosing the Right Business Travel Policy
Most comprehensive travel insurance policies are suitable for business travelers. You may choose add-ons for extra protections, including rental car, CFAR and business rental equipment coverage. To choose the right policy, consider the below tips:
- Compare coverage options, exclusions and costs between insurance providers
- Evaluate the reputation and financial stability of each insurance company
- Look for coverage that includes loss or delay of business devices
- Consider providers that offer 24/7 travel assistance and concierge services for business travelers
Considerations for Business Travelers
Before purchasing business travel insurance, consider your personal requirements. For example, you may need coverage for pre-existing medical conditions. If you are traveling abroad, international travel or visa requirements could require valid travel insurance.
If you’re traveling with expensive electronic devices, check that your policy includes valuables or device coverage. Also, consider baggage loss coverage if you plan on checking any valuables with your bags. For regular business travel, consider purchasing multi-trip or annual insurance policies to pay one premium for multiple trips made during a specific time frame.
Is Business Travel Insurance Worth It?
Business trips often include significant prepaid costs for airfares, hotels and car rentals. It is ultimately up to you to decide if travel insurance is worth it for your next business trip. However, travel insurance for business travelers helps cover your financial investment, along with any valuable items you take with you or rent. Comprehensive travel insurance also provides peace of mind in the event of medical emergencies while you’re on business trips overseas.
Frequently Asked Questions About Travel Insurance for Business Travelers
Business travel accident insurance protects employees who travel frequently for work. Most policies cover accidental death or dismemberment, which typically applies to incidents that occur on common carriers in transit (like an airplane). However, some plans may include other medical benefits.
Reimbursem*nt rates and conditions depend on your travel insurance policy. If your trip gets canceled for a reason covered by your travel insurance provider, you can claim reimbursem*nt of prepaid, non-refundable costs, such as flights and hotels. Acceptable reasons for cancellation generally include unforeseeable emergencies like serious illness or injury.
Not all travel insurance policies cover business equipment. Check with your provider to ensure you have coverage for specific business items or devices. Many companies offer upgrades and add-ons for extra coverage of valuables, along with plans specifically designed for business travelers.
Providers
AIG Travel Insurance Allianz AXA Assistance USA Cat 70 Travel Faye Generali Global Geoblue Goready HTH Worldwide IMG Travel John Hanco*ck Medjet Assist Nationwide Seven Corners Tin Leg Travel Travelex Travelsafe Trawick USI Affinity World Nomads Worldtrips
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