When people think about insuring their items and baggage for a vacation abroad, the first thought is typically traditional travel insurance. While there is definitely validity to the idea of using travel insurance to deal with a theft or loss of property, you’d be surprised at the other resources available to protect your stuff. Depending on your coverage your personal items can be covered by travel insurance, homeowners/renters insurance or credit card plans.
Traditional travel insurance is always a good place to start. Some travel insurance plans include coverage of your belongings as part of the standard package, but others require you to purchase additional insurance coverage for personal items. There is also often a maximum allowance for an individual item and all of your items combined. For example, one item may insured up to $300, but you only get $600 coverage total between all of your belongings.
In addition to travel insurance, you may already be covered under your homeowners or renters insurance. Many people do not realize that personal items are covered under that policy, no matter where they are in the world. If you have to bring an expensive laptop, for example, and already have it insured domestically, you may not need to seek out any additional insurance.
Another option to acquire travel insurance is through your credit card company. American Express offers three tiered plans that cover the most basic travel needs to an annual coverage plan that start at only $79 per year. If you are a global jetsetter who travels consistently throughout the year, this may be your best bet for coverage without the headache of going through all the red tape at the start of every trip. Take an inventory of your personal items and potential losses to determine how much coverage is necessary.
