Trip insurance vs using Celebrity Air and refundable deposit

[dloy1324]

Just booked a cruise in May 2022. Deposit is refundable and if I book flights through Celebrity Air, airfare is not due until final payment. In this scenario is travel insurance really necessary? I know we risk circumstances turning against us during those final few months but seems worth the risk as opposed to buying trip insurance.

 

Am I looking at this correctly? Thank you for your input.

[Fouremco]

"Trip insurance" can cover medical emergencies, trip cancellation, trip interruption, delays, medical evacuation, and lost, damaged, or stolen luggage. What insurance are you considering (not) buying?

[REEtired]

1 hour ago, dloy1324 said:

Just booked a cruise in May 2022. Deposit is refundable and if I book flights through Celebrity Air, airfare is not due until final payment. In this scenario is travel insurance really necessary? I know we risk circumstances turning against us during those final few months but seems worth the risk as opposed to buying trip insurance.

 

Am I looking at this correctly? Thank you for your input.

you could be making a very costly mistake by not buying trip insurance. Just saying.  Never know what tomorrow may bring. 

[Babr]

In the past, it was possible to buy travel insurance at final payment that still covered pre-existing conditions, which is probably the biggest risk of booking a cruise so far in advance. Even if you don’t have a problem now, anything that is diagnosed between now and the time you buy insurance will be considered pre-existing. There are still some requirements to be met for this kind of insurance, and it usually costs more; but the advantage is that you have no premium at risk in the meantime. With a refundable deposit and Celebrity Air, you could get away clean if your circumstances change by final payment time.

 

I say “ In the past,” because I don’t know how things will change as a result of Covid. Insurance companies have to get approval from regulating agencies to change the terms of their policies. They have plenty of time to do that by 2022. It is probably best to discuss your situation with a professional like Steve at TripInsuranceStore.com or your favorite place to buy third-party travel insursnce.

Edited August 8, 2020 by Babr

[39august]

Or go to the insurance discussion section on these boards. Very, very helpful info there. I will always buy travel insurance for the medical coverage if nothing else. We just cancelled our Geo-Blue annual medical for outside of US coverage, which we buy for extra medical, as we know we won't be traveling internationally for quite some time. 

[phoenix_dream]

It seems on these boards people regularly advocate blindly for trip insurance without considering other factors.  That is what insurance companies count on and how they make money - people buying insurance they don't need  (worked for several over 30 years so know a bit about this topic). There are other things to consider.  For example, do you have other insurance already, perhaps through your credit card?  What is your personal health situation and those near and dear to you?  Does your health insurance cover you if out of the country - if not you may need medical insurance.  If you need to cancel an airfare, in all likelihood you can incur a cancellation penalty but then also get credit to use in the future.  In most cases, hotels and rental cars booked for pre-cruise days can be cancelled, often as late as 24 hours before.  What is your personal financial situation - how hard would losing potentially several thousand dollars be (no one likes the idea - but is it a bit depressing,  or is it a financial game changer).  For a trip booked in a high level suite you may want insurance; for an inside cabin at a great last minute price maybe not so much.  How often do you take cruises?  In my case, I have sailed more than 60 times.  Even if I had to cancel one of my cruises I would have paid WAY more in travel insurance than the dollars I would have lost on that cancelled cruise.  Very important these days - would the insurance even cover pandemics?  Many don't.  

 

My point is not to say never take insurance.  Of course it makes sense for some people; some of the time.  It does NOT make financial sense for everyone all the time, as many on these boards would lead you to believe.  The bottom line is that you need to evaluate all the types of questions I mention above and then make an educated decision on what makes the best financial sense for you.  It may be insurance, or it may be to take the risk.

[dloy1324]

Thanks all for the input. For cruises we have always bought the insurance due to pre-existing conditions. No reason to stop now.

Happy sailings