Travel insurance is almost always a waste of money. You will likely be paying for a product that in reality may offer you almost no trip protection anyway. One of the questions that I am asked the most is regarding travel insurance. This is a tricky topic without a simple answer and as with any type of insurance, whether that is home insurance or even health insurance, the company providing your policy will likely not payout for a claim easily.
When insurance companies pay out claims, they lose money. One single claim can amount to more than you will ever pay an insurance company in revenue. Therefore, the profit that an insurance company makes, and sometimes this is a substantial profit, are from customers who don’t make a claim. A customer could essentially be paying to protect themselves or their property for many years, and receive nothing in return, except the peace of mind.
Read the full article on Forbes.