Trip Insurance Is "Peace of Mind" Insurance Do your future plans include a relaxing vacation? The AAA travel agencies say trip insurance is equally as important as securing a trusted travel agent, having your tickets in hand (What about e-tickets?) and packing your suitcase. As a wise sage once said, "It’s better to be safe than sorry." If your journey is to include a cruise, a package tour, or an apartment or house rental -- which you would normally pay in full before you leave -trip insurance can be quite useful. The same is true if you should need medical insurance while traveling overseas. This small, additional purchase can save you thousands of dollars if you are forced to cancel due to unforeseen circumstances. In general, the closer you are to your departure date, the more you will lose -up to the full amount -- including meals and admissions to attractions. In many instances, insurance costs can be relatively inexpensive, but well worth the investment. Trip cancellation or interruption insurance averages $5 or $6 per $100 of trip costs. AAA says it is always wise to determine whether your existing insurance policies already cover your needs while you and your family are away: Check with your auto insurance company before renting a car to find out if you are covered in the event of an accident. Your policy at home does not cover you abroad, except in Canada. You may need insurance through an car rental company and an international driving permit depending on the country in which you are traveling. Find out if your personal policies cover lost luggage. If you have an umbrella policy, lost luggage may already be covered. Check with your medical insurance provider before purchasing extra coverage for your overseas trip. Many United States health plans do not cover you outside of America, unless you are traveling on business. There are several international medical policies available that can be customized to fit your travel plans. Also, if you are a senior citizen, you should assume that Medicare will not cover you while you are in a foreign country. AAA advises travelers to do their homework before purchasing travel insurance. For instance, request the full contract so you will know everything that the policy covers. In this way you will be able to read the fine print -- the growing list of restrictions that are being imposed by some insurance companies. AAA advises against: Purchasing a policy from the wholesale tour operator from which you bought the trip. If that company goes out of business, the chances are very good your policy will be worthless. Buying trip insurance from a cruise line because their policies can carry less coverage, and their benefits may stop between 24 and 72 hours before you depart. AAA recommends a policy that will cover you up to the departure time and/or throughout the entire trip. AAA suggests learning more about the benefits of purchasing trip insurance from a qualified travel professional, such as a AAA travel agent. Travel insurance is your safety net should the unexpected arise, but it is up to you -- the traveler -- if it is right for you.