Travel Insurance for Baggage: Protect Your Belongings on Your Next Trip

July 6, 2023 - Meagan Palmer

When you’re planning a trip, the last thing you want to think about is what could go wrong. But the reality is that delayed, lost or damaged luggage can happen to anyone, which can be a major inconvenience. 

This is where travel insurance for baggage comes in. While it may seem like an unnecessary expense, having baggage insurance can save you a lot of stress if something does go wrong.

Key Takeaways

• Baggage insurance can provide financial protection if your luggage is lost, stolen, or broken during your trip.
• Having baggage insurance can give you peace of mind and save you stress if something goes wrong.
• When choosing baggage insurance, consider the types of coverage available and limitations.

Why You Need Baggage Insurance

Peace of Mind

Unfortunately, lost or stolen baggage happens often due to increased airline delays and cancellations. With baggage loss insurance, you won’t have to stress if you lose your valuables or important documents.

Financial Protection

Losing your luggage can be costly especially when you have to purchase additional clothes, shoes, and other personal items. Luggage insurance can provide reimbursement for baggage loss. That way, you won’t have to dig into your travel budget for these unexpected expenses.

Coverage for Special Items

If you’re traveling with expensive or special items, such as jewelry or electronics, baggage insurance can provide coverage for these items. Many standard travel insurance policies have limitations on coverage for high-value items, so it’s important to make sure you have adequate coverage for your specific needs.

Types of Baggage Insurance

Most comprehensive travel insurance includes some sort of baggage loss insurance benefits. This benefit is usually categorized under travel loss/delay coverage. Here are some kinds of baggage insurance you may come across.

Baggage and Personal Items Loss

This type of baggage insurance covers you in case your luggage or personal items are lost or damaged during your trip. It can provide coverage to replace items such as clothing, electronics, and jewelry. Some policies may even cover lost or stolen passports and travel documents.

When looking for this type of coverage, make sure to review the policy limits and exclusions. Some policies may have limits on the amount of coverage per item or per trip and may exclude certain high-value items such as antiques or artwork.

Baggage Delay Coverage

Baggage delay coverage can provide reimbursement for essential items you need to purchase if your luggage is delayed for a certain amount of time. This can include clothing, toiletries, and other personal items. Baggage delay coverage typically applies if your bags are delayed for at least 12 or 24 hours.

Like any insurance, make sure to analyze the plan limits and exclusions. For example, most baggage delay coverage applies to luggage misdirected when on your way to your destination, but not on the way back home.

How to Choose the Right Baggage Insurance

So what baggage loss policy do you go with? Here are some tips on how to choose the right insurance plan for your needs.

Evaluate Your Needs

Before selecting a baggage insurance policy, evaluate your needs. Consider the following factors:

• Length of trip: Longer trips may require higher coverage limits.
• Value of luggage: If you’re traveling with expensive items such as electronics or jewelry, you may need higher coverage limits or alternative types of coverage.
• Destination: Some destinations may have higher risks of lost or stolen baggage.
• Existing coverage: Check your existing insurance benefits, such as homeowner’s or renter’s insurance, to see if they provide any coverage for lost or impaired luggage.

Compare Policies

Once you’ve evaluated your needs, compare policies from different insurance providers. Look for the following:

• Coverage limits: Make sure the plan provides enough coverage for your needs.
• Exclusions: Read the policy carefully to understand what is not covered.
• Customer reviews: Look for reviews from other travelers to gauge the quality of service and claims processing.

You can easily compare travel insurance policies side-by-side on Yonder’s website to see how coverage differs between policies. If you need some extra help choosing the right plan for your trip, be sure to reach out to our team of friendly humans! 

How to Make a Claim

If you experience a loss or damage to your luggage while traveling, you may be eligible to make a claim with your travel insurance company. Here are a few tips if you choose to move forward in filing a claim.

Reporting a Loss

First, you’ll need to report the incident to your travel insurance provider as soon as possible. You can usually do this by calling the emergency assistance number provided in your plan certificate. Be sure to have your policy number and any other relevant information ready when you call.

When you report the loss, the insurance company will give you instructions on how to file your claim. If you purchased your policy through Yonder, our team of friendly humans can help you through the claims process as well.

Submitting Documents

Once you’ve reported the loss, you’ll need to submit any required documentation to the insurance company. Check out our other blog to find out what documentation you’ll need to submit with your baggage claim.

You may be required to submit the documentation by a certain deadline, so don’t wait too long. Your travel insurance plan will have more information on the timeline of the claims process.

Common Misconceptions About Baggage Insurance

When it comes to travel insurance for luggage, there are many misconceptions that people have. Here are the ones we hear the most.

Misconception #1: My airline will cover any lost or damaged baggage.

While it’s true that airlines are responsible for your baggage during transportation, they are not liable for every type of damage or loss. For example, airlines have a limit on how much they will reimburse you for lost or damaged luggage. Having a travel insurance policy with baggage benefits can help cover these gaps.

Misconception #2: Baggage insurance is too expensive.

Although some travelers may think baggage coverage isn’t worth the price, the truth is that it can be quite affordable. Since this is a benefit included with most travel insurance plans, you can expect to pay around 4-8% of the total cost of your trip coverage.

Misconception #3: I don’t need baggage insurance because I’m a careful traveler.

No matter how careful you are, accidents can happen. Your bag could be lost or stolen, or it could be flawed during transportation. With any type of travel, there is a level of risk involved and travel insurance can help mitigate that.

Misconception #4: Baggage insurance only covers lost or stolen luggage.

While lost or stolen luggage is a frequent reason for baggage insurance claims, it’s not the only thing that’s covered. Baggage insurance can also cover damage to your luggage, such as broken wheels or ripped fabric. 

What’s Next?

Overall, travel insurance for baggage can be a smart investment for your next trip. While it may seem like an unnecessary expense, it can provide peace of mind and protect your wallet. Get a plan quoted and purchased in just minutes using Yonder’s instant quote tool!