How Much Does Travel Insurance Cost?

Travel insurance for a $5,000 trip costs $204 on average, or 4.1% of the trip cost. Prices vary based on age and coverage level, ranging from $89 for basic protection to over $600 for premium plans with maximum benefits. 

Most travelers buy basic or comprehensive coverage. Seniors buy most premium plans for their higher medical coverage.

Cost by Travel Insurance Coverage Category:  

• Basic travel insurance plans cost an average of $125 and are a good choice for domestic trips or travelers with good existing health insurance. These plans provide trip cancellation and basic medical coverage but may leave gaps for serious emergencies.
• Comprehensive travel insurance plans average $227 and offer the best value for international travelers. The extra $100 over basic coverage buys much higher medical limits and evacuation protection.
• Premium travel insurance plans average $345 and include maximum medical coverage and extra optional add-ons like cancel for any reason benefits. While expensive, these plans make sense for costly trips, adventure activities or travelers who want complete peace of mind.

Travel insurance costs increase with the trip cost. You'll pay $1,450 to insure a $50,000 trip, compared to $98 for a $2,500 trip.

Your trip cost directly affects your premium. A $50,000 vacation means insurers could pay out $50,000 if you need to cancel, so they charge more upfront. Expensive trips often involve destinations with higher medical costs, too, pushing premiums even higher.

As trip costs go up, insurance takes a smaller percentage of your total. Young travelers pay 2.9% to 3.9% of their trip cost, while seniors pay 5.8% to 7.9%. Seniors pay about twice as much across all trip values, though the gap closes slightly on expensive trips.

Higher medical coverage plan limits translate into higher travel insurance costs. Rates range from $65 to $230 for medical coverage up to $50,000. They range from $229 to $459 for a maximum of $500,000 coverage on a $5,000 trip.   

Seniors and adventure travelers need higher medical coverage since complications abroad can easily exceed $50,000. Seniors pay about twice as much for travel insurance as young travelers.

Your domestic health insurance typically provides limited international coverage and often requires upfront payment and later reimbursement, making travel insurance important for managing costs during emergencies.

Travel insurance increases based on the traveler's age. Insurance companies charge seniors more due to higher medical risks and claim frequencies. Age-related health complications, medication needs and longer recovery times create higher costs for insurers, which pass these expenses to older travelers through age-based pricing.

• Senior travelers pay more for travel insurance, with 65-year-olds paying $394 compared to $197 for 20-year-olds.
• By age 75, the average travel insurance cost is $552, a 180% increase compared to that of young travelers.  
• On average, the cost of travel insurance for young travelers is from 3% to 4% of their trip cost. Seniors pay 8% to 11% of their trip cost.

Seniors should shop for travel insurance differently from younger travelers. Compare quotes across multiple companies since age cost impacts vary widely. Insurers like World Nomads have flat-rate pricing regardless of age, and other companies use steep multipliers. Focus on comprehensive medical coverage since emergency treatments abroad can exceed basic policy limits.

Travel insurance costs vary by destination based on health care expenses, political stability and evacuation complexity. Prices range from a $200 baseline for low-risk destinations to $290 for high-risk countries, a cost increase of up to 45% for identical coverage.

Developed countries with stable health care systems like Canada ($200), the U.K. ($205) and Western Europe maintain standard or low premium pricing. Countries with limited medical infrastructure have the highest travel insurance cost, with India ($275), Brazil ($285) and Morocco ($290) costing 37% to 45% more than the baseline due to expensive medical evacuations and higher claim frequencies.

Cancel for any reason (CFAR) coverage costs 40% to 60% on top of your base travel insurance cost. The average incremental cost is $72 for a $2,500 trip and $90 for a trip cost of $5,000. CFAR reimburses about 75% of your trip cost, depending on your policy details, if you cancel your trip for any reason.

Is the extra travel insurance cost for CFAR worth the partial travel reimbursement?

• CFAR makes the most financial sense on expensive trips where even a 75% recovery justifies the added cost. For a $20,000 trip, paying an extra $408 for CFAR could return $15,000 if you cancel for non-covered reasons.
• The cost of CFAR is harder to justify on smaller trips. For a $2,500 vacation, you'd pay an extra $72 to potentially recover $1,875. Most travelers overestimate their likelihood of needing CFAR, making comprehensive coverage without CFAR a better value for standard trips.
• The table shows your break-even cancellation risk for CFAR to be worthwhile.

Annual travel insurance costs $62 to $722 per year, depending on coverage limits, and covers unlimited trips with individual trip limits of up to 30 to 45 days each. Annual cost depends on the maximum trip cancellation coverage you choose. Plans with $1,250 limits cost around $148, while $10,000 limits cost $722.

Annual plans make financial sense for travelers taking two or more trips yearly. A single $5,000 trip costs roughly $200 for comprehensive coverage. An annual plan with $5,000 trip limits costs $362, covering unlimited trips throughout the year.

Five factors determine your travel insurance cost, with age and trip value creating the largest price differences.

You can cut travel insurance costs without sacrificing coverage by timing your purchase right and matching your policy to your actual needs. These strategies save you $200 to $350 annually while maintaining solid financial protection.

1. Buy within 14 to 21 days of booking to unlock pre-existing condition waivers and CFAR eligibility at no extra cost. Wait longer and you'll lose these benefits and pay more.
2. Compare across coverage tiers, not just companies. Our data shows comprehensive plans sometimes cost just $18 more than basic coverage while delivering much better financial protection.
3. Choose annual policies for multiple trips. Annual coverage breaks even at 1.8 trips per year, saving you $238 to $358 annually compared to individual trip policies.
4. Skip CFAR unless you're genuinely worried about canceling. CFAR adds 40% to 60% to your premium but reimburses 75% of trip costs. Standard comprehensive coverage handles most cancellation scenarios with full reimbursement.
5. Match medical coverage to your actual risk. Higher medical limits cost much more, so healthy travelers with good domestic health insurance can safely choose $50,000 limits, while seniors or adventure travelers need $100,000 or more.

Travel insurance for a $5,000 trip costs $204 on average, but age makes the biggest difference in price. Young travelers pay around 4% of the trip cost, while seniors pay 8% to 11%. Comprehensive coverage at $227 gives you the best protection for your money on international trips.

Buy coverage within three weeks of booking to save money and get pre-existing condition waivers. Annual policies make sense if you travel twice a year or more. Skip CFAR unless you're genuinely worried about canceling for reasons your policy won't cover.

These answers cover common questions about travel insurance pricing, coverage options and when costs change based on your circumstances.

Our Research Approach

Travel insurance pricing varies wildly between companies and coverage levels, making it hard to know if you're getting a fair deal. We analyzed over 1,500 quotes from 13 major insurers to show you what travel insurance costs across different ages, trip values and coverage options.

Research Scope

We gathered quotes for single travelers, couples and families across trip costs from $2,500 to $50,000. Age groups included travelers ages 20 to 50, 65 and 75 to capture how premiums increase with age.

Coverage Tiers

Our analysis covered 42 unique plans, categorizing them into three tiers based on medical coverage limits and evacuation benefits:

• Basic: $15,000 to $50,000 medical coverage
• Comprehensive: $100,000 to $150,000 medical coverage
• Premium: $250,000 or more medical coverage

These tiers help you compare apples to apples when shopping for coverage.

Scenarios Analyzed

We collected quotes for trips within the U.S. and abroad, plus specialized coverage like CFAR, annual plans, cruises and adventure sports. These are real September 2025 premiums, not estimates.

Calculation Method

We averaged all quotes in each category. For age pricing, we went straight to insurance companies instead of using industry averages. We checked rates in 30 countries to spot regional differences, so you know what to expect for your trip.