Why Travel Insurance Matters: One CB! Advisor’s Story

If the past few years have taught us anything, it’s that even the best-planned vacations can go sideways. Lost luggage, sudden illnesses, unexpected weather, missed connections and freak accidents (the kind you never think will happen to you) can derail a trip and rack up dollar signs faster than you can say shoulda-coulda-woulda.

Worldwide, the luxury travel market was estimated at around $1.48 trillion in 2024 and forecasted to reach roughly $2.36 trillion by 2030. With tours, cruises, safaris and similar trips often imposing nonrefundable policies, and many hotels and flights doing the same, travel insurance is now one of the fastest-growing segments in the travel industry. According to the U.S. Travel Insurance Association, Americans spent more than $4.8 billion on travel protection in the last reported year, a sharp rise driven by rising travel costs.

“My clients spend tens of thousands of dollars on vacations,” says Ciao Bambino Senior Travel Advisor Natalie Pratti. “It’s a big financial investment, so why wouldn’t you protect it?”

She sat down with Ciao Bambino to discuss how she learned firsthand why it matters.

Travel Insurance Q&A with Natalie Pratti

Ciao Bambino: Can you tell us about a time you were happy to have travel insurance? Or a time you wish you’d had it?

Natalie Pratti: I’ll talk about the latter. I always buy travel insurance, 100 percent of the time … except the one time I got busy and forgot. We were on a biking trip in Chamonix, France, and I fell and broke my leg. I was rushed to a hospital in the Alps and had to have surgery. I was in the hospital for four or five days, then I couldn’t travel home for three weeks. Travel insurance would have covered medical costs, transportation and probably accommodations. Luckily, medical care in Europe isn’t as expensive as in the USA, but I still paid thousands of dollars out of pocket.

CB: Was this an active vacation? Are you an experienced biker? 

NP: I’m not an experienced biker, but it was an active vacation. In this case, though, we weren’t out on a trail, and it wasn’t dangerous. It was really random. I was in the street on a leisurely ride and hit a small divider in the road and fell just the right way, or the wrong way, I guess I should say. It was a freak accident that could happen to anyone.

CB: What was that moment like when you realized you didn’t have insurance? 

NP:.  As soon as I fell and knew something was wrong, I was lying on the ground, and the first thing I thought of was: I don’t have insurance!

CB: Your tale is a cautionary one. Do you use it to try and convince your clients to buy it?

I don’t try to convince clients; ultimately, the decision is theirs. But I definitely advocate for it and really wish I had it. I’d say less than 50 percent (of clients) make the purchase, which I think is a mistake.

CB: Why do you think they opt out?

NP: I guess it’s like all insurance: There’s a sense that you won’t ever need it, and it’s an extra cost. It can be a big one too if your vacation is expensive, or you’re traveling to a remote area.

CB: You make a good point about the costs of vacations. The luxury vacations Ciao Bambino plans are typically tens of thousands of dollars or more. It seems like travel insurance is a smart buy.

NP:  Absolutely! Not only does travel insurance cover medical emergencies, transportation and evacuation if needed, but it can also cover extra costs such as missed or canceled flights, additional accommodations and trip interruptions resulting from that medical emergency. I mean, I’ve purchased insurance for 20 years, and the one time I didn’t, I needed it. So, think of travel insurance as not just peace of mind but also protection for a significant financial investment. Everyone should have it.

Planning a trip abroad this year? Ask a Ciao Bambino Advisor about protecting your trip and yourself.

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Editor’s note: This post was accurate when published. We advise checking independently for the latest information and updates. Ciao Bambino does not accept responsibility or liability for any errors or omissions in, or for any actions taken based on, the information presented.