Originally Posted by
DutchessPDX
Quick questions about how to calculate how much Travel insurance you need.
I booked some tours and hotels etc in Argentina and they come to around $5000 but I used Frequent Flyer miles to book my international airfare. Taxes and Fees total around $150 for two people. If I want to cancel these tickets and get my miles back, it will cost me $150 per person or $300 total. The cost of the tickets, had I paid cash would have been in the $2800 range.
What number should I use for my travel insurance purposes?
My initial thought was $5,000 + $300 cancellation costs to get my miles back to be safe (since the taxes are refundable if I cancel) but second guessed myself and wondered if I should actually take out $5000 + $2800?
Any suggestions would be great.
Take the miles out of the equation an what do you have? If you paid cash the tickets would be $2,800, and if refunded you would get $2,500 back, net loss to you of $300, so that's your insurance claim. I don't think any insurance would pay out for "loss of opportunity" - the fact you might not be able to find another miles flight.
On the $5000 for the hotels and tours, check their refund rules, it's likely they will give you something back, e.g charge you for 1 nights stay if cancelled more than a month out, charge you 3 nights if less than a month, etc.