I have been looking into travel insurance options from AIG, but I just cannot see definite benefits in them, and am seeking opinions from this forum.

The typical option (for 3 months trip) has a coverage for the travel delay (up to $500), the trip interruption (up to $1000), lost or stolen baggage (up to $1000), and the premium is $650. Maybe I'm missing something here, but why would I pay the premium that's (roughly) equivalent to any compensation I might get for the above events? What's the point of that, since I could just pay for the damage myself?

The only thing I see benefits are medical expenses, but I already have international medical coverage from my blue cross blue shield, and I don't see anything additional from the travel insurance.

Does most of people automatically sign up for a travel insurance? Should I be looking into other insurance companies for the better quotes perhaps? (I thought AIG was one of the biggest travel insurance issuers...)

Thank you for the advice.

You don't indicate what country you are from so that is hard to answer. I looked into AIG and I have been getting mail from them at least once a week. I didn't find them the most reasonable and ended up getting medical insurance from my bank and trip cancellation insurance from my travel agent. The trip cancellation cost me 71.00 and I got all of my fare to South Africa back.

If you have some form of travel insurance, I dont believe you need more. Many credit card comoanies also provide you with travel insurance if you pay for your airtickets with your card. Whenever we have travelled,this is all I have had./

Enjoy your trip

Regards

Mike

I find the insurance offered by credit card companies offer good value for covering travel related costs due to cancelatiosn outside your control (I use Diners Club), The other major reason for insurance is medical and this is not negotiable, you must have it but it seesm it is covered in your case. I agree the quote you have is rediculous.