Originally Posted by
Timequake
I think you and everyone else misunderstood my point. If you look at the monthly insurance premiums you pay, then deduct the amount actually paid out to you by insurers when you make a claim, you will realize you are paying in way more than you are getting out of it. That's why insurance companies exist. They make money off of consumers' fear and bad math skills. And they make a lot of it!
Statistically speaking, you would be far better off financially if you took the money you paid on insurance premiums and put it in a savings account to draw from if ever you needed to.
I absolutely disagree.
We are talking about TRAVEL INSURANCE, not long term life insurance. Depending on the type of trip it can be a one time payment covering just the trip.
Case in point...Last May I had a trip planned for late May with a ACA. It cost me about $1,100.00. I purchased the travel insurance for around $110.00. As it turned out, I had an accident in early May and suffered two fractured ribs, a concussion and the requisite road rash. Since the trip was self contained with about 150 miles on dirt and gravel, I had to cancel. "Statistically speaking", paying $110.00 to get a $1,100.00 refund is good math to me and certainly putting that $110.00 in the bank wouldn't grow to $1,100.00 in my lifetime.
Second case on point (Non-cycling but...) A few years ago my dad (in his 90's) had a slip and fall and died. He had been taken to a hospital in Florida by helicopter and was then transported to New York for burial. Without insurance, the total cost would have been in excess of $100,000 (helicopter evacuation, care in hospital, transport to New York and burial). With insurance it was zero. "Statistically speaking", I hope your bank account is bigger than mine. I also sincerely hope that you never have serious problems and ride safely forever.
Last June I cycled the Normandy and Brittany coast of France. The ride was paved and my ribs were 90% healed so I was able to go. If the healing process had been delayed, paying around $450.00 in insurance would have saved me around $4,500.00. Furthermore, I can't imagine what services and costs would have been were I to have been severely injured or died oversees and needed services similar to those that my father received. I'm happier to pay a little and have peace of mind, knowing that my kids aren't burdened by my misfortune.
I choose what is important to me and everyone else can choose what is important to them.
Like someone said previously, if you don't have it and nothing happens, it may seem like wasted money; but if you do need it, it's great to have.