WARWICK, R.I., Sept. 5, 2025 /PRNewswire/ -- The government is scrapping a plan requiring airlines provide cash compensation for significant flight delays. With no new mandated protections coming into effect, air travelers will once again have to rely on airlines' existing policies – and that means many flyers could be left paying out of pocket for disruptions.

According to the experts at InsureMyTrip, this makes comprehensive travel insurance more important than ever. Travel insurance offers robust protections that extend far beyond airline refunds, covering both flight-related expenses and the broader prepaid non-refundable costs of a trip.

Why Travel Insurance Matters More Now

Without government-mandated compensation for delays, travelers risk losing hundreds or even thousands of dollars in prepaid trip costs. Comprehensive travel insurance can step in to protect against these gaps.

Key benefits include:

1. Robust Travel Delay Coverage
   InsureMyTrip policies can reimburse travelers for meals, hotel stays, and other unexpected expenses during extended delays. These protections are not guaranteed by U.S. airlines under current rules.
   
   
2. Protection Beyond Flights
   Airlines may refund tickets for canceled flights, but the majority of trip expenses - like accommodations, tours, and ground transportation – remain vulnerable. Travel insurance may provide reimbursement for these costs, which often make up 60–80% of a trip's value.
   
   
3. Medical Emergencies Abroad
   The DOT rules never covered illness or injury while traveling. Travel insurance offers coverage for emergency medical expenses and emergency evacuation, as standard health plans typically don't cover international travel.
   
   
4. Enhanced Baggage Protection
   While airlines provide limited compensation for lost or delayed luggage, travel insurance offers higher reimbursement limits and broader protection for lost, stolen, or delayed belongings.
   
   
5. Trip Interruptions & Cancellations
   From illness to natural disasters, travel insurance protects against a wide range of disruptions that can derail a trip. These protections far exceed airline refund policies.
   
   
6. Cancel for Any Reason (CFAR) Coverage
   For maximum flexibility, eligible travelers can purchase optional CFAR coverage. This allows them to cancel a trip for reasons not covered by standard policies and still receive partial reimbursement if all requirements are met.

"With the rollback of these consumer protections, travelers can no longer depend on the government to guarantee compensation for delays," says Suzanne Morrow, InsureMyTrip CEO. "That makes travel insurance the most reliable way to protect your investment – from flights to hotels, emergency medical coverage, and many things in between."

Media Contact:
Meghan Kayata
Press@insuremytrip.com 

About InsureMyTrip

You like options. We do too. It's simple. InsureMyTrip finds you the right travel insurance plan, every time. InsureMyTrip is the authority on travel insurance. We are committed to empowering travelers to make the best possible insurance decisions by leveraging our technology, data intelligence, and expertise. InsureMyTrip is rated A+ by the Better Business Bureau.

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SOURCE InsureMyTrip