Your Money


And for all of you out there thinking about taking a vacation and then thinking again because of worries you might lose your job first, here's something to consider: a kind of travel insurance that reimburses you if you get laid off and have to cancel your trip.

NPR's Brian Reed reports.

BRIAN REED: As they plan vacations, more and more people are asking the question: Can I pay for this trip if I get laid off?

JIM GRACE: The question does come up, and people are really concerned.

REED: Jim Grace is CEO of the travel insurance agency He says he's seeing an increased interest in policies that include protection against involuntary termination of unemployment, a.k.a. losing your job.

GRACE: It's not necessarily new, but there's very, very important coverage there for people in economic uncertain times.

REED: Although it varies by plan, the gist is simple. If you buy the insurance before you know you're going get laid off and then it happens, you're covered. Typically, coverage costs four to 8 percent of your trip's price. Martha Meade is a travel industry veteran at AAA.

MARTHA MEADE: Even vendors that don't generally offer that type of insurance are adding things like a job layoff as an acceptable reason to cancel and get your money back.

REED: Walt Disney World in Florida is one of those vendors. They added a layoff clause to some of their insurance policies at the end of 2008. But, of course, make sure you read the fine print. On most of the plans, you need to have worked for your employer for at least a year, and sometimes as much as five years in order to collect.

Brian Reed, NPR News, Washington.

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