Honestly, every time I book a flight or plan a trip, there’s always this little voice in my head going, “Should I get travel insurance? Or am I just wasting my money again?” And the same thing happens with friends who move abroad for a few months for work or studies. Do you really need insurance if you’re only gonna be there for a little while? Or is it just one of those things companies sell you to scare you?
So, I did the digging — and man, the stuff I found is wild. Turns out, insurance for tourists and temporary residents isn’t just about stolen phones and cancelled flights. It’s way deeper, and sometimes, it literally saves people’s lives. But yeah, in other cases, it’s just money down the drain. The trick is knowing which is which.
First off, when you’re a tourist, your regular health insurance from home usually won’t cover you abroad. Or if it does, it’s super limited. Like, imagine you break a leg in Bali or get food poisoning in Mexico — without travel medical insurance, you could end up with a $10,000 hospital bill. No joke. Forbes actually shared a case where a guy got appendicitis while traveling and had to pay $15,000 upfront because he didn’t have coverage. Brutal.
And it’s not just about health stuff. Flights get delayed, bags go missing, and sometimes entire trips get cancelled because of weather, strikes, or weird emergencies. Travel insurance can cover all that, depending on the plan you get. But here’s where it gets messy — a lot of people buy these super cheap plans that barely cover anything, and when disaster hits, they realize they’re on their own. That’s why reading the fine print matters. Yeah, it’s boring, but it can literally decide if you get your money back or not.
Now, for temporary residents — like students or people working abroad for 6 months or a year — it’s a different game. Most countries actually require some type of health insurance for anyone staying that long. Not having it can mess up your visa or residency application. And if you get sick without it, you’ll be paying way more than you ever expected.
Take Canada, for example. If you’re on a student visa for a year, they make you show proof of medical coverage. Some universities offer their own plans, but they’re expensive. A lot of students go for third-party insurance, which is usually cheaper and covers the basics — doctor visits, emergencies, sometimes even dental. But again, you gotta check the exclusions. Some plans won’t cover things like mental health, chronic conditions, or pregnancy, which might matter depending on your situation.
Even countries with free healthcare aren’t always free for visitors. Like the UK’s NHS — it’s amazing for residents, but if you’re a tourist or temporary resident, you might get charged for certain treatments. Same with Australia and New Zealand. So it’s a myth that you can just show up and get free care everywhere.
That being said, there are cases where buying insurance might actually be pointless. If you’re going somewhere super cheap, like Southeast Asia, and you’re young, healthy, and not doing anything risky (no scuba diving, no skydiving, no jungle trekking), you might decide to skip it. Hospitals there are affordable, and for minor stuff, you could pay out of pocket and still spend less than the cost of the insurance. A lot of backpackers do this.
But it’s a gamble. And it only makes sense if you’re ready to risk it. If something big happens — like a motorbike crash or dengue fever — those bills add up fast. And not every country will let you leave without settling your hospital tab first. Some even hold your passport until you pay.
Then there’s the COVID factor. Ever since the pandemic, many countries made travel insurance with COVID coverage mandatory. No coverage, no entry. And it’s still the case in some places. So if you think you can slide by without it, you might get a nasty surprise at the airport.
The bottom line? It comes down to your destination, your budget, and what kind of risks you’re okay with. If you’re visiting somewhere pricey like the US, Japan, or most of Europe — insurance is a must. Medical care there is crazy expensive, and accidents happen whether you plan for them or not. If you’re a student or temporary worker, you probably don’t have a choice anyway. And if you’re just going on a chill beach trip for a week and feel like rolling the dice, sure — but be ready to deal with whatever comes.
My advice? Don’t just blindly buy whatever policy the travel site recommends at checkout. Compare a few providers. Check reviews. Look at what’s actually covered. Some good names people trust are World Nomads, SafetyWing, and Allianz, but it really depends on your trip. Some plans cover adventure sports, others don’t. Some cover lost electronics, others act like your $1200 phone doesn’t exist. It’s worth the 20 minutes of research.
At the end of the day, insurance is like a seatbelt. Most of the time, you won’t need it. But the one time you do — you’ll be really, really glad you had it on.
So is travel insurance for tourists and temporary residents a scam or a lifesaver? Honestly… it can be both. The smart move is figuring out which one it’s gonna be for you before you get on that plane.
