The 10 Worst Travel Insurance Companies

Travel insurance is supposed to be the safety net that keeps your plans from turning into a financial mess. When flights get canceled, bags go missing, or medical issues pop up abroad, you expect your insurer to step in without friction. In reality, not every provider lives up to that promise.

So what is the real problem people face with poorly rated travel insurers? It usually comes down to denied claims, unclear policy wording, slow reimbursements, and customer support that disappears when you need it most. I’m writing this from a consumer-first angle, focusing on patterns that show up repeatedly in customer complaints, regulatory actions, and long-term reputation issues.

Below, I break down the companies that travelers most often regret buying coverage from, why they land on this list, and what you should watch for before purchasing a policy.

10 Poorly Rated Travel Insurance Companies to Be Aware Of

Before getting into individual breakdowns, here’s a quick comparison table to give you a snapshot of the most common issues travelers report with each provider.

AIG Travel Guard

AIG Travel Guard is often one of the first names people recognize, largely due to its global brand presence. That recognition doesn’t always translate into positive experiences for travelers.

One recurring issue is claim denial based on technical definitions buried deep in policy documents. Travelers frequently report submitting full documentation only to be told their situation doesn’t meet the insurer’s internal criteria.

Common frustrations include:

• Medical claims rejected due to pre-existing condition clauses
  
• Long reimbursement timelines, sometimes exceeding 90 days
  
• Multiple document resubmissions for the same claim
  

For example, a traveler hospitalized overseas for food poisoning may discover that the insurer classifies the condition under exclusions if symptoms existed before departure, even if they were minor. These interpretations often leave policyholders feeling misled.

Allianz Global Assistance

Allianz Global Assistance is one of the largest travel insurance providers worldwide, yet its size often works against individual customers. Many complaints focus on partial payouts rather than full reimbursements.

Travelers often say their claim was approved, but only a fraction of the expected amount was paid. The reason usually ties back to coverage caps and sub-limits that aren’t clearly explained during purchase.

Typical problem areas include:

• Trip interruption reimbursements capped well below trip cost
  
• Medical evacuation coverage requiring pre-approval
  
• Customer service scripts that don’t address case-specific issues
  

If a traveler books a $6,000 international trip and needs to cancel due to illness, they may receive only a portion back after “non-refundable expense reviews,” even when receipts are provided.

Travelex Insurance Services

Travelex has been around for decades and works with airlines and booking platforms, which gives it visibility. That said, visibility doesn’t equal satisfaction.

The most frequent complaints involve delayed claims and lack of proactive communication. Travelers often say they’re left guessing about claim status for weeks.

Key concerns include:

• Processing delays beyond stated timelines
  
• Limited escalation paths when claims stall
  
• Confusing online portals that don’t update in real time
  

In real-world terms, someone filing a baggage delay claim may end up covering replacement costs themselves for months while waiting for reimbursement.

Seven Corners

Seven Corners is known for international and medical-focused coverage, especially for expats and long-term travelers. Unfortunately, this is also where disputes tend to arise.

Medical claims are closely scrutinized, and many travelers report denials due to documentation standards that aren’t explained upfront.

Common complaints include:

• Requests for excessive medical records
  
• Disputes over what qualifies as an emergency
  
• Delays when treatment occurs outside the US or Europe
  

For instance, emergency treatment in Southeast Asia may be deemed “non-essential” after the fact, even if a local physician advised immediate care.

World Nomads

World Nomads markets heavily to backpackers and adventure travelers, which creates high expectations. The issue is that many policyholders misunderstand what activities are actually covered.

Claims are often denied due to activity classifications, even when travelers believe they purchased appropriate coverage.

Reported issues include:

• Adventure sports exclusions
  
• Equipment coverage limitations
  
• Email-only customer support during claims
  

A traveler injured while riding a scooter may find their claim denied because the engine size exceeded policy limits, something not always clear during checkout.

AXA Assistance USA

AXA Assistance USA operates under a large international umbrella, but customer experience varies widely depending on region and policy type.

The biggest concern is procedural rigidity. Claims often fail due to minor paperwork issues, even when the core incident is valid.

Frequent complaints involve:

• Strict filing deadlines
  
• Rejections due to formatting errors
  
• Difficulty reaching a live claims specialist
  

For example, submitting a hospital bill without a specific diagnostic code can result in a denial, requiring a full resubmission cycle.

Generali Global Assistance

Generali Global Assistance has expanded rapidly through partnerships with cruise lines and tour operators. With that growth has come a rise in service complaints.

Travelers commonly mention slow refunds and unclear explanations for claim reductions.

Key pain points include:

• Long review periods
  
• Limited transparency on claim calculations
  
• Confusing appeal processes
  

A cruise traveler forced to cancel due to weather-related disruptions may receive less compensation than expected due to narrow definitions of “covered events.”

IMG Global

IMG Global focuses heavily on international medical coverage, but complexity is its biggest drawback.

Policies are written in dense, legal-style language that many travelers struggle to interpret. This leads to mismatched expectations at claim time.

Reported issues include:

• Medical reimbursement disputes
  
• Currency conversion delays
  
• Inconsistent customer support quality
  

Someone receiving emergency care abroad may wait months for partial reimbursement while exchange rates and billing classifications are reviewed.

Nationwide Travel Insurance

Nationwide is a well-known name in the insurance industry, but its travel coverage often feels conservative compared to competitors.

Claims are rarely outright denied, but payouts may fall short due to low coverage limits.

Common complaints include:

• Modest medical expense caps
  
• Limited trip delay reimbursements
  
• Conservative claim assessments
  

For example, a multi-day hotel stay caused by airline cancellations may exceed daily reimbursement limits, leaving travelers to cover the rest.

Berkshire Hathaway Travel Protection

Berkshire Hathaway Travel Protection is known for fast claims through automated systems. Speed, however, comes with trade-offs.

Automation can lead to rigid decisions with little room for human review.

Common issues include:

• Claims rejected due to missing data fields
  
• Minimal appeal flexibility
  
• Narrow interpretations of covered reasons
  

A traveler submitting a claim with one missing document may face immediate denial rather than a request for clarification.

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Conclusion

Choosing travel insurance isn’t about finding the cheapest policy or the most recognizable brand. It’s about understanding how an insurer behaves when things go wrong. The companies listed here tend to struggle in areas that matter most during stressful travel situations, including claim flexibility, communication, and realistic coverage interpretation.

If there’s one takeaway, it’s this: always read policy exclusions, understand coverage limits, and don’t assume marketing language reflects real-world protection. Travel insurance should reduce stress, not add to it when you’re already dealing with canceled trips, medical emergencies, or lost belongings.

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Frequently Asked Questions

How can I tell if a travel insurance policy is more likely to deny claims?

The biggest warning sign is vague or overly technical policy language. If key sections like “covered reasons,” “medical necessity,” or “pre-existing conditions” are hard to understand, that usually leads to disputes later. I always recommend checking how claims are reviewed, whether pre-approval is required for medical care, and how strict documentation rules are before buying a policy.

Are online travel insurance comparison sites always reliable?

Comparison sites are helpful for pricing, but they rarely show how claims are actually handled. Most rankings focus on premiums and coverage limits, not real customer experiences. To get a clearer picture, look at long-term complaint patterns, regulator filings, and how insurers respond to disputes rather than just star ratings.

Does buying travel insurance through an airline or booking site offer better protection?

Not necessarily. Policies sold through airlines, cruise lines, or travel agencies are often branded versions of third-party insurers with tighter restrictions. These plans may prioritize the travel provider’s interests first, which can limit your options if you need flexibility or independent claim support.

What should I do immediately after a travel incident to protect my claim?

The most important step is documentation. Keep receipts, medical reports, boarding passes, and written statements from airlines or hotels. Contact the insurer as soon as possible, even if you don’t have all documents yet. Delayed reporting is one of the most common reasons valid claims fail.

Is higher-priced travel insurance always safer?

Price alone doesn’t guarantee better outcomes. Some higher-cost policies still have strict exclusions and low sub-limits. What matters more is how clearly coverage is defined, how claims are reviewed, and whether the insurer has a track record of paying without excessive disputes. A well-structured mid-range policy can outperform a premium one if terms are fair and transparent.