In these recession-hit uncertain times, when travel across the globe has become necessary to save your business, trip cancellation insurance can save the day, and huge costs too! Let�s say that Chris, a small business owner, needed to travel from the U.S. to Mumbai on 27 Nov 2008 for an important business meeting, crucial to his company�s growth plans.

Unfortunately, the previous day saw terrorists attacking a prominent hotel and other places in Mumbai, and India was on tenterhooks. All the airline tickets for Chris and his colleagues had to be cancelled (which were non-refundable), leaving him with a huge cost burden.

Had he taken trip cancellation insurance which covers, among other things, terrorist incidents at a city in your travel itinerary, Chris would have been a happier and richer man. It is important to take trip cancellation policy as close to the travel date as possible as there is a maximum duration for this policy.

Also a point to remember is to note that different companies offer different durations of policies. In most policies, the term, �terrorist attack� does not include general civil disturbance, rioting, an act of war (declared or undeclared), or the intentional release of biological material.