Most of us could use a vacation right about now, but it's tough to feel confident spending money on a trip when the economy continues to shed jobs by the thousands. Travel insurance providers have seen a huge uptick in travelers asking for an extra layoff insurance provision, designed to reimburse vacationers who plan big trips then lose their jobs. Here are a few things you should know before deciding on a travel insurance package and provider.

• Read the fine print: Most travel insurance policies include a layoff provision, but they're usually restricted to employees [1] who have been with the same employer for one to three years.
• "Cancel for work reasons" may not include a layoff: According to Chris Harvey, CEO of Squaremouth.com, policies including a "cancel for work reasons" add-on cover circumstances like a company move but usually do not cover layoffs.
• Shop around for a policy that meets your needs by comparing several policies at once on search sites like Squaremouth.com and InsureMyTrip.com.
• Bob Chambers, director of operations for CSA Travel Protection, recommends skipping the expense of cancel for any reason packages and encourages consumers to visit the Better Business Bureau or ustia.org to check the legitimacy of the insurance company they're using.

Source [2]