Q: Dear Peter, I always purchase travel insurance for emergency health and accident events. I am not really sure what else it covers. Does it cover small events like lost luggage that arrives three days late?

–Chava

Brooklyn, N.Y.

A: How much or how little your travel-insurance policy covers depends on the fine print of the policy. There are dozens of types of travel-insurance policies—some that cover a great deal, and some very little. Some companies also offer optional add-ons and riders to cover things that standard policies don't.

See Also: Medical Insurance When Outside the U.S.

However, the "standard" type of plan, known as an all-in-one policy (or package plan), generally covers trip cancellation, medical emergencies, baggage-delay insurance, and theft coverage. Some policies that are medically oriented also throw in a few other types of coverage, such as for lost or delayed baggage.