What does traveler's insurance provide coverage for?

Traveler's insurance is designed primarily to provide protection against unforeseen events that may occur before or during a trip. This can include coverage for incidents such as trip cancellation, medical emergencies, lost luggage, or trip interruptions due to unexpected situations like illness or natural disasters. The essential purpose of traveler's insurance is to mitigate financial losses and ensure that travelers have assistance when facing unpredictable challenges.

In contrast, options related to booking discounts, loyalty rewards, tour guide services, and group travel arrangements do not align with the fundamental purpose of traveler’s insurance. These aspects focus more on enhancing the travel experience and reducing overall costs rather than protecting against the risks associated with travel. Therefore, the correct answer highlights the core function of traveler's insurance in safeguarding travelers against unexpected events.