What is the purpose of travel insurance?

The purpose of travel insurance is to protect against financial losses from unforeseen events that may occur before or during a trip. This protection can cover a variety of situations, such as trip cancellations due to emergencies, medical expenses resulting from accidents or illness while traveling, lost luggage, and other unexpected incidents that can lead to financial burdens. By having travel insurance, travelers can mitigate the risks associated with unforeseen events, ensuring they do not face significant out-of-pocket expenses that could impact their travel experience negatively.

The other options do not accurately capture the primary function of travel insurance. For instance, providing free accommodation or covering daily living expenses might relate to travel assistance services but does not align with the main purpose of insurance. Similarly, guaranteeing travel satisfaction is not a function of insurance; rather, it would fall under customer service aspects of travel providers.