Travel Insurance policy covers you for perils during vacation. It will cover any expenses related to the trip that come up, such as medical care or losses due to theft or damage. There are four main types of travel insurance: cancellation coverage, emergency evacuation and repatriation, lost baggage protection, and medical expense coverage. This article will explore each type in detail, so you know what you should look for when purchasing Travel Insurance!
Cancellation Insurance
What happens when you need to cancel a trip? This may be because it is physically impossible for you to go ahead with your journey, or because something unexpected happens. Injury or illness, natural disasters, death in the family, and many others are some reasons for most cancellations. Cancellation Insurance will payout according to what you paid initially. Coverage usually applies up until around two weeks prior departure date. For a higher premium, you can purchase No-Reason Cover, where you don’t need to give a reason. Speak with an insurance agent for more details.
Emergency Evacuation and Repatriation Insurance(EERT)
EERT Insurance will cover the cost of getting you back home if something happens, necessitating an emergency evacuation. Examples include injuries, natural disasters such as tsunamis or earthquakes, and terrorist attacks during vacation. Travel policy usually kicks in when the local government declares a state of emergency. After Hurricane Katrina devastated large parts of the US Gulf, many people had to be evacuated by helicopter because all other forms of transport were unavailable. Coverage frequently begins either when you leave your home country or when you arrive in a foreign country, whichever happens first.
Lost Baggage Insurance
Baggage Travel Insurance will cover the cost of your belongings on the loss or damage while on holiday. The insurance typically kicks in as soon as the airline declares your baggage lost. The policy covers both checked and carry-on luggage. There is usually a limit to how much money you can claim per bag. So, make sure that you insure all your belongings. Closely related to Lost Baggage is the Delayed Baggage event. The airline will sometimes delay your baggage for some reason, causing inconvenience. Any expenses incurred during that period will be claimable. For example, the cost of buying clothes for that conference.
Medical Expense Travel Insurance
Costs of medical treatment you receive while on holiday are claimable through Travel Insurance. This might include treatment for injuries or illnesses that occur while on vacation. It can also cover transportation to get you back home if you require urgent care and are unable to fly. The policy typically starts covering expenses as soon as you leave your home country and continues until you return. Most policies have a limit per person – so it’s important to check the details of each policy before purchasing.
You need to speak to an insurance agent because there are exemptions. Some pre-conditions will not be insurable, and an alternative solution may be appropriate.
As you can see, Travel Insurance is an essential purchase for anyone who is planning on traveling. Make sure to read the small print carefully when choosing a policy, as each one has different benefits and exclusions.
About travel insurance?
# Not all travel insurances are the same.
# Travel Insurance can be for a single trip, multiple trips, and long term. You should choose a plan that works for you.
# Credit card travel insurance does not cover all your travel risks.
# Ask your travel advisor the requirements of the country you are traveling to. Some countries require travel Insurance as part of visa requirements.
# It is advisable to buy the cover immediately after you confirm the trip. Actually, you can include it when buying an airline ticket.
# Save some money by consulting an insurance agent.
# Homeowner insurance covers some items even when you travel. Covering the same items through travel insurance is not necessary. This is another reason you should have a meeting with an insurance advisor.# Insurance company will not pay first. You will be required to incur expenses first. The insurance company will re-reimburse you these expenses.
# When an incident happens (for example, loss of cell phone, loss of baggage), you will need to report to the relevant authority. The police report will be required for the loss /burglary incident. A medical practitioner’s report will be required in case of an injury. Loss of baggage should be reported to Airline before leaving the airport.
We have discussed Travel Insurance in this article but appreciate that most of what is covered is also applicable to trip insurance.
There you have it. Travel should be an exciting experience whether you are traveling for holiday or business. But we live in a world where things go wrong and or will go wrong That is why Travel Insurance is so important.
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