If you have ever had an accident, lost your passports or baggage, or had to see the doctor as a result of injuries from a journey? Then, travel insurance is your best bet for covering these payments, be it local or international. Depending on what kind of policy you purchase, it might even cover payment for a ransom should you get kidnapped.
Travel Insurance: why you should use one
The major types of travel insurance are:
- Trip Cancellation or Interruption or delay Coverage: in the event of a trip cancellation, this insurance covers reimbursement for non-refundable travel fees.
Depending on your insurer, there is a list of acceptable reasons for getting payment after cancelling your trip. Things like weather issues, sickness e.t.c., are generally permitted.
Usually, there's absolutely no need to get a trip cancellation insurance if there's a refund guarantee.
- Baggage and Personal Effects Coverage: Quite a number of people have had their baggage stolen, missing or damaged during a trip.
Depending on your means of travel, you might get some or no payment when something happens to your baggage. Hence, why you need to insure your baggage so you incur no financial loss.
- Short-Term Medical and Major Medical Coverage: Short term is usually about 5 days to 1 year, while major covers anywhere from 6 months upwards. The options for this coverage include linking you to doctors, paying for medical bills incurred as a result of the journey, offering translation services in a foreign place, or even movement while getting medical help
- Accidental Death and Flight Accident Coverage: If you've bought a policy under this, then you'd be entitled to benefits for serious injuries or disabilities, and in a case where the insured dies, the benefit goes to their beneficiary.
Depending on the policy, some airliners might be excluded for licensure reasons. Also, there's generally no need to get this coverage if you already have life insurance. Find out about life insurance and other types of insurances in this article.
- Emergency medical assistance, evacuation and repatriation: this option is great when you fall ill on a trip. You get transported to a hospital, and when needed, you could even be flown back to your home country.
How much is travel Insurance?
The question "how much is travel insurance" depends on the insurer. Also, this is usually guided by factors such as the premium paid, age, what policy you're purchasing and its coverage, insurer's exclusions, destination, how long you're buying the policy for, and cost of the trip.
If you hardly ever travel, then you could get per-trip insurance which is usually about 5-7% of the trip's cost. However, if you're more likely to travel frequently, then get an annual coverage that runs a full year.
What does Travel Insurance Cover?
Because travel insurance usually covers unforeseen acts, many insurers would refuse to pay for certain pre-existing conditions.
Some may also exclude coverage for trips to high risk zones- countries at war or with a high risk of terrorism, or events e.g site of an active volcano, else they'd keep losing money; conditions previously unmentioned; conditions that can be linked to something asides the journey; or even trips taken for the purpose of receiving medical treatment.
How does travel insurance work?
Just like every other type, when an event covered by your policy occurs, you file a claim, and once it's approved, you get reimbursements or direct payments.
Because certain travel agencies sell travel insurance, it's important to review the terms before purchase. This is because it's not always monetary, and they may decide in place of trip cancellation, to offer you a free ticket elsewhere. This is one of the reasons why it's usually better to get from a travel insurance provider.
Before Getting A Travel Insurance
It's always best to check through reviews what policies you already have and what they cover before venturing into a travel policy, e.g. some credit card and home policies will replace missing luggage and pay for trip cancellations, health insurance would most likely pay for accidents incurred during travel, life insurance would pay in case of death or a disability e.t.c., that way you don't have to keep paying premiums for something you already have when you can insure something that you don't have.
Best Travel Insurance for Seniors
The older a person is, the more they have to pay as a premium. Usually, the best travel insurance for seniors is a comprehensive package that covers trip cancellation as they are prone to sudden illnesses, their conditions could also make them prone to losing their items.
In case of an accident, they could also get accidental death and flight accident coverage or travel health insurance if they don't already have health insurance and life insurance.