The Importance of Travel Insurance
No matter how much or how well you plan, the unexpected can happen before or during your overseas holiday. Flight cancellations, illness and lost luggage could happen to any of us and has the potential to be very costly.
Travel Insurance offers you a level of protection against certain circumstances. But how do you choose the right policy? We’ve put together some tips for you.
Your destination will dictate the type of cover required. If you’re travelling to countries where health costs are high, it is best to purchase a policy that has unlimited medical cover. In countries that have a reciprocal agreement with Medicare, you will be entitled to benefits similar to Medicare for necessary medical and public hospital treatment.
All policies have restrictions for pre-existing medical conditions. You must inform the insurer of any pre-existing medical conditions before you sign the insurance contract. Failing to do so may result in your entire insurance policy (not just your medical cover) being cancelled or claims refused.
When travelling you may be tempted to be adventurous and try some challenging sports. Be sure that your insurance covers the activities you anticipate doing. Some insurers provide free cover for most amateur sports like snow skiing, ice sports, hot air ballooning, scuba diving, bungee jumping, white water rafting, parachuting and paragliding.
All policies differ on the excess you need to pay, however most are between $50 to $250. Some include an excess free period for overseas travel up to 32 days. You may be able to opt for an excess buyout which allows you to pay a flat fee.
This cover includes the loss of non-refundable deposits and costs paid in advance if you have to cancel your trip prior to departure. The policy limits vary and you should choose what’s relevant for you. General inclusions which you should consider are illness or injury for yourself or your travelling partner, jury duty or natural disaster.
Cover for cancellation and additional expenses if you have to cut your journey short due a close relative’s illness or death is also included in most policies.
Baggage and Belongings
All policies provide some cover for luggage. Be sure to read the policy to understand what exactly you are covered for. Most policies don’t cover you if you leave your baggage unattended in a public place and it’s stolen. You can insure specified precious items such as cameras and laptops up to a defined per-item limit.
Holidays should be a time to relax and enjoy your destination to the fullest. The last thing you want or expect is losing your belongings or getting sick. This can really ruin your holiday fun. So why risk it!
Travel insurance is essential to ensure a hassle free holiday. You and your personal property can be covered against the unexpected whilst on holidays.