Wednesday, June 15, 2022

What Is Basic Travel Insurance

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Understanding Travel Insurance

While UK residents don’t have to worry about the cost of emergency medical treatment at home, hospital bills abroad can quickly run into thousands of pounds, leaving you with a huge bill in your time of need.

Even fairly minor ailments can prove costly, with the average medical claim reaching £1,360 in and 3,000 British travellers needing help every week last year, according to the Association of British Insurers .

Five and six-figure medical bills are not uncommon on holiday, and the ABI has reported just a few examples:

  • A £125,000 claim for surgery following a jet-ski accident in Turkey

  • A £32,000 claim for pneumonia caught on a school trip in the USA

  • A £60,000 claim to treat injuries after a road accident in El Salvador

Does Travel Insurance Cover Quarantine

There are travel insurance policies that can cover unexpected expenses if you have to quarantine in another country. But in order for any benefits to apply, you must test positive for Covid-19 and your travel insurance plan must cover Covid-related expenses.

For example, if you visit a state or a country that has a mandatory quarantine in place upon your arrival, there are no travel insurance benefits to cover any extra costs for quarantining, unless you test positive for Covid-19 and the plan covers Covid.

If you get sick abroad from the virus, a plans travel medical benefits can also kick in if its travel insurance that covers Covid-19.

Travel insurance policies that provide benefits if a traveler contracts Covid-19 can also extend their coverage past the original return date, typically up to seven days, says Steven Benna, a spokesperson for Squaremouth, a travel insurance comparison site.

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How The Australian Government Can Help

The Australian Government is limited how and when it can help Australians overseas. It’s important you understand our limits.

We can’t pay your bills for you. We can’t loan you money.

Consular services are not your ‘backup plan’ if things go wrong and you need money.

You must take personal responsibility for your situation when you travel. This includes your finances. We expect all Australians travelling overseas to take out appropriate insurance for their trip.

In many cases, you’ll depend on your travel insurer for help when things go wrong. This includes both financial and practical support.

If you can’t afford insurance, you can’t afford to travel.

Understand how and when we can help. Read the Consular Services Charter.

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Common Exclusions For Baggage And Valuables

How your property problem happened and what it is can impact your insurance cover.

  • You usually won’t be covered if you were breaking the local law when the incident occurred. This can include not wearing a motorbike helmet on a moped.
  • Many insurers won’t cover you if something happens to your property when you’re under the influence of alcohol. Even a low blood alcohol level can get your claim denied.
  • Your items won’t be covered if the incident occurred while you were doing an excluded activity. For example, if your policy excludes riding motorbikes and you lose your phone while riding, you can’t claim it.
  • Unattended baggage is rarely covered. Even if you turned away for just a moment when it was stolen.
  • Valuables locked in a car may not be covered. You may need a separate car insurance policy via the hire company and excess reduction cover from your travel insurer as an extra.
  • Baggage checked in on an airline may not be covered. Ask your airline what their policy is for items lost, broken or delayed when in their care.

Going Skiing Make Sure You’ve Got Winter Sports Cover

Travel Insurance Basic Benefits

Winter sports can be dangerous, so as soon as you’ve splashed out on your break, make sure you are insured on the slopes. As well as covering you for the basics you’d get under a standard travel policy, you’ll also be insured for activity-related injury and your winter sports equipment.

Quick questions

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Comparing Travel Insurance Providers

When comparing travel insurance policies, there are a few things that you should keep in mind. These include:

  • Pricing: Pricing is one of the most significant factors when comparing travel insurance policies. Look for a provider with low rates that doesnt skimp on coverage.
  • Policy types: Depending on where youre traveling and how long youre staying, different policy types may work best for your situation. For instance, you may need a different policy for a short, week-long trip than you would if you plan to travel abroad for several months.
  • Coverage limits: Travel insurance plans have coverage limits for trip cancellation, interruption, and medical expenses. Look for a plan whose coverage limit matches the amount youve spent on your travel plans.
  • Exclusions: Some travel insurance plans come with exclusions. If youre worried about a particular event or accident, make sure its covered before you pay for a plan.
  • Customer satisfaction: Customer satisfaction is also an important factor when purchasing a travel insurance plan. Look for a provider with high customer satisfaction ratings and a history of good customer service.

Do I Need Travel Insurance For The Uk

Although you don’t need medical insurance to travel in the UK, as you’re covered by the NHS, you may need cover for a cancelled trip due to illness or injury. Again, any policy you take out now will not cover coronavirus-related claims.

If you’re thinking of taking a staycation this year, travel insurance is still an important consideration. Travel insurance will cover you if you have to cancel or cut short your holiday in the UK because of illness.

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What Sort Of Travel Insurance Do I Need

Here’s a useful checklist for making sure that your travel insurance covers you. Check that:

  • theres a 24-hour emergency helpline

  • you’re covered for lost or stolen items

  • your policy covers serious injuries, hospitalisation and sudden illness

  • you’re covered if you need to cancel your trip or cut it short

  • you’re covered if you’re going to be doing anything risky, such as skiing or extreme sports

  • your policy covers the full cost of your holiday or if you need to cut a trip short due to illness or other circumstances

  • your policy covers the cost of getting home.

Other types of travel insurance might include personal accident cover , cover for pregnancy, legal expenses or financial protection if your travel agency goes out of business. You may also want to opt for cover if anything should happen to your home while you are away.

Best Travel Insurance Companies Of 2021

Travel Insurance Tips |Ep. 6| Backpacking For Beginners

Travelex offers extensive coverage for you or your whole family at a competitive priceand kids are included at no extra charge. A relatively low price for the high levels of coverage made it our top choice. Look for the Travel Select plan for the best coverage.

  • Competitive pricing for comprehensive coverage

  • Multiple plan options with customizable features

  • Children under 21 covered at no extra cost

  • Mixed pre-existing condition coverage depending on the policy purchase date

  • No annual plan available

  • Basic coverage plan features minimal coverage

Travelex Insurance Services is a well-known travel insurance provider based in Omaha, Nebraska. Founded in 1996, Travelex offers several insurance packages depending on the coverage needed for your trip. Policies are underwritten by Berkshire Hathaway Specialty Insurance company, which earns an A++ rating from AM Best and AA+ from Standard & Poors. Coverage is available to customers worldwide.

The Travel Select plan starts at $28 and includes trip cancellation, trip interruption, as well as emergency medical and evacuation, but there are also several ways to customize and upgrade coverage.

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What Are You Taking

The best thing to do before looking at holiday insurance options is to think about what youll need cover for. If youre planning on taking your MacBook or tablet abroad, then going for the cheapest cover from a comparison website might be less than useless if you realise its only covered your valuables up to £50.

  • Make a list of important items that youll be taking with you
  • How much do you need these items covered for in total and individually
  • Lastly, check your contents insurance as they may be covered away from your home already
  • Buy Travel Insurance As Soon As You Booked To Cover Non

    If you’ve booked a holiday a holiday, do not leave arranging the insurance on the ‘things to do’ list, as you’ll be taking an unnecessary risk.

    This is because travel insurance doesn’t just cover you while you’re away it also covers you for cancellation, events such as redundancy or an injury or death in the family, or anything else that might go wrong BEFORE you make your trip. You’re also covered if you catch coronavirus shortly before your trip and can’t go.

    So, always buying your travel insurance ASAB . The same rule applies for a UK holiday, and have a guide to help with arranging UK travel insurance.

    … and see if it’s cheaper to get a group or individual policy.

    If travelling with your partner or family, you have two options you can cover everyone under one policy, or each person takes their own. It’s often cheaper to get a combined policy, however, there are times when separate policies will be a better option , including:

  • If one of the travellers is over 65, as the group price you’ll pay is based on the oldest traveller, or the person deemed to be the highest risk, so the insurer will usually hike the price for all .
  • If one of the travellers has a medical condition, as it will increase the price for all.
  • If just one of the travellers is going outside Europe, in particular to the US, or on a skiing trip , it could be better to have separate policies, rather than the whole family buying extended cover when it’s not needed.
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    Baggage And Personal Belongings

    If your stuff is lost, stolen or damaged while you’re away, you should be able to claim, as almost everything you take with you is included think phone, camera, wallet, expensive clothing, etc. Yet be aware policies can vary greatly both in the amount covered and in the excess the amount you have to pay towards the claim yourself. You may already be covered for this under your home contents policy, as these often cover belongings outside the home, so check.

    Why Is Having Travel Insurance Important

    Travel Insurance 101

    Whilst you hopefully wont have to make a claim, travel insurance is there to protect you in the event that something goes wrong it will cover you for medical costs should you need treatment abroad if your flights are cancelled or delayed and it can provide some compensation if your possessions are stolen.

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    Most Comprehensive Coverage: World Nomads

    World Nomads

    • Most pre-existing conditions are not covered

    • Not all policies cover adventure sports

    World Nomads is a good insurer for those looking for adventure. The Australia-based provider is a solid choice for worldwide travel with few excluded activities. Policies are underwritten by various insurers including financially strong and well-known Nationwide Mutual Insurance Company, Generali Global, AIG, and Lloyds.

    Coverage includes terrorist attacks, assault, medical repatriation, equipment and baggage, and overseas medical and dental. The high-end Explorer Plan covers activities including snow sports, water sports, aviation, motorsports, athletics, and high-adventure experiences. More than 200 activities are named and many are specifically excluded by other insurers.

    For the Explorer Plan, a solo 35-year-old would pay around $200, depending on inputs like age and state of origin, for a month in Thailand, which is very reasonable for such extensive coverage. The lower-coverage Standard Plan costs around $100 for the same trip, but it makes sense to choose higher coverage levels if youre worried about something going wrong.

    This U.S.-based policy is underwritten by Nationwide with a $100,000 limit for emergency accidents and illnesses, $500,000 for emergency evacuation, $10,000 for trip cancellation , and much more.

    Heading Away Twice Or More This Year Annual Cover May Be Cheaper

    If you know you’re going to travel at least twice in a 12-month period, consider an annual policy instead of single-trip cover. This is because annual cover can work out cheaper than buying two single-trip policies. But always do the calculations.

    Of course, this varies depending on where you’re travelling and for how long, but if you get an annual policy you also have the added comfort of knowing if you have a third trip within that 12-month period, you already have the cover in force.

    Annual cover will insure you for an unlimited number of trips over a 12-month period. However, the number of days you can be on holiday for per trip may be capped it can often be as low as 17 days, with other setting the limit at 31 or 45 days but can sometimes be as as high as 90. If you’re planning a backpacking trip or gap year travelling where you’ll be away for months on end, you’ll need specialist backpacker insurance.

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    GoSkippy Travel Insurance is arranged and administered by JustTravel Insurance

    Just Travel Insurance is a trading style of Just Insurance Agents Limited. Registered in England. Company No. 05399196. Registered Office: Victoria House, Toward Road, Sunderland, SR1 2QF. Just Insurance Agents Limited are authorised and regulated by the Financial Conduct Authority number 610022. *Based upon lowest premium for 35 year old, 7 day trip in EU. January 2019*Kids go free on Infinity family policies only. Based on two adults 49 or under and up to four dependent children living at the same address. Subject to medical screening. Discount code GS10 offers 10% discount on any travel insurance purchase expires 31st December 2021, this can be used online or over the phone.

    What Cover Should Travel Insurance Include

    Travel Insurance Basics

    Your travel insurance should always include the following cover:

    • medical expenses and cover for getting you home if you’re injured or fall ill abroad
    • personal injury and cover for accidents or damage caused by you
    • cover for lost or damaged items
    • cover for lost or delayed baggage
    • cover for cancellation or missed departure.

    How much you pay for your insurance depends on the amount of cover you’re likely to need. You should never under-insure yourself just to save money. However, you may be able to keep costs down.

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    Do I Need Travel Insurance If I Have A European Health Insurance Card

    As well as travel insurance, you should have a European Health Insurance Card or EHIC. As a UK resident you’re entitled to state healthcare when visiting an EU country if you have an EHIC. Iceland, Liechtenstein, Norway and Switzerland are also part of this scheme.

    Your card will be valid until the end of 2020, or when we leave the European Union under Brexit. It’s important to remember that your EHIC doesnt replace travel insurance, it just complements it.

    The EHIC will not cover all medical costs, including emergency repatriation to the UK this is one reason medical claims are so costly, with an air ambulance from Spain to the UK costing an estimated £25,000 .

    Visit, www.ehic.co.uk, get a form from your post office or call EHIC to apply for an EHIC card. You can’t use the EHIC card to go abroad for medical treatment, but you’re covered for routine and necessary visits to the doctor or hospital for certain pre-existing conditions, or if you’re pregnant.

    You may be asked to contribute to the cost of your healthcare, but in some cases you can be reimbursed for those costs.

    If you have a pre-existing condition, you can still get a quote. These conditions could include cancer, stroke, serious heart, respiratory and terminal conditions.

    You can contact the Money and Pensions Service or you can telephone 0800 138 7777.

    What Does Travel Insurance Cover

    Travelling without insurance could leave you paying a hefty price if something were to go wrong.

    Depending on the policy, travel insurance pays out in a wide range of circumstances.

    Most policies include cover for:

    • lost or stolen bags
    • emergency medical expenses, such as the cost of treatment and getting you home
    • the costs of cancelling, delaying or cutting your trip short
    • disruptions to travel or accommodation, such as delays and cancellations
    • legal costs, in case youre sued for damaging property or causing injury.

    The exact cover available will vary significantly between different insurers and policies. So its important to be familiar with the policy wording before you buy.

    For more on the features that are must haves, should haves and could haves see our guide on Travel insurance what does a good policy look like?

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    Where Can You Buy Travel Insurance

    Travel insurance is widely available. You can buy it from:

    • insurance companies
    • online comparison websites
    • holiday companies.

    Sometimes, travel insurance might be included as an extra service offered through your bank account or credit card. You should check how much you’re paying for this and what kind of cover it offers. For example, cover may be limited for your spouse or partner. It might be better to buy a stand alone policy.

    Your travel agent may offer you travel insurance as part of a package holiday. You can opt for this if you want to but you don’t have to buy this insurance. The travel agent is breaking the law if they try to make you take it out or charge you more for your holiday because you refuse to accept it. If this happens, you should get advice.

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