Wednesday, June 15, 2022

Why Travel Insurance Is A Must

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  • Read your policy to determine if travel insurance covers the types of events that you want to cover.
  • Review the policy thoroughly. Ask about any coverage limitations or exclusions.
  • Remember, your homeowners policy should protect your possessions while traveling. But if you have expensive items, consider purchasing additional coverage.

When Do I Need Travel Insurance

A vacation travel break can be revitalizing and can open you up to new experiences. It can also be expensiveand just because you’re off from work doesn’t mean the universe cooperates.

A whole variety of unforeseen circumstances can squash travel plans with little noticewhich often means leaving you on the hook for financial and other losses.

Fortunately, the right insurance can help protect against these losses. Before you book your trip, check if the credit card you plan to use offers any travel insurance or assistance that might be useful to you, then consider the coverages below.

Is Travel Insurance Worth It

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Travel can be expensive. Insurance protects your vacation investment if the unexpected occurs. But is travel insurance worth it? The answer will depend on whether your trip is refundable, where youre going, whether youll have health coverage at your destination and how much coverage you already get from your credit card. Here are some key topics to understand when deciding if travel insurance is right for you.

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How Do I Purchase Travel Insurance Coverage Can I Ever Be Turned Down

Travel insurance may cost between 4-10% of a trip’s price. For example, for a trip that costs $5,000, travel insurance might range from $200 to $500 depending on the coverage. Before you purchase this insurance, consider the following:

  • What are the chances you’ll be impacted by severe weather or another event?
  • How much are you willing to pay for a back-up plan?
  • Do you have questionable health or is a loved one ill?

If you cannot afford to cancel and rebook your trip or your health insurance doesn’t cover you abroad, you may want to consider travel insurance. You typically may not need travel insurance for short trips close to home.

Travel insurance is offered in a competitive market. You have the right to shop around for travel insurance from companies available in your area but a company also has the right to turn down your application for coverage.

In order to obtain a travel insurance policy, you must fill out an application to help the insurance company learn about you, your trip, and the risks the insurance company would be responsible for if they insure you. After reviewing the information, the insurance company will use its own standards, known as underwriting guidelines, to decide whether to issue you a policy, and the rate it would charge for the coverage.

How To Protect Yourself

Why Travel Insurance Is A Must Have

Determine if travel insurance is right for you. Ask yourself:

  • What are the chances you’ll be impacted by severe weather or another event?
  • How willing are you to take risks?
  • How much are you willing to pay for a back-up plan?
  • Do you have questionable health or is a loved one ill?

If you cannot afford to cancel and rebook your trip or your health insurance doesn’t cover you abroad, you should consider travel insurance. You typically don’t need travel insurance for short trips close to home.

Know the coverage limitations, exclusions, and fine print: Each type of insurance has its coverage limitations and exclusions.

Be sure to ask about coverage limitations or exclusions before you commit to buying an insurance product.

Don’t wait until the last minute: Travel insurance is intended to protect travelers against sudden and unforeseen events. If, for example, you are heading to Florida in two days amid hurricane predictions, purchasing travel insurance at the last moment isn’t likely to help you. Typically, if you buy travel insurance after a winter or tropical storm is named, your plan won’t provide coverage for claims related to that event.

Homeowners will cover your possessions during a trip: Most homeowners insurance policies cover personal property lost or stolen during a trip. Check with your home insurer to see what they cover while you are traveling. If you have expensive items, you might want to purchase a to add to your current homeowners policy to cover those items.

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Think About Cover Not Just Price

The cheapest deal isnt necessarily the best. Make sure you get the right policy, even if it costs a few pounds more. Otherwise you might not be able to claim when you really need to.

Read the main benefits and features information offered by your provider before you buy. This will make sure you know exactly what youre paying for.

Youll have 14 days after you received your policy details to cancel if you find the policy isnt suitable for you.

Top 5 Reasons To Get Travel Insurance

Even the best planned trips can be impacted by the unexpected. But whats likely to happen before or during your trip that a travel insurance plan could help you with? Unforeseeable events could throw a wrench in your travel plans and cost you your vacation investment and more.

If youre wondering Should I buy travel insurance? our list of the top five reasons to insure your trip might answer your question:

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Luggage Benefits Are More Robust

Bigger trips generally also mean packing more and packing more expensive stuff. That makes a case for travel insurance with a higher luggage/baggage benefit.

With luggage coverage, its important to read your policy and understand whats covered and perhaps more importantly, whats not covered. Luggage coverage has many exclusions and limitations, and by understanding those you can take steps to help protect everything you take with you.

Its also good to know whether your plan has special coverage for equipment like skis.

In general with longer trips, its always a good idea to go for the biggest luggage benefit you can afford like the $2,000 Baggage coverage found in Generalis Premium plan.

Pro tip: Generally electronics and jewelry are the most expensive items you take with you on vacation. To best help protect them from loss and theft, ask your insurance agent about adding them to your homeowners policy via a rider.

Also read: How to Keep Your Bags and Valuables Safe While Traveling

Why Travel Insurance Is A Must For Your Hong Kong Trip

Why You Must Have A Travel Agent During the Pandemic

An exciting melting pot of ancient and modern cultures, Hong Kong continues to attract visitors from all over the world with its charms. People from different walks of life travel to Hong Kong for many different reasons. From shopping and dim sum to hiking trails and Buddhist temples, the bustling city has something to offer for everyone.

Traveling to Hong Kong may be quite an investment, with multiple flights, costly hotel stays, tours and entrance fees, and transportation within the city. Planning your itinerary and making bookings often means putting down deposits some of which may be non-fundable. Travel insurance for Hong Kong is a smart way to protect yourself financially .

In this Pacific Prime Hong Kong article, we explore why travel insurance is a must for your Hong Kong trip.

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Reasons Why Travel Insurance Is The First Thing You Should Pack While Travelling Overseas

Story outline

  • A comprehensive travel insurance policy will not just cover minor out-patient expenses but in case of a life-threatening situation it extends coverage to pre-existing ailments as well.
  • Some travel insurance plans also offer a benefit called ‘Personal Liability’ wherein the insurance company will cover the expenses for third-party damages.

1.Saves from unforeseen medical expenses2. A friend in an unfamiliar territory3. Coverage for personal liability4. Travel-related emergencies 5. Mandatory requirement

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When To Get Travel Insurance

When youre planning a vacation, youre probably thinking about booking a flight, a hotel and maybe a rental car. While youre in the process of all that planning, its a good time to consider another important piece of the vacation planning puzzle: protecting your trip with travel insurance. Purchasing travel insurance is a smart, inexpensive investment that can provide financial protection in cases of covered trip or flight cancellations, unexpected medical expenses while traveling and costs incurred due to baggage delays, loss or theft.

When should you buy travel insurance? Here are some commonly asked questions along with answers to help you decide:

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Should I Buy Travel Insurance Is My Credit Card Insurance Enough

Before buying insurance it’s best to determine whether you’re already covered by your company health plan or your credit card while you’re traveling. To do the analysis, look for the gaps between what you consider to be adequate coverage and what you actually have. This means reading the small print.

Look at the financial limits of the coverage and whether you’re covered in the countries you’re visiting for the length of time you’ll be traveling. All these factors can affect whether you have adequate insurance. Check for:

  • Emergency medical coverage limits and deductibles.
  • Companion coverage, which is especially important for solo travelers.
  • Upfront payment for claims.
  • Baggage loss coverage.
  • Baggage delay coverage.

Note for Ontario residents: As of January 1, 2020, the Ontario Health Insurance Plan will no longer cover any portion of out-of-country medical expenses. Wherever you live, it is critical to determine what kind of care is covered if you are traveling out of state, out of province, or out of country.

Best Places To Buy Travel Insurance

Why Travel Insurance Is A Must Have

You can buy your travel insurance from travel agents, airlines, or tour and cruise companies but they are not legally allowed to offer advice on the best travel insurance to purchase. Basically, you’re buying it off the shelf with no consideration of your particular circumstances. Since it’s a complicated purchase, it’s not one to just bundle in with other purchases. It requires a bit of thought.

Here are my recommended companies to buy from and the pros and cons of each. All are specialized travel insurance brokers meaning that they can advise you on your insurance coverage. All offer telephone support.

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The Best Travel Insurance Companies For Travelers

My favorite travel insurance company is World Nomads. It was founded by an ex-nomad so they understand what its like being a traveler. Ive been using them since I started traveling all the way back in 2003. They are reputable and reliable and they process their claims quickly.

With World Nomads, you can purchase and renew your policy online in a matter of minutes and they have friendly and responsive staff who will answer your questions promptly. They can also help solve problems via social media.

Additionally, they also provide some coverage related to COVID-19 .

Most importantly, they provide a lot of coverage at a fair price. If theres one company I would recommend, its this one. Its also endorsed by Lonely Planet and National Geographic, which just goes to show you how great it is.

Here is a list of other travel insurance companies I like a lot too and why I like them!

  • Best for people living overseas.
  • The closest thing to normal health insurance.
  • Available for non-US residents.

Your Sustainable Adventure Begins

So, you read our previous article and/or watched Dont Be A Tourist with Zorinah Juan, and decided that going on your own sustainable adventure in Costa Rica is a must. You just know that living is staying at an ecolodge in the middle of a tropical forest. It is your mission, nay, your lifes duty to check this off of your bucket list. After visiting Anywhere.com, the anticipation builds as you wait for the blessed day your adventure begins. But wait! Before you pack your bags, theres one very important thing you need to do after you officially book your trip, and thats purchase travel insurance.

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If Your Trip Is Cut Short

A serious family medical emergency or other unforeseen events can cut your Hong Kong trip short. With trip interruption travel insurance, the cost of your urgent flight back home and transportation to the airport are covered. Similarly, you can be reimbursed for prepaid, unused, and non-refundable deposits. That means you can file a claim to receive reimbursement for the prepaid Disneyland tickets and professional chauffeur service since you cant make it.

Trip interruption coverage doesnt cover every reason for cutting your trip short, so dont go home just because youre not a fan of the local cuisine or dont like the humidity before checking your policy.

If The Trip Is Canceled Can I Get My Premium Back

7 Reasons Why Travel Insurance Is Important

Most travel insurance policies cover trip cancellation from the time of purchase to the day of departure for reasons like sickness or severe weather. They typically include a free look period after purchase, usually 10 to 15 days, during which time travelers can cancel for a full refund of the premium. After that, no dice.

When Royal Caribbean canceled Valerie Pedersens May cruise to Bermuda because of the pandemic, she was offered a refund. But Ms. Pedersen also wanted her $400 insurance premium back from Travel Guard insuring a trip that wasnt to be.

Travel Guard offered Ms. Pedersen a rollover.

On April 13, the company wrote her that she was beyond the free-look stage that would trigger a refund of the premium. It is our policy that all premium refund requests must be submitted within 15 days of the effective date of the policy, however, we are pleased to offer you a travel insurance credit voucher in the amount of $413.92, it wrote.

Pretty cheesy, I think, as I could use the actual cash now, Ms. Pedersen said.

Offering rollovers has been the industrys exception to its policy of no refunds after the free-look period. Decisions on how to handle policy refunds versus rollovers have varied in the pandemic. Allianz said it is allowing customers whose trips have been canceled because of Covid-19 by their travel operator be it a cruise line, airline or tour company to cancel their insurance and get a refund of the premium.

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Because Sometimes Even Expert Travelers Need A Little Help

One of the best reasons to buy travel insurance is the peace of mind you get from knowing helps just a phone call away. When you face a crisis while traveling a medical emergency, a lost passport, a stolen wallet, a natural disaster, etc. you can always contact the 24-hour Allianz Global Assistance hotline. Our U.S.-based team of travel experts will do everything in their power to take care of you and help make things right.

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Benefits Of Buying Travel Insurance

Whether you purchase travel insurance to fulfill the requirements of the country youll visit or want the extra financial protection offered by travel coverage, several distinct benefits come with travel insurance.

Specific plans help travelers recover prepaid trip costs if the reason for cancellation is covered under the policy. While some plans provide coverage for an unexpected illness, many also offer coverage for COVID-related illness and expenses.

Trip cancellations, delays, and interruptions are more common than ever due to the pandemic, and travel insurance companies have had the chance to pivot to meet consumers needs.

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So Who Needs Travel Insurance

In the pandemic, travelers learned they can insure themselves for unforeseeable but relatively routine disasters like getting hurt in a car accident, needing emergency gall bladder surgery or losing a job but not the ones that seemed like a sci-fi scenario two months ago.

One way to make sure your money is protected is to pay more for refundable airline tickets as long as theyre not worth more than the fees to change them and carefully read the fine print on tour, cruise and hotel cancellation and refund terms, as well as travel insurance policies.

So many travel insurance policies are set up for consumers to lose, said Ms. Balber of Consumer Watchdog, noting that policies including medical coverage abroad, where your own health insurance may not kick in, may be worthwhile. But the devil is in the details and that is doubly true when it comes to travel insurance.

Because Medical Evacuations Can Be Really Expensive

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If you get seriously sick or badly hurt while traveling overseas, and you need to be taken via helicopter to the nearest high-quality hospital, the cost can be enormous. In some parts of the world, a medical evacuation can potentially cost six figures and that doesnt even include the cost of getting you home again.2

Travel insurance with emergency medical transportation benefits can pay for you to be transported to the nearest appropriate facility if you suffer a covered illness or injury during your trip and our medical assistance team determines that the local medical facilities are unable to provide appropriate treatment. It can also pay for specialized transportation to bring you home, once your condition is stable.

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Travel Insurance: Good Idea Or Waste Of Money

If you travel much, you have inevitably been given the chance to purchase travel insurance and without knowing much about it, you really don’t know if it’s a good deal or a ripoff. You could be at risk of financial or physical loss anytime you travel extensively. To help you make a more informed decision, there are several things you should know about travel insurance when considering your options.

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