Financial institutions today offer many extra’s to entice customers to apply for their credit cards and/or charge cards; one of the extras commonly offered is free travel insurance. This extra can lead to confusion for many potential travelers. Although some high end cards such as Platinum and Gold Cards offer reasonable cover many of the standard cards have very restricted insurance and therefore should not replace standard travel insurance.

Listed below are some of the common pitfalls:

– Possible restrictions on medical coverage It is important to check that the medical coverage is adequate for the destination that you are traveling too. For example, it is recommended that travelers have unlimited medical cover for US travel as medical expenses can be massive. – Possible restrictions on coverage E.g Some cards only offer ‘travel inconvenience which occurs in the case of flight delay, missed connections and delayed or lost luggage or for ‘travel accident insurance for example loss of life or limb in an accident during transport such as a flight but not during the trip. – Your travel insurance my be void if you pay for your trip with cash E.g This is very important to check as the Insurance Ombudsman Service in Australia recently saw a claim refused because the consumer paid for the trip deposit in cash and not with their card. – Most policies have an excess that needs to be paid if you make a claim. – No option to pay a slightly higher premium to ‘buy-out’ the excess as with normal travel insurance. – Pre-existing medical conditions are covered only if the customer specifically applies to the insurer and they approve. – Pre-existing medical conditions may only cover the main cardholder and may not be available for your spouse or children.

As shown by these pitfalls not all travel insurance will be adequate for your trip. It is therefore important to understand the conditions and restrictions found in the product disclosure statement before you travel. It is essential for you to check all the small print on your policy before you make a decision. So even though travel insurance may be a ‘free’ extra the consequences of not being properly covered will cost you in the long run.

Australia Travel Insurance wishes you a wonderful and safe journey.

Francis

Whenever you plan to travel abroad, travel insurance, from one of the reputed travel insurance companies, needs to be considered for the trip. Traveling anywhere outside your country of citizenship is not without risks. An easy way to offset some of this risk is through travel insurance.

Travel insurance may include an accidental death and dismemberment policy, a policy for repatriation of the remains, or medical emergency and emergency medical evacuation while you are on a trip outside the United States.

Depending on where you are going for your trip, and why, additional coverage like foreign commercial liability, foreign automobile liability or foreign workers compensation and sickness policies might become necessary.

Make sure that you check with your doctor or contact your insurance professional in order to discuss the details of your trip, and figure out your insurance needs.

Travel insurance from most travel insurance companies can be arranged a long time, even months, before the actual trip, and consists of a range of insurance coverage services safeguarding you throughout your trip, before, during, and after. In truth, accidents, emergencies, and unforeseen events can happen anywhere, and to anyone. Travel insurance companies, and their policies give you the peace of mind of having protected your investment and your health, as well as your belongings. It

> Protects your investment if you have to cancel

> Provides emergency medical referral and assistance

> Reimburses unexpected expenses due to emergencies

> Protects you during the medical emergency

> Provides medical assistance abroad

> Provides emergency evacuation if necessary

The AAA Insurance Company, for example, provides insurance for the basic travel needs, along with many other services. While many other companies like Travel Guard, have plans that provide Primary Emergency Medical coverage, and Trip Interruption plans that refund the a large part of the cost of a one-way ticket or the non-refundable trip cost.

Travel Guard guarantees payment to the relevant medical facility and makes your admission easy, and also continues to cover your medical expenses for as long as one year after you return home.

If you have to seek medical treatment while you are on your trip, companies like Travelex will cover Emergency Medical & Emergency Medical Evacuation / Repatriation. Advance payment is generally made to the Hospital if it is needed to secure admission.

In addition, some policies may cover the cost of delayed flights and lost luggage, and evacuating the person to the nearest adequate medical facility, or a hospital of choice, if necessary.

The Emergency Medical coverage usually ends, however, as soon as you reach your home, especially if you have been returned under the Emergency Medical Transportation/Evacuation coverage

The plans from travel insurance companies like Travel Safe cover the losses incurred due to family members not scheduled to travel with you, up to a maximum of six people per cancellation / interruption claim due to an accident or sickness of just one person in the party.

Several insurance companies offer stand-alone medical evacuation insurance. The costs range from $69 to $109 a trip at Travel Guard to Access America’s annual policies beginning at $190 per person.

Travel insurance companies like Medjet Assist specialize in medical evacuations and offer a range of membership options. These may vary from seven-day coverage, at $85 a person, to a year’s coverage at $225 a person. Most also have slightly cheaper package options for families.

Travel insurance companies, like Travel Guard, may also cover some pre-existing conditions as long as the policy is bought within 15 days of the trip booking.

Christopher