...Can you rely on it?
'Travelling, it leaves you speechless then turns you into a storyteller.'
― Ibn Battuta
And you'll want to tell all the right stories of your worldly travel pursuits: the new cultures experienced, the never before powdery-white sandy beaches you laid flat on, those adventure safaris of a lifetime. Yet, amid the excitement, the anticipation, it's important to consider travel's "what ifs".
I'll share with you a little story (not mine). You're on a snorkelling trip, and, in an ill-advised attempt to communicate with a clownfish, you accidentally swallow some water, leading to a severe case of food poisoning. If push comes to shove, should the worst happen, can you rely on your travel insurance to hold up their end of the bargain?
Will your medical expenses be covered should you suffer a banana boating injury?
A 2023 survey by Which highlighted the five (5) most common travel claims, resulted from:
Medical Costs - 28%
Cancellations - 27%
Transport Delays - 25%
Lost possessions - 21%
Damaged possessions - 18%
Travel Insurance
It's there to assist and place you back in the financial position you were in before those unexpected events disrupted your trip. Travel insurance is peace of mind.
Unforeseen medical emergencies, trip cancellations, lost luggage, and other unpredictable events can and do occur while travelling. But how do you know if your travel insurance will truly have your back when you need it most?
Essential Elements of Your Travel Insurance Policy
Medical:
Emergency Medical Expenses: Covers the cost of medical treatment costs should you fall ill or get injured while travelling. It's crucial to check the extent of coverage, especially for destinations with high medical costs, eg USA.
Medical Evacuation: In severe cases, you might need to be transported to a medical facility or back home. Check your policy includes medical evacuation, as this can be extremely costly.
Trip Cancellation and Interruption:
Cancellations: Should you find yourself having to cancel a trip due to unforeseen circumstances - illness, a family emergency, natural disasters, this coverage can reimburse your non-refundable expenses. Do we check that our travel policies cover cancellation? Yes. But how often do we check the cancellation limits? Imagine: You've booked the safari adventure of a lifetime for you and the other half! You're ready to rub elbows with lions, gossip with giraffes, and maybe even do the cha-cha with a cheetah. The whole shebang sets you back a cool £5,000 per person. But on your way to the airport, you receive a call, the mother-in-law has slipped on a banana peel. There is that horror show to return to, but now you must cancel your safari trip. Only to discover your travel insurance, the supposed knight in shining armour, only covers cancellations up to £3,000 per person. I know that isn't a shortfall you want to contend with along with the mother in law's.
Trip Interruption: If your trip is cut short for similar reasons, trip interruption coverage helps cover the cost of unused portions of your trip and any additional expenses incurred in getting home.
Lost or Delayed Baggage:
Lost Baggage: This is reimbursement for your belongings should your luggage become lost during transit.
Baggage Delay: If your luggage is delayed, this coverage assists with the financial purchase of essential items until your bags arrive.
Personal Liability:
It covers legal expenses should you accidentally cause injury or damage to property while travelling.
Theft: 'It's not going to happen to me.' Ah but it could. Therefore check your single item limit. Ensure it covers most if not all of the cost of the most expensive item you're taking on holiday. Check the total limits of cover too. Check it's adequate for the total of your belongings.
And because, I'm good like that here's a little checklist to bear in mind:
Expensive Electronics: Laptops, tablets, smartphones, drones and cameras.
Jewellery and Watches: Your engagement ring, your Audemars Piguets and other jewellery. Their high value may result in them not being covered unless specifically declared.
Sports Equipment: Golf clubs, skis, snowboards, or scuba diving gear often require specific coverage.
Designer Clothing and Accessories: Your Sophia Webster Rosette sandals are summer holiday ready. But what if you were to lose them partying on a yacht off Capri?
Prescription Glasses and Sunglasses: Costly to replace and travellers often forget to ensure they are covered for loss or damage.
Musical Instruments.
Personal Medical Equipment: Items like CPAP machines, insulin pumps, or other medical devices may require special coverage.
Travel Documents: While passports and other essential documents are usually covered, check replacement costs and additional travel expenses incurred due to loss are covered also.
Factors Affecting Reliability
Did You Read the Fine Print
Insurance policies are very often dense, jargon-filled documents, and it's understandable that reading through those documents is a daunting task. But, taking the time to understand what is covered and, just as important, what is not, is crucial. Paying attention to those exclusions and limitations empowers you and puts you in control of your travel insurance, ensures you're not caught off guard when you need it most.
Let's face it: no one wants their insurance to take a vacation of its own when they need it most.
Checking whether the coverage limits are sufficient for your needs is not just important; it's essential. Travelling to a country with high medical costs, check adequate medical coverage limits are in place. Or how about that six-week odyssey you've booked? What are the chances that your policy trip limit covers the full length of this trip? This check ensures your policy provides adequate protection for your specific circumstances. Doing this, you're taking a proactive step towards your financial security on your travels.
Understanding the claim process before an emergency occurs is crucial. Knowing what documentation is required and how to submit a claim ensures you're prepared, can act quickly in a crisis. Should there be an emergency, should you slip on a banana peel yourself while styling it along Bondi at ten o'clock in the morning and need emergency assistance? Do you know if your insurance provider is just a phone call away? Or are they a tomorrow morning or 48 hour away phone call away?
You need 24/7 emergency assistance emergencies don't adhere to business hours
Researching insurance providers is important in deciding a reliable policy. Are their products 5-star Defaqto rated? Do they have a good reputation? What do other travellers say about their experiences with claims and customer service? This type of research provides insight into their reliability and customer service, helps you make that informed decision and too ensures you're not left in the lurch when you need your insurance.
Common Pitfalls to Avoid
Travel insurance policies often contain limitations and exclusions. Know what they are in your policy and how they impact the reliability of your cover.
For example, some policies may not readily cover pre-existing medical conditions. Be sure to disclose any pre-existing conditions and understand how your policy handles them.
If the plan is to engage in activities, the likes of skiing, scuba diving, marathon running, swimming with dolphins or other adventure sports, check that these are covered. It may simply be an extension of cover for what they consider high-risk activities.
I briefly mentioned this earlier but I will do so again. Single-article limits are another to consider. You do want your new Sophia Webster Rosette sandals, you just got for your birthday, to be covered and for the full amount should your luggage go missing.
Similarly, if your claim is £180 and your chosen excess is £150, is it worth claiming?
Its worth noting that incidents occurring while under the influence of alcohol or drugs are often not covered. Being aware of such exclusions eliminates unpleasant surprises.
And back to that all important question...
Can You Rely on Your Travel Insurance?
Its a lifeline in some of travels' unexpected events, but its reliability depends on understanding and choosing the right policy suitable to you. Carefully evaluating the coverage, reading the fine print, and understanding the claim process, will see you travel confidently, knowing you have a safety net.
As we say, 'Preparation is key', key to feeling confident in your travel insurance.
So before you embark on that next adventure, take the time to review and select a
travel insurance policy that offers comprehensive and reliable protection. Because should the worst happen, having the right travel insurance cover from the time you book that holiday, to take-off and touchdown back at home will make all the difference!
