Foreign Travel Insurance – Its Benefits and When to Buy
Is interesting to note that not long ago, international travel insurance was a dreaded subject which travel agents would not even bring up for fear of losing the whole deal. However, things have changed drastically. The correct type of travel insurance is now the most important part of a travel package. If you end up traveling without insurance your trip could be ruined. Foreign travel insurance can be opted for by students that are going to other countries for their studies, business persons going to attend a conference or visiting client sites, or individual’s families going to other countries on a leisure trip.
According to the numbers from the US Travel Insurance Association, there has been a 10 percent increase in the number of Americans that avail of travel insurance and it currently stands at 30 percent. These figures are after the occurrence of the 9/11 terrorist attack. Some of the top reasons for picking international travel insurance include protection against unexpected happenings, peace of mind during the trip and losing financial investment. It has also been observed that about 70 percent of those that go on a cruise buy travel insurance. Another interesting point to note is that whereas many individuals know about flight trip cancellation insurance, they do not seem to know of medical evacuation insurance, baggage insurance or travel health insurance. Excess valuation insurance is another type of insurance that a majority of travelers do not know about, much to the happiness of the airline's company.
Why should you buy travel Insurance?
Though most travelers push travel insurance to the last spot while planning a trip, buying travel insurance has a number of benefits.
Emergency Medical Treatment International travel insurance providers for any medical assistance that may be required while traveling. Pre-and post-hospitalization expenditure is covered along with the repatriation. Trip Interruption or Trip Cancellation the trip is wholly or partially canceled; travel insurance adequately covers by providing the cost of the trip. The coverage is on even if you cancel the trip due to professional or personal reasons.
Baggage Loss Travel insurance is designed to cover you in case you lose your luggage or luggage is delayed. The full amount of the lost luggage is paid back to you.
Legal Liability Full coverage is given by the insurance company in case of the legal liability that may arise from injury to a third party. Legal costs are covered in case of suit.
Travel Document Loss
Loss of important travel documents such as tickets and passport are well covered by travel insurance. The policy pays you any fees required to re-apply for the documents.
Emergency Personal Financial Assistance
in case the traveler loses money during the trip due to pilferage, robbery or theft, the insurance duly compensates the loss that has occurred.
Allowance for Hijack Distress
In the event of a hijack of the carrier in which the insured person is traveling, the policy pays compensation for each day of the hijack limited by the amount specified in the policy.
In case you have an accident or die during the course of the trip, the travel insurance policy duly pays a compensatory amount to you or your family.
Hospitalization Gash Allowance
In case you are hospitalized because of an accident or sickness during the trip, the policy pays cash allowance towards daily expenditure.
If required, travel insurance also covers the expenditure required to move the sick injured person back to their country of residence.
Exclusions in International Travel Insurance
All kids of coverage are not possible with travel insurance. Travel insurance policies have their own exclusions. Some of them are terrorism, suicide or any other self-inflicted injury, AIDEIHIV, [ire-existing disease (unless it develops into a life-threatening situation), nervous or mental problems, participation in criminal activities, taking part in dangerous activities such as bungee jumping, etc., among others. It is also important to note that this is not an exhaustive list. The complete list is usually available in the policy document.
Foreign Travel Insurance - How to File a Claim
The procedure to file a claim is both non-complicated and easy. Claims that are not intimated to the insurance providers will be rejected outright- The documentation to be submitted includes claim forms with both personal and journey details. As an example, if there is a health issue, the insurance provider is usually informed at the time of receiving medical assistance. The medical team of the insurance provider will ensure that the disease is not pre-existent.
Overseas Travel Insurance - When to Buy
Travel Insurance can be purchased up till the day before you leave for a planned trip. However, it is strongly recommended that the insurance is purchased when you make the first payment when arranging the trip. This date can also be called the initial trip deposit date'. Some insurance providers insist that the policy is purchased within 10 to 14 days of making the initial trip deposit. Only then the coverage comes into effect. Buying travel insurance well in advance prevents you from falling into the insurance loopholes trap that you may not be aware of. It is also recommended that you can buy insurance for others soon after making the trip deposit such as hurricane coverage, pre-existing medical conditions, work conditions, financial default, cancellation of the trip due to work reasons, cancellation of the trip due to any other reasons, etc. You can also add insurance for the purchase of the plane tickets, tours, etc. after you buy the travel insurance. If you have booked your trip on a credit card, there may already be some coverage that comes along with using the card.
However, most of the cards only provide flight accident, limited baggage insurance, and rental car insurance. Be aware of the terms and conditions pertaining to the credit card that you have in hand. It is a good idea to estimate the cost of the entire trip, in the beginning, purchase the insurance accordingly and then make the changes in the policy as required. If the estimate is high and the trip ends up costing less, the changes can be added to the total coverage and it is even possible to get a partial refund of the amount that has been paid up as premium.