As they always say, traveling requires plenty of preparation and planning, which includes deciding on the type of travel insurance plan to get. It should never be an option whether to get insured or not, as accidents can happen to anyone including you. Baby Boomers (aged 50-69) happen to be the top consumers of travel insurance last year, where they account for 40% of insurance sales in 2015.
However, everyone goes on a holiday. Thus, everyone should get insured, especially those who even go on extreme adventures to maximize their vacation. I know I will try those crazy activities when I can 🙂
Perhaps the first question that needs to answer is — Why does one need to buy travel insurance? Because even the most frequent travelers must experience nervousness when traveling. Having insurance could help you avoid costs that may incur on your journey hence eliminate your worries
This type of plan offers plenty of benefits to its holder, such as:
- Avoiding expensive medical costs
- Replacing or repairing lost, damaged, or stolen items
- Coverage for any legal liabilities
- Payment for flight cancellation and lost deposits in case of unforeseen circumstances
With plenty of choices to consider, it can be quite overwhelming for first-time policyholders on which one to get. Check this information before getting your first travel insurance:
Check which one is already covered by your other insurance plan
It’s best to review your other policy to avoid getting the same benefits for two insurance plans. Some home insurance or even bank policy cover lost, stolen, or damaged personal possessions even when away from home. Thus, you no longer need a comprehensive baggage insurance, which can save you a big amount of money. Some banks also offer credit card or current account that includes travel insurance, however, often, it only covers very basic needs.
Purchase insurance away from travel service providers
Airline companies and other travel service providers offer insurance plans themselves. Experts suggest a policy a la Carte to be able to sign up for a deal that covers what you need. What happens with most travel insurance today is it has gone from a one-size-fits-all type of product, instead of a customized service per traveler. North Carolina travel agent Nancy Cutter said that the industry has “realized some people don’t want all the bells and whistles (about the excess features of policy plans).” By buying a customized insurance, you can maximize your money’s worth.
Look for additional features
Although basic insurance plans are the cheapest, some of its features may not work for you. It’s best to review a policy plan’s full feature including additional ones. A good policy should cover for the following:
- Dental emergency
- Lost or stolen money
- Lost or damaged cash on hand
- Loss of passport.
But, be mindful of any excess amounts. Some insurance firms charge excess for additional covered people per policy section. Discuss as well your trip duration, especially if you will be staying overseas so they will be able to suggest the best coverage for you.
And, most importantly, keep receipts and paperwork at all times, as it will be your best proof when getting your claims. For example, additional expenses that covered by your policy, to make a claim the (insurance) company would want to see your itinerary, cancellation confirmation, and other particular documents. If you are unable to bring this documentation, it may take longer to process your claim.
Do not get carried away by the sweet talk of many insurance providers. Keep in mind that these people get commission too. So, be wise in deciding the best travel plan for you and your family.