Travel insurance is vital whenever you go for a vacation. It offers medical coverage, reimbursement for broken gadgets, cancellation of flight, stolen baggage, etc.
Credit cards offer limited insurance coverage and local health programs don’t offer overseas coverage. Thus, travel insurance offers protection against unforeseen circumstances in a foreign land.
Discussed below are instructions on how to buy the best travel insurance in 2018 in 4 simple steps
- Check the basics
- The fundamental aspects of any travel insurance that you need to examine include the plan itself, the amount of deductible, and the reputation of the insurance company. Some policies provide options for higher and lower medical expenditure; the former is typically for countries that feature increased medical costs.
- Check what is included in the policy
- Verify the number of countries included in the policy. Travel insurance companies may not cover trips to countries with government warnings against travelling to those countries.
- Verify the medical coverage limit on the policy. It is important for you to take a policy that offers at least $100,000 coverage in medical care. Policies with higher coverage may be more expensive. Avoid taking lower coverage limits as you may end up paying for what may not be covered by the low-coverage policy.
- The policy should cover evacuation charges. For example, if you break your leg in an accident, then the policy should cover the ambulance ride to the hospital. Evacuation option should also include evacuation to a safe place in case of a natural disaster, as well as evacuation from the hospital back to your home nation.
- Insurance coverage for lost or stolen baggage, damage to electronics, and flight or hotel booking cancellations, etc.
- Check if the company has 24/7 customer service support.
- Verify if there is financial protection for you if the insurance company goes bankrupt when your are on vacation
- Verify what is not covered
Most travel insurance policies do not cover:
- Drug or alcohol related injuries, illness
- Accidents caused due to participation in extreme sports like bungee jumping, etc.
- Stolen/loss of baggage due to carelessness or leaving it unattended
- No emergency evacuation if government has not issued warning despite sudden strife/civil unrest in destination country
- Pre existing conditions like diabetes
- Other facets to be checked
- Travel insurance is cheaper when purchased directed from the company or online. Policies offered by airlines and travel agents are expensive. Check with your current home/auto insurance company for discounts and better deals on travel insurance.
- Travel insurance for people over 65 years is usually expensive with really high premiums.
- Take group policy insurance when travelling in a group instead of individual travel insurance as group insurance is cheaper
- Read the fine print to understand the details of the policy, such as the time taken for processing claims, payout amounts, claims denial, and other technical rules
- Verify the kind of documents that need to be submitted for payouts. Check the maximum time allowed for submitting the claim documents.
- Check whether options for upgrade or downgrade of the plan are available