Travel Insurance - Bringing You Home
Overseas travel is one thing that people all over the world
aspire to. Whether cruising around the Greek Islands on a luxury
yacht, sipping brandy by the fire in a Swiss chalet after a day
of skiing; or elephant spotting in Kenya, an overseas trip can
be the adventure of a lifetime. Unfortunately, though, it can
also be the disaster of a lifetime unless due diligence is
carried out prior to setting off.
Along with passports and plane tickets, one of the most
important things to remember before travelling overseas is to
arrange Travel Insurance. Not just any "cheapest-you-can-find"
travel insurance, but a policy that will take good care of you
should the unforeseen occur.
Types of travel insurance vary from company to company and it is
well worth your while to spend some considerable time shopping
around before committing to one policy. Remember, what is
considered an acceptable risk by one insurer, may be excluded by
another. Definitions of terms may also vary.
Take terrorism, for example. Most insurance policies will
exclude acts of terrorism from being claimable events, however,
the definition of what constitutes a terrorist act can vary
between insurers. What one insurer may deem as an act of
violence and therefore claimable, another insurer may deem
terrorism and deny any claim.
In this age of terrorism threats and war-torn nations,
travellers should always heed governmental advice as to whether
or not travel to certain regions is recommended. If deciding to
travel to a country despite government warnings, it may be
difficult to obtain travel insurance at all. If it is obtained,
it will probably be very expensive and its cover fairly limited.
It is crucial that you understand exactly what is and isn't
excluded from the policy before you sign on the dotted line.
Indeed, being aware of the exclusions is, arguably, even more
important than knowing what is covered. Get clear in your mind
the insurer's definition of claimable and non-claimable events.
If at all possible, endeavour to get those definitions in
writing.
Get the language right. Ask as many questions as it takes to
know exactly where you stand. Remember, the only dumb questions
are ones that haven't been asked yet and given a voice. If going
through a broker or agent, double check with the insurer if
uncertain of their answers. It's wise to remember too, that no
insurance policy is going to cover you for every single thing
that could possibly happen on your holiday. The prudent
traveller will ensure, however, that what he or she needs to be
covered for will be.
For example, does the policy allow you to participate in
"adventure activities"? If you're going bungee jumping in New
Zealand or white-water rafting in Canada, make sure your insurer
knows about it and will cover you for accidents occurring during
such activities.
Is your luggage excluded if left unattended? What does "left
unattended" mean? What if you leave it in a taxi? What if you
walk two metres from it to buy a chocolate bar from a vending
machine?
It's a good idea to also familiarise yourself with claims
procedures before departing so as to avoid the "paper frenzy" in
the event of an accident. Some policies have a time limit for
reporting claims. In some cases, the incident must be reported
to local authorities within twenty-four hours in order to claim.
Be aware too that some countries may not recognise all insurance
companies. This could pose a problem if hospitalisation is
required. If the insurer isn't recognised in that country you
may not get hospital treatment. Make sure that the insurer has a
global reputation.
It's very expensive to be injured overseas. For instance,
medical evacuation from the United States to Australia can cost
anything from $80,000.00 upwards. If a stay in hospital is
required, the bill could run into hundreds of thousands of
dollars. And you thought shopping in Beverly Hills would be
fun....
It's also dangerous to be injured overseas, particularly in
countries where medical facilities may not be as well equipped
as at home. Again, the evacuation costs can run into many
thousands of dollars - and no insurance means a lifetime of debt.
Travelling without the right travel insurance is like walking a
tightrope without a net. Sure, it can be done, but one tiny slip
and it's too late for "If only"s. And chances are, it will be
your loved ones at home who will mortgage their houses, cash in
their superannuation and face considerable financial hardship in
order to bring you back to the fold.
All in all, travel insurance is one thing you should definitely
not leave home without!