People who go on vacation without travel insurance tend to tell other travelers that medical bills are cheap in other countries, or they must travel light and bring things that they can afford to lose. They may even tell their colleagues that insurance companies are just after their money.
But, horror stories about unforeseen events while on vacation are true. Some travelers have to deal with evacuations and emergencies. Failure to get travel insurance may force a person to spend at last $100,000 for an emergency evacuation.
Some travels do not experience any problems while in a foreign country. They do not experience being injured or seriously ill. But, if they do, they need to ensure that they have the financial means or support.
Parts of Travel Insurance
Medical evacuation and emergencies
In the US, costs of hospitalization can reach $10,000 each day. Emergency evacuation for home country costs at least $100,000. Without travel insurance, a traveler may not be able to afford the high costs of medical emergencies. Thus, he must ensure that he understands this coverage thoroughly if he avails insurance. He must note the general exclusions in this cover.
In unforeseen circumstances, a person may not be able to push through with his trip. Death of a relative, accident, or illness can hamper travel plans. If availing of travel ensure, the individual must have one at that time he books his plane tickets.
Some insurance companies do not cover travel cancellation. Still, some travel insurance only covers pre-booked and non-refundable costs. As such, a traveler must read the details of the cover carefully.
Lost or Damaged Personal Belongings and Baggage
Loss of personal belongings should be the least of a traveler’s worries because he can find replacements for them. The individual must take care of his personal things because he is remiss in his duties, the insurance company may not reimburse them.
Travel insurance companies may allow the individual to choose which of his valuations will be part of this cover. They may have limits and exclusions, especially sporting equipment, valuable items, and cash.
If a traveler meets an accident or causes damage accidentally, travel insurance can pay for liability and legal expenses.
Not Finishing and Resuming the Trip
Usually, travel insurance ends when the insured arrives at his home after the trip. This means that even if the insurance policy is for a year and the traveler comes home after a month, he can no longer use the unused portion of the insurance.
Some insurance policies may allow a traveler to continue his trip using the same policy. But, they do not cover for the time the person is at home.
Travel insurance policies offer benefits and exclusions. Thus, travelers must spend time reading the policy and understand it. If they do understand a clause in the policy, they must ask their insurance provider. Some policies have wordings that are difficult to understand. As such, travelers must ensure that they know the terms stated in the policy.