May 27, 2010
Understanding Travel Insurance – Get Proper Coverage
Sales of travel insurance are on the rise, due to worldwide outbreaks of disease, threats of terrorism, and natural disasters. But there’s a catch to this type of coverage. In general, travel insurance provides limited coverage that will apply should you choose not to take a trip because it’s too dangerous.
If your concern focuses on potential bombings in the subway, or plots involving liquid explosives, those concerns probably aren’t covered. The possibility of a hurricane a thousand miles away that MIGHT hit the beach you plan to visit most likely isn’t covered as well. Know ahead of time you’ll get no help for any of these situations by purchasing travel insurance.
What travel insurance will cover, is payment to you for non-reimbursable portions of your vacation. This means any deposit you’ve paid on a hotel or any airfare fees you’ve paid. It only applies to those situations where a policy holder HAS to cancel or delay a trip, or in the event the insured gets stranded it will help cover extra costs.
It would also help in the event the insured develops an illness and needs medical care or a medical evacuation is necessary. This can be an important perk as overseas hospital might not accept your personal medical insurance from the U.S. However, each of these programs will have certain exclusions.
A lot of the potential disasters that increase the insurance sales, end up not being covered. Sometimes the threat of terrorism is ignored completely. It is important to peruse these contracts.
Additionally, policies including terrorism reimbursement cover you only if you have to cancel your trip, AND only if the city you were scheduled to visit within 30 days of your leaving has experienced an attack. If you are concerned about going to Paris, or even Manchester in England because of a bombing in London, your travel insurance coverage will not pay. Basically, there’s no available coverage for being afraid.
The sad fact is, being afraid is why insurance sells! But fear simply isn’t a covered situation with insurance. Insurances companies also have restrictions on when you buy the insurance, many insist that it needs to be bought within 15 days of booking for full covereage.
Recently, many companies reimbursed travelers for incidental expenses incurred in London in the aftermath of a 2006 terrorist plot, when a scheme to detonate a bomb on a commercial airline flight was thwarted. However, the policies would not pay if you wanted to cancel because there wasn’t a real attack.
The cost of protection for traveling is just like every other insurance policy because it depends on where the person is going, how thorough they want their coverage to be and other risk factors. The wise shopper can find travel insurance that will provide protection for many things including medical coverage and medical transportation, or even for delayed flight and lost bags. If you don’t want all the extras, you can buy a policy that covers a specific area.
Now insurance companies are starting to feature “cancel for any reason,” which is essentially a catch all. If you choose not to go on your trip, this policy can reimburse you 74 percent of the cost. Of course, these policies can be purchased for 40% or more than the usual insurance policy.
170000 travellers protection insurance policies are bought by consumers yearly in the US. Purchases of travel insurance increased by 100% since the bombings of the World Trade Center in New York in 9-1-2001. Traveling has become more hazardous over the last few years and there has been a rise in flu epidemics and occurrences such as Chernobyl, due to this, sales of travel insurance is projected to continue to increase.
The thing to remember when there’s a major disruption that affects your travel plans, most cruise lines, airlines, and hotels will waive their fees and restrictions for re-booking. It’s also possible to get relief without insurance as well.
When you would like to get more information on international health insurance check out this site. You’ll get further resources on travelers medical insurance by visiting there.
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