Whether it’s a once-in-a-lifetime holiday or a cross-country journey for a cousin’s wedding, you may need guidance on when or if you should purchase travel insurance. Knowing what a travel insurance international policy is and what it covers, you’ll be in the most significant position to decide whether to purchase it.

What is the definition of travel insurance?

Travel insurance is protection against financial risks and losses that may occur when travelling. The risks range from little inconveniences, such as missing aeroplane connections and delayed luggage, to more severe problems, like injuries or serious illness.

What is travel insurance coverage?

Depending on the policy you select, travel insurance can protect against a variety of potential damages and losses, including:

  • Ailment: Regular health insurance may not cover medical bills incurred abroad. Medicare is among the health programmes that give no coverage abroad. Travel insurance can assist with additional medical expenses if you become ill or injured before or during your trip.*
  • Lost luggage: Lost or stolen luggage can incur costs that can be covered by travel insurance. It is beneficial if an airline loses your bags, as getting the travel insurance company to compensate for lost luggage can be challenging. However, to obtain these maximum sums, travellers must show documents demonstrating the value of their lost baggage and contents. In addition, certain airlines need the claim submitted within 21 days.*
  • Last-minute cancellations: When a vacation is cancelled, travel insurance can assist in covering the resulting expenses. In the event of a cancellation, most hotels and cruise lines will not issue a complete refund. If you cancel your vacation at least two weeks in advance, most resorts will charge you a cancellation fee.* 

What may some travel insurance policies not cover?

It is essential to understand that while there are numerous reasons to purchase travel insurance, certain things may not be covered. If you have a prior condition, you should seek a plan that includes a waiver for such situations. Travel insurance policies cover some instances of tour operator insolvency.

What kind of travel insurance international policy should you purchase?

Before researching travel insurance, consider why you may need to cancel. 

  • Insurance cancellation for any reason

You may cancel this coverage if you develop a hangnail after purchasing it. Typically, insurance companies do not require a reason. The only requirement is to cancel within the allotted time frame, typically 48 to 72 hours before departure.

You’ll trade convenience for a lesser reimbursement level. With cancel for any reason insurance, you will receive approximately 70% of your non-refundable, pre-paid trip costs without providing a reason. This coverage is sometimes available as a stand-alone or add-on to a comprehensive policy.

  • Complete travel insurance

The policy that most people envision when they consider trip insurance. The comprehensive policy typically covers delays, cancellations due to illness or passing away, lost luggage, and a portion of emergency medical costs. Read the fine print so that you are aware of precisely what the policy covers.

  • Modifying your travel insurance plan

Suppose you decide shortly after purchasing the policy that it does not meet your needs. In that case, you are eligible for a full refund (possibly minus a small administrative fee) within a specified time frame. It allows you to read the coverage thoroughly and confirm that it meets your needs. Typically, this period lasts between 10 and 15 days. Before filing a claim, it is preferable to thoroughly understand what the policy covers and how claims are processed.

Depending on the policy, you may be required to purchase travel insurance within 10-30 days of making the initial trip payment. It is preferable to purchase travel insurance well in advance of your trip to plan accordingly.

*Standard T&C Apply

‘Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms, and conditions, please read the sales brochure/policy wording carefully before concluding a sale.‘