Peace of mind is priceless, even if it comes at the cost of buying travel insurance that you might never use again. Accidents, losing valuable items, and health issues are common when travelling. Here are seven travel insurance tips to keep in mind when choosing a cover for your travel needs.
1. What do you need to cover?
The first question before calling an insurance agent or checking online comparisons is to understand your coverage needs. The most popular coverage choice is for medical issues, accidents, and valuable items. Other eventualities that you can take a policy for include:
- Short-lived travel: What will happen if you miss a connection or have an emergency makes it impossible to continue with your journey to the end? You can protect your investment in the vacation with an insurance policy.
- Hired cars or bikes: Will you hire a car or bike at your destination? If yes, then you should cover it too as it might be costly to repair or replace it from out of pocket at your destination.
2. Annual travel insurance
Those who travel a lot throughout the year opt for a yearly cover. It is cost-effective in the end but can be inconveniencing. Read the fine prints to find out the maximum number for days the policy covers in the year.
In case you do no travel often, it is cheaper to opt for a per-trip policy. As a result, you will only take a cover when you need it. Besides, you dictate the number of days for your journey.
3. Your destination and duration
Do you have a plan of where you are going to stay and how long you will be there? Some insurers do not cover certain regions in the world. Others charge high premiums for specific countries or destinations.
The standard policies are ideal if you do not have a solid plan on your destination or if you plan to stay in one place for longer than an average vacationer does. Check out nomad insurance reviews for appropriate insurance options. Travel insurance for digital nomads is also ideal if you think your journey might involve visiting several destinations.
4. The age of the oldest person (group policy)
When going for a trip as a group or family, it is cheaper to take a group or family policy than individual policies. It is worth remembering that the policy provider often calculates the premium of a group policy using the age of the oldest person in the group. Anyone above 65 years old increases the premium significantly.
In such a case, it is often cheaper to take a cover for the group or family and separate travel insurance for the senior member.
5. Travel cancellation cover
Travel insurance is usually the last item that most people tick on their travel plans. Very little thought is given to the possibility of cancelling the journey. However, emergencies do occur such as last-minute burglaries, accidents, a sick child, or a court order keeping you from going for your holiday.
Sometimes the airline or the hotel might understand your plight and refund you. However, most of the time, they do not, especially if you cancel on the day of travelling. You can salvage your losses by taking a policy that covers this risk, even as you hope it does not happen.
6. Your holiday activities
Swimming, hiking, riding, and beach soccer are not worth worrying about when taking a policy against personal accidents because they are often included. However, when you extend to kite surfing, mountain climbing, and horse riding, then you need to be sure they are part of the cover.
Since policy providers consider certain games as high risks, they will increase the premiums. Nonetheless, that extra dime is worth it if you find a vacation incomplete without bungee jumping.
7. The fine print
The last thing in the tips for buying travel insurance is to read and understand the fine prints of the plan. Do not fall for the charm of the customer service; they are incredibly legalistic when you come to make a claim. Issues to consider include:
- The premium amounts.
- The claim procedures.
- Policy cancellation terms.
- The state of the policy if something happens while you are under the influence of drugs or alcohol.
- The exclusions of acts of nature, or results of war and terrorism.