Avoid an unfortunate financial situation by making sure you’re well protected when you travel
You’ve likely heard recent cases of travellers who became ill while abroad and ended up finding themselves in unfortunate financial situations. In order to avoid these situations, it’s always wise to purchase travel insurance if you plan on leaving the province, even if it’s only for a short jaunt to our neighbours to the south. Travel insurance can protect you in the event of an unexpected situation, whether it’s an accident or a health problem that occurs while you’re travelling.
WHO NEEDS INSURANCE?
Travel insurance can be useful even if you’re in good physical shape.
“If you are having health problems, the financial consequences can be significant as emergency health care is expensive abroad, “said AnneBianca Morissette, a financial education expert at the Autorité des marchés financiers (AMF).
Insurance is, of course, essential in cases of serious illness, but it can also help you avoid trouble in the event of more minor injuries and illnesses such as a broken leg or gastroenteritis.
“A simple vacation can be very expensive if you have to be hospitalized and treated for dehydration,” Morissette added.
WHAT ARE THE MAIN SOURCES OF TRAVEL INSURANCE?
Do you have group insurance? If so, it’s likely that you already have travel insurance. Take the time to review the coverage provided by your plan.
It’s also possible that you’re insured through your credit card. But be careful: in order to benefit from this protection it’s often required that the trip be paid for with that specific card. What’s more, this type of insurance usually only covers short trips and can have other limitations as well. So verify your coverage before travelling.
You can obtain travel insurance advice from a representative certified by the AMF, who can analyze your needs and provide information about suitable products.
Certain travel agencies offer travel insurance products. It’s also possible to directly contact a financial institution or insurance company. In each case, take the time to read up on the insurance product to choose protection that’s suited to your needs.
In addition to travel insurance for health problems and injuries, trip cancellation and interruption insurance can also be helpful.
WHAT IF YOU HAVE EXISTING HEALTH PROBLEMS?
If you have a known illness or injury, it’s critical to inquire as to whether or not your insurance company will cover you if your condition requires care while travelling. An exclusion stemming from any pre-existing conditions may result in care not being covered. If this is the case, ask your insurer if it’s possible to modify your coverage to meet your needs, even if it means paying higher premiums.
WHAT ARE SOME COMMON EXCLUSIONS?
Are you planning a trip that entails some kind of extreme adventures? Be forewarned: your insurance often won’t apply if you’re planning on doing any extreme sports like skydiving or rock climbing. Also be aware that the same can hold true for excessive alcohol consumption, which could affect your coverage in case of injury.
For peace of mind, learn about the limitations and exclusions of your travel insurance coverage and make the choices that are right for you and your family.
“Remember that any incident or accident that ends up requiring hospitalization or medical care is already a cause for concern and stress in itself,” Morissette said. “By having adequate coverage, you will be able to greatly reduce the uncertainty caused by such a situation for both you and your loved ones.” For more information, visit
lautorite.qc.ca or contact an agent at the AMF Information Centre at 1-877-525-0337.