Five reasons why your travel insurance won’t cover you
So you’ve checked everything off your travel checklist — flight tickets, hotel bookings, visa, currency and, finally, travel insurance. Now you can travel with complete peace of mind, right? Not just yet; have you had a closer look at your travel insurance policy? Many travellers simply buy travel insurance without much research and at most skim through the benefits listed in their policy.
Travel-related accidents are unfortunate and frustrating — and sloppy knowledge of your travel insurance plan could double your frustration when you realise that the coverage is skimpy at best. Overlooking the fine print in your policy including terms, conditions, and exclusions can ultimately defeat the purpose of getting travel insurance in the first place.
Here are five reasons your travel insurance cover may fall short of your expectations.
High-risk activities
Craving an adrenaline rush? Your insurance plan may leave you disappointed. High-risk activities or hazardous sports make up some of the most common exclusions in travel insurance policies. Commonly excluded hazardous sports include (but are not limited to) activities like skydiving, bungee jumping, scuba diving, skiing, snowboarding, hiking, mountaineering and rafting. Any accidents resulting from the traveler being involved in such activities may not be covered.
But the good news is that most insurers offer optional coverage for hazardous sports. There may be specific coverage available for winter sports, which would also provide inconvenience benefits like damage to ski equipment, avalanche closure and such.
Pre-existing medical conditions
Travel insurance providers typically exclude pre-existing medical conditions from your coverage. A pre-existing condition is an injury, sickness or medical condition that you had before purchasing the travel insurance policy. Any claim related to such a condition will be denied, regardless of whether you have declared it at the time of purchasing the policy or not.
So what if you want to buy insurance for your pre-existing ailment?
There are a few travel insurance policies that offer coverage for certain pre-existing conditions, at a higher premium. It would be best to browse through all your options and ask insurers about this facility before you sign up.
you must refer to the full list of exclusions in a policy before you purchase it... not all travel insurance polices are created equal
Pregnancy-related treatments and childbirth
Routine treatments related to pregnancy (including tests and diagnosis) as well as childbirth, are standard exclusions in all travel insurance policies. However, if you are planning to travel while pregnant, opt for a travel insurance policy that specifically covers complications related to pregnancy and childbirth. Be sure to check the limitations to this coverage, such as — up to how many weeks of pregnancy is the coverage valid.
Losses due to acts of terrorism
Unless you’ve specifically bought a ‘terrorism extension’ (an optional cover in many travel insurance policies), any claims resulting as a direct consequence of terrorist acts will be flat-out denied. These could include claims related to personal injuries, death, as well as those related to loss of or damage to your possessions.
If you’re planning to buy additional coverage in this regard, you may find that the additional premium may vary considerable depending on where you’re travelling.
Any claim not backed by documentation
Your chances of getting reimbursed for any financial loss may plummet if you don’t have adequate documentation to support your claim. For example, if your baggage has been stolen you wont’ be able to make a claim without a written report from the local police. Similarly, if your baggage has been lost or damaged during the flight or during your hotel stay then you will need documentary proof from the airline or hotel.
These are just some examples of common limitations in travel insurance policies. You must refer to the full list of exclusions in a policy before you purchase it. For instance, while one policy may include medical evacuation and dental cover, another might exclude one or both of these. Then again, not all travel insurance polices are created equal.