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You purchase a travel insurance to give yourself a safety net. If an unforeseen event occurs during the trip, you know that you are covered and secure, thanks to insurance. You can go and buy travel insurance online or offline but make sure you buy the right one. These are some travel insurance tips which you need to know about. While buying one, these are a few things that you must look for in the policy document before you sign the dotted line.
1. Check What The Policy Covers
When you purchase travel insurance, there are certain scenarios in which you are covered. These are the ones to look for:
• Medical – arrangement of hospital admissions, a regular check of your status in case you are hospitalised, emergency medical evacuation, direct settlement of in-house hospital charges, a continuation of coverage if policy expires during ongoing treatment. Repatriation of remains.
• Trip Incidents – Loss or delay of checked-in baggage. Loss of passport or visa. Legal referral service in case of law and order issues. Reimbursements for trip delay. Hijack cases.
2. Check What The Policy Doesn’t Cover
There are certain claims which most insurers do not entertain. It’s prudent to know them before you purchase a policy.
• Any claims which arise from pre-existing diseases.
• Medical expenses related to drug/alcohol overdose.
• Costs incurred due to mental or psychiatric disorders
• Claims arising out of injuries or medical expenses due to adventure activities or competitions.
• Suicide
3. Coverage dates
There are two types of travel insurance: Single Trip and Multi Trip. Ideally, a single trip should commence the moment you board your flight.
With the Multi Trip policy, its coverage should last for a year. While you can travel as many times you want in a year, you have to estimate the maximum duration that any one trip is likely to last. You will have options to choose from30 days or 45 days as the maximum duration per trip depending on the type of Multi Trip policy you choose.
4. Cancellation Cover
There are occasions when you will need to cancel your trip due to emergency medical reasons or unforeseen circumstances. It is annoying, to say the least. There is also the financial loss. Thus, look for a travel insurance which offers a cancellation cover and if it charges a fine, it should be a minimal sum.
5. Claim Settlement Ratio
When you make a claim to your insurer, you expect it to be accepted. Sometimes they are not. While the insurers explain their reasons, you fume with annoyance. Therefore, it is prudent that you go online and research about the insurer’s claims settlement ratio. If an insurer has a healthy ratio, it’s a positive sign.
Buying the wrong travel insurance is worse than not buying one. Make sure you read the above pointers to not commit that mistake.