While some of us prefer planning our vacations well in advance, others are quite spontaneous and love the concept of last-minute holidays. No matter what kind of a traveller you are, travel insurance plays a pivotal role in the success of your trip. Moreover, the many unplanned expenses incurred in a foreign country for availing emergency services are quite expensive. To take care of all such expenses, there are travel insurance plans that have evolved significantly over the last few years to provide maximum benefit to the customers. Travel insurance companies are now offering policies that are packed with a wide array of benefits to ensure a peaceful and memorable holiday for travellers.
Here’s a quick look at some of the latest benefits, how they work, and how they are useful for you as traveller.
Purchasing a comprehensive travel insurance policy that offers emergency cash overseas is one of the smartest decisions to make as a traveller. A round-the-clock security of being able to access emergency cash in a foreign land is extremely important not just for business travellers but also for students or families on a vacation. In case of an emergency situation like theft, mugging and burglary, access to emergency cash feature will ensure that you can continue your trip and pay for necessary expenses like meals, accommodations, transportation and even calls made back home. In case you are robbed of cash and personal documents, your travel insurer will arrange emergency cash advances from his sources.
Two popular emergency cash advance services available to Indians travelling overseas include emergency loans and traveller’s checks. In order to be eligible for emergency cash advances, you must present an official police report for the incident. Further, depending on your policy and coverage details, you are eligible for cash advance loans for several hundred dollars which must be repaid to the insurer as per terms and conditions.
Your deductible in your travel insurance policy plays a great role in determining how much you need to pay in the event of a claim made. After you buy travel insurance, your insurer will pay eligible expenses once you have paid your deductible amount. Let us understand it with an example. If you make a claim of $1000 under a particular coverage and the deductible in your policy for the service is $100, only $900 is payable as per policy terms and conditions.
Travel companies have now introduced the concept of zero deductible under which the policyholders are not liable to pay any amount during a claim. For example, if you make a claim for $2000 to your insurer against emergency hospitalization overseas, your deductible remains zero and the entire claim amount will be paid by your insurer without any deductions. However, one must know the premium amount goes slightly up when choosing insurance policy with zero deductible. Before buying travel insurance, it is important to check for zero-deductible travel cover with your preferred insurer.
When flight delays or missed connections happen due to delay in incoming flight from another destination, you may miss your flight connections. However, if your travel insurance includes missed connections benefit, your insurer will bear the incurred expenses up to the sum insured. However, in case you have any deductibles attached to the service, the claim will be settled minus deductibles. The coverage even provides reimbursement for different pre-paid expenses and reasonable additional expenses made by the traveller. The expenses may include money spent on meals, transportation, and accommodation. The travellers are advised to plan their trips well in advance and make sure they have ample time between connecting flights so that they do not miss their flights.
Your home is quite prone to theft, break-ins or burglaries especially when you are travelling outside the country and such incidents can certainly cause severe mental stress and huge financial loss to one. It is important for you to shield your home from the risk of such occurrences. With a comprehensive travel insurance policy that covers your home against burglary and housebreaking, you can stay relaxed during such stressful times. The feature covers every loss to your property due to burglary or housebreaking as described in the policy schedule that you receive on purchase of travel insurance.
(By Tarun Mathur, Chief Business Officer-General Insurance, Policybazaar.com)