Going on holidays is an important event for many of us .We spend much time, effort and money to plan the most memorable experience during our vacation. With rising income many are traveling abroad for holidays as well. What happens if things don’t go according to plan? This is where travel insurance comes in handy. Although many consider travel insurance as an unnecessary expense but buying one can make a lot of sense whether you are travelling overseas or within the country.
In case of medical emergency while travelling, a travel insurance policy can cover your liability to a large extent. Medical costs can be extremely high in foreign countries and especially so in first world countries. Most travel insurance policies provide for cashless hospitalization and can be a boon in case of emergencies. Personal accidents are covered as well.
Travel Delays and Cancellations
Even the best made plans can be disrupted due to situations beyond our control. Flights could be delayed or cancelled for a variety of reason including bad weather, emergencies and technical problems. Your airline may provide accommodation or make alternative travel arrangements in case of flight cancellation or delay. However, they are under no obligation to reimburse your hotel bookings or cost of passes and tickets for any event you might have planned. A good travel insurance policy covers you adequately for any such eventualities.
Loss of baggage or documents
In spite of the recent advances in technology the fact remains that airlines lose a lot of baggage every year. If they happen to lose or delay your baggage it can throw your travel plan out of gear. Similarly, if you happen to lose your travel documents like passport or bank credit or debit cards while travelling, it can cause a lot of hassle. A travel insurance policy will cover you in these situations as well by providing you emergency cash and reimbursing costs.
A travel insurance policy may cover you in the case of missed Air or rail departure arising from situations beyond your control. This normally covers situations where the departure was missed due to failure of public transport or in the unfortunate event where the vehicle you are traveling meets with an accident.
Loss of Tickets
You may also be covered in the event where the intended travel could not be completed due to loss of tickets. In such situation the original charges for the tickets are reimbursed.
Hijacking and Political risk
In the unfortunate event that the policyholder is a victim of hijacking or any other political risks, travel insurance policy may provide relief in such situations as well. Most policies will provide a daily cash allowance and / or a lump sum in case of such occurrences.
A good travel insurance policy will provide you protection against personal liability as well. Suppose a car you drive in a foreign country happens to meet with an accident. Any liability arising out of the same may be covered by your travel insurance policy.
Costs of Insurance
The cost of insurance will depend on a variety of factors life the location where you are travelling, type of visa, duration of stay, type of coverage etc. but are generally not very high. Companies now offer insurance for different geographies like USA, Europe and Asian countries rather than universal policies. Travel insurance can be bought very easily online from websites of the insurance companies or insurance aggregators and of course through insurance agents. .
Like any other insurance policy it is important to read the policy document in details to understand the benefits and exclusions of the plan. Coverage and benefits may vary from one company to another company or even between two different plans of the same insurer. It is important to go through the policy documentation to understand the details of what’s included or excluded in the policy to ensure it meets your requirement.
Insurance is bought to provide protection for any unforeseen events that one may encounter. Although travel insurance may seem like an unnecessary expense but it’s of immense importance should the need arises. It’s suggested that always buy travel insurance.