Travel Insurance Tips
Along with your passport, travel insurance is the most important item to pack. Don't leave home without it!
You’ve been planning your holiday for so long; the day is finally here to start your adventure. Bags are loaded, documents tucked in your carry-on and you suddenly realise……. you forgot to take out travel insurance!!
You are not alone, many travellers often regard travel insurance as that “pesky little thing” you need to fork out money for in case you are injured or lose a possession when you are away. BUT – there is so much more to consider than injury and personal effects, such as loss of deposits and cancellation fees.
Savvy travellers know to take out their travel insurance the moment they pay for anything relating to their travel plans, and it does not cost any extra for you to take out your policy in advance. Once purchased, the loss of deposit and cancellation clause becomes effective, on your day of departure the remainder of your policy becomes active. When you consider that most travel arrangements are purchased months in advance, it certainly pays to cover your funds at the same time.
- Domestic cruise cover – don’t assume just because your ship is travelling just off the Australian coast that you don’t need insurance, some companies also stipulate an international policy is required to cover for medical circumstances onboard and a possible deviation into international waters.
- Personal effects – although your policy may cover you for $6000 (as an example), check the “per piece” limit to ensure you have the appropriate coverage. Especially for jewellery and electronic equipment.
- Be clear with the counties you are travelling to. The country you spend the most time in (even if only by one day) should be listed as your main destination. Be VERY honest if your trip includes South Africa or America. These destinations will increase the cost of your policy but they are also countries where the highest cover possible is necessary.
- Annual multi-trip policies. If you travel overseas more than twice per year, investigate the option of an annual policy – it can save you hundreds of dollars.
- Read the product disclosure statement (PDS). Yes, it is a lengthy and at times convoluted document, but it is vitally important that you are fully aware of exactly what you are covered for.
- Credit card insurance – there’s good, average and forget it. Ensure you are clear on exactly what your credit card policy offers and any conditions. Some stipulate you must pay the majority of your travel arrangements on your card, others just the airfare. Some state you must advise them of your travel plans pre-departure, others to simply advise them when you need to make a claim. Ask who the underwriter is, this is important as ultimately it is them who will be paying out your claim.
Regardless of cost, it’s a travel necessity that could ultimately save you in a time of need. Happy travels!