While travelling to a certain destination, a person can face sudden unexpected losses. These losses can be in any form such as trip cancellation, lost luggage and fatal accidents resulting in huge medical expenses.
In protection to these uncertain losses while travelling, there are several Travel Insurance available.
Travel Insurance Policy
The person or institution who buys insurance (paying an amount called premium) is called policyholder or insured. And the organization which provides the insurance is called insurance carrier or insurer. The contract received by the insured, in which all the terms and condition are enlisted under which the insurer will compensate to the policyholder regarding uncertain losses incurred while travelling, is called a Travel Insurance Policy.
Travel Insurance Coverage
Travel insurance covers both financial as well as medical risks. It covers losses such as theft of baggage, injuries in accidents etc. But there is some basic coverage that is crucial to be included in your travel insurance policy.
4 Major Coverage are as follows
- Trip Cancellation Coverage.
- Medical Expenses Coverage.
- Luggage Coverage.
- 24/7 Phone Assistance.
Trip Cancellation Coverage
This is the main priority of each and every individual travelling across the globe. Most of the tour packages, cruise fare, plane tickets, hotel booked rooms etc are pre-paid. So if an investment is made which is pre-paid and non-refundable, then a person can incur extreme losses if something goes wrong and the trip needs to be cancelled anyhow.
Thus this coverage criterion reimburses the pre-paid and non-refundable amount if a trip is cancelled. This coverage ought to be the most important one.
Medical Expense Coverage
The next most important thing after Trip Cancellation Coverage which is often overlooked is Medical Expense Coverage. While travelling, nobody can guarantee one’s life. Anything miserable like accidents causing fatal injuries can happen anytime.
So in this case, this medical expense coverage criterion covers a person for accident, emergency medical and dental care during a travel.
Luggages are a crucial part of any journey. No one can travel without taking a single backpack. But these little things also require some risk management in case of theft or delay. There are several heads under this Luggage Coverage as mentioned below:-
‘Baggage coverage’ criterion reimburses for baggage being stolen, lost or misplaced.
‘Baggage Delay Coverage’ criterion aids with money to buy essential items when your baggage is delayed unfortunately.
‘Travel Delay Coverage’ criterion comes into help when the flight is delayed. It helps to get a stay in hotel room or a night meal in some restaurant.
24/7 Phone Assistance
This is the life savior in any travel policy. Everyone requires this 24/7 support like medical emergencies, lost luggage, cancelled flights etc.
This Assistance via a simple phone call is of immense help as it can help a person to locate a nearby hospital in case of emergency, arrange transportation to home, regarding visa/passports etc.
Travel Insurance Policies are of great aid when it comes to make investment while travelling. Thus a person should keep in mind the above mentioned major coverage criteria while choosing a perfect Travel Insurance Policy. And in this era of Digitalization, a person can easily compare and find perfect policy of travel insurance online.