How does travel insurance vary according to your destination?
Every travel destination holds something different for you. Some promises you lush greenery and a cool weather while some beckons you with its glistening beaches. Some destinations have a historical importance and others are known for their fast and pulsating life. Romance, adventure, relaxation, fun or frolic, whatever is the reason of your travel, the world offers you a perfect destination suited to your mood. But, does your travel insurance plan vary according to the destination?
No, a travel insurance plan is similar for all destinations. The coverage features are same whether you are visiting an Asian country or flying to USA. Here are some basic coverage features which are common in all travel insurance plans:
Medical emergencies are unforeseen but when they strike they not only disrupt your travel plans, they also burn a huge hole in your pockets, especially when you are travelling abroad. A travel insurance plan covers any medical emergency you face when you are travelling. Whether you fall ill to severe cough and cold of face a major medical complication, your travel insurance plan would provide coverage for all these medical emergencies. Even if you suffer an emergent dental complication, its treatment would be covered under the plan as well.
A travel insurance plan also provides personal accident cover which covers accidental death and disabilities. In case of accidental death if the body is to brought back to the home country, a travel plan covers the relevant expenses in this regard too.
You might, unintentionally, cause harm to a third party or property when travelling which might cause you a financial liability. Any such financial liabilities are also covered by all travel insurance plans.
Often, when travelling, you might lose your checked-in baggage or passport. Both these losses are serious and might cause problems. Travel insurance plans cover such losses and pay financial compensation associated with the loss.
Every travel insurance plan covers these basic, standard features which do not change with the travel destination.
So, does anything vary?
Yes, the premiums do.
Premiums for travel insurance plans vary according to the destination selected. The reason for this variation is the different level of risk associated with different destinations. For instance, in Japan, there is a high risk of earthquakes and tsunamis and so there are separate plans designed for covering trips to Japan and the premiums are different. Moreover, the medical treatment costs vary in different countries. USA, Canada, Europe, etc. are developed countries where medical costs are very high and so the premium is usually higher.
Even though the basic coverage features of all travel plans remains the same, you should be careful when choosing a travel insurance plan for your travel. The following three points should be kept in mind:
If you belong to a higher age group, ensure that you choose a higher level of Sum Insured coverage as your medical risks are higher.
If you are going on an adventurous journey where you plan to indulge in adventure sports, inform the insurance company about your intentions. Claims arising due to adventurous sports are excluded in normal travel insurance plans. However, you can get these sports covered by making a request to the insurance company and paying an additional premium for the additional coverage.
Your Sum Insured should be selected based on your destination. If you are travelling within Asia, you can make do with a lower coverage amount as the medical treatment costs are relatively cheaper. However, if you are travelling to Canada, USA, Europe and other developed countries of the world, you should choose the maximum possible Sum Insured as medical costs are exorbitant there. Moreover, there are additional coverage features too which should be selected when travelling to far-flung and developed countries.
So, if you thought travel plans varied with destinations, think again. The coverage features remain the same only the premiums vary. So, the next time you buy a travel insurance plan, finalize your destination and then buy the plan.