Travelling with your family is always a relaxing experience. But, travelling to a foreign land involves going in unchartered territories. If you face a medical emergency, an accidental contingency or any financial hiccups you need assistance. But who would extend assistance in a place where you don’t know anybody? A family travel insurance plan comes in handy as it provides assistance in case of medical and financial emergency.
Do you know what a family travel insurance plan is and how it helps? If you don’t, don’t worry, here is a complete guide to family travel insurance. However, if you do, refresh your knowledge!
• What is family travel insurance?: Family travel insurance is an insurance policy which covers the whole family who are travelling together against contingencies faced when travelling. The policy runs for the duration of the trip and covers all travelling members together under one plan.
• Coverages offered: A family travel insurance plan offers a list of standard coverage features which are described below:
• Medical coverage: This is the most prominent and also the most important coverage offered by a family travel insurance plan. If any family member faces a medical emergency and needs treatments, the costs incurred in a foreign land can be exorbitant. A travel insurance plan covers the expenses related with medical emergencies whether it is for treatments, hospitalization, medicines, ambulance costs, domiciliary hospitalization, etc. If an accidental injury results in a dental treatment, such treatments are also covered under the plan. This medical coverage offered by a family travel plan includes all types of medical emergencies which you might face abroad.
• Personal Accident cover: Under this cover accidental death and disability faced by any insured member is covered. Moreover, in case of accidental death, if the insured wants, the dead body can be repatriated back to home country and this is covered under the plan.
• Personal liability: If, while travelling, you or any family member harms another individual unintentionally and causes a bodily injury, you might become liable to pay the damages caused. Similarly, if you damage any surrounding property, you might be financially liable for the same. A family travel insurance plan covers this financial liability faced by you or your family members.
• Loss or delay of checked-in baggage: The baggage which you check-in with the airline might get lost or delayed. If this happens, you would be compensated for the loss suffered through your travel insurance policy.
• Loss of passport: A passport is essential when travelling and its loss is a major setback. A benefit is paid under a family travel insurance plan if you lose your passport when travelling.
• Additional optional coverage features: Besides providing the above coverage features, a family travel insurance plan also provides additional coverage benefits which can be chosen by paying an additional premium. Some plans also have these add-ons inbuilt in their benefit structure. These benefits include the following and depend on the plan selected:
• Emergency cash assistance: How common is losing your wallet when you travel? More common than you can think off. What happens when you lose your wallet? You are financially stranded. Your travel insurance plan covers this contingency and provides you cash in these emergent situations.
• Hijack allowance: Thanks to increasing threats of terrorism, a family travel insurance plan also provides you an allowance in case of hijack.
• Trip delay or curtailment: If your trip is delayed beyond 12 hours you get a benefit under a travel insurance plan. Similarly, if you cancel your trip due to any unavoidable circumstance, the expenses incurred on pre-bookings is also refunded back to you.
• Home burglary insurance: This benefit provides coverage against burglary or theft of your household goods when you are away on a trip.
• Automatic extension of the policy: This benefit extends the coverage if your trip is extended beyond the expected tenure.
• Compassionate visit: This cover arranges for a family member to visit you when you are travelling abroad and fall ill. The cover pays for the return airfare of the travelling member.
• Loss of personal belongings: Under this cover, any personal belongings you lose on the trip are covered and you get a compensation for the loss suffered.
• Exclusions: Though a family travel insurance plan provides a good scope of coverage, there are some contingencies which are excluded. Here is a list of some common exclusions:
• Medical emergency faced due to pre-existing illnesses
• Illnesses or accidents suffered due to suicide, alcohol and drug abuse, HIV/AIDS, hazardous and sporting activities, war or nuclear threat, etc.
• Travelling against medical advice is also not covered
Though these exclusions are common, some plans cover pre-existing illnesses in life-threatening conditions. Similarly, if you are traveling for adventure sports and you intimate the same to the insurance company, you can avail coverage for accidents incurred during such adventurous sports by paying an additional premium. You should select an individual Sum Insured for every family member for a higher coverage.
• Other eligibility criteria:
• Members covered: the plan can cover self, spouse, kids and parents under the same policy. Usually, there is a maximum entry age limited to 60 or 65 years. If your parents are above this age limit you can avail a separate senior citizen travel insurance plan for covering them.
• Tenure: the term of the policy should be taken equal to the trip duration. Usually, family travel insurance plans are offered for a minimum tenure of 7 days and a maximum of 180 days.
• Countries covered: a travel insurance plan covers countries worldwide. There are Asia travel plans, worldwide coverage plans excluding USA and Canada and also including USA and Canada.
• Types of plans: family travel insurance plans can be single trip policies or annual multi trip policies. Single trip plans cover a single trip while multi trip plans cover multiple trips taken during one year.
• Sum Insured: family travel insurance plans are usually offered for a coverage ranging from USD 50, 000 to USD 500, 000. Some common choices of Sum Insured levels are USD 100, 000, USD 250, 000, etc.