Trip insurance covers a traveler for almost any unfortunate incident that may occur during a trip. Available at a nominal cost of around 6%-7% of the total cost of the trip, trip insurance can be well within the traveler’s budget.
Depending on the frequency of the trips, a traveler can buy single trip insurance or an annual trip insurance that covers multiple trips to multiple destinations. The highlight of a good trip insurance is that it covers medical as well as financial emergencies of the traveler, which otherwise could burn a hole in the pocket.
A little caution is required at the time of purchasing trip insurance. A few points worth knowing are:
-
Trip agents or facilitators also offer trip insurances. However, the safest way to invest is to buy trip insurance from a third-party insurance company. This helps in getting the assured amount even when the trip facilitator goes bankrupt.
-
Many policies exclude certain coverage on various grounds. Therefore, one should read through policy very carefully before finalizing it.
Trip Insurance: Reasons to Consider
Any thing can go wrong while traveling and knowing that you are financially covered for certain emergencies brings peace of mind. Trip insurance comes into play in these conditions:
-
Stolen passport and wallet: In such cases, trip insurance arranges for a quick replacement of the passport and provides cash for all related activities.
-
Accidents: In such cases, complete medical assistance, evacuation and, if the need arises, surgical expenses are borne by trip insurance companies.
-
Lost luggage: The lost luggage cover provides reimbursement for lost, stolen or damaged luggage or personal items. It may vary significantly for domestic and international flights.
-
Medical emergencies: In case of any medical complication, trip insurance covers you irrespective of the location in the world.
-
Flight cancellation: A traveler may need to miss a flight or the flight may be cancelled, causing inconvenience and unforeseen expenses. An insurance may pay for hotel stay, rebooking and travel expenses.
-
Weather conditions: In case of hostile weather, many trip insurance companies offer you financial protection for accommodation, transportation and even the loss of personal items.
It is a good idea to find out about the political, social and weather related conditions of the destination before purchasing travel insurance.