Travel Insurance: Everything You Need To Know

Travel insurance should be a necessity for every traveler, especially when going abroad. Just as you find it difficult to live your normal life without a health insurance, the same seriousness should be observed about travel insurance when you make plans such as renew my passport to take a trip abroad.

There are so many things that can go wrong during your trips, and in the absence of a travel insurance, you will be exposed to a lot of unnecessary and inconveniencing expenditures which might as well make you regret why you made the decision to travel.

It is regrettable that most of the people never consider this important aspect of traveling, but if you want to stay safe and have all the peace of mind you need to enjoy every minute of your vacation, then you will never get into a plane without a travel insurance.

Why do you need a travel insurance?

Excitement will fill your heart as your departure date approaches. You have done all the preparation you need, including renew my passport and everything seems ready for you to leave. You have booked all the flights, tours, accommodation and you are also through with your packing, just waiting for the date to arrive so that you can head over to that exotic destination you have dreamt for all your life. But what happens if-:

• You lose your passport
• A terrorist event happens in your travel destination
• You have an emergency and is forced to cancel the trip the last minute
• You get injured or fall sick during the trip
• You lose your luggage
• A tsunami strikes your destination

Evidently, any of the above happenings would cause a significant change in your plans, and this will come with a heavy hit on the financial planning aspects of your trip. To say the least, you will lose all the money you have spent as you will not be eligible for any refunds for not showing up to your reservation. The purpose of a travel insurance is to shield you from such inconveniences. Traveling is never predictable, and even though you would desire for everything to go smoothly, you need to be wise enough and preempt some of the inconveniences you may run into, and there is no better way to do that than with a travel insurance.

What and who should you insure?

To begin with, there is no blanket policy for travel insurance, and if there was one, it should be the last one for you to consider. Your choice of travel insurance should be dictated by exactly what and who you need to ensure. The nature of risks vary, and just like with any other insurance policy, you need a tailored solution that will offer protection to specific aspects of your travel. In this way, it will more affordable and you will be assured of maximum protection should something not go as planned during your trip. Here are some of the factors you should consider when tackling who and what of travel insurance-:

• Your destination
• Your mode of transportation, for example, will you be using flights, cars, trains etc.
• The nature of the activities you will be doing in your destination. For example, will you be engaging in adventurous activities such as ski diving?
• The duration of your trip
• The people you are traveling with, i.e. parents, children, siblings, partner etc.
• The value of the goods you will be carried along during the trip.
• Your level of risk aversion

There are also certain considerations worth making while evaluating your options for travel insurance, and this include-:

The extent of the coverage – does the policy include indemnity for any medical expenses you may run into during the travel or will you get reimbursed for the expenses you incurred and is it possible to continue with the treatment when you get back home?

Payout requirements and time – what is the process of getting a payout and how long does it take? You don’t need a cover that might take forever to mature, thus adding to your financial woes should you run into certain travel misfortunes.

The amount of the premium – is the coverage you are going for the right one, and what the chances of downgrading or upgrading should you find the need to do either and what are the available upgrades and downgrades?

What is the policy’s take on alcohol and drugs – most of the travel insurance will become null and void should anything happen to you when you were under influence. What are the specific provisions of the policy on alcohol and drugs?

Check out the exclusions – It is extremely important to check out on the exclusions as well. Most of the travel insurances may include insane exclusions that might sometimes render them useless for most travelers. Some of the exclusions may include acts of God, civil commotion, uprisings in your travel destinations, terrorism, natural disasters, bad weather conditions and much. Ensure that you are comfortable with the exclusions, and if not, simply don’t go for that specific cover.

Single trip cover or an annual policy

Whether or not you take an annual policy or a single trip cover will depend on your frequency of travel. For example, if you have gone for renew my passport for a one month vacation and you know you never travel a lot for the rest of the year, then prudence would advise that you go for a single cover. But if you travel frequently, or you are a digital nomad who moves from one country to another throughout the year, then an annual policy would be the best.

Be careful about cheap travel insurance

Finally, you must never fall for cheap travel insurance policies. Just like with every other thing, cheap is always expensive, and since you may be traveling thousands of miles away from home, the last thing you should ever do is gamble with the quality of your travel insurance. The ideal cover should be able to help you cut down on your expenses, and the company will do everything it takes to ensure you have a very good experience during the trip. But for the cheap covers, their concern will be your money and they may become very unresponsive should you need their help while abroad.