What is Travel Insurance

With foreign holidays and international business trips becoming more frequent, travel insurance has become a necessity. Yet, many of us do not understand what travel insurance actually is.  Travel insurance can be divided into two main categories:

• Trip Cancellation Insurance
• Travel Medical Insurance

Trip cancellation insurance consists of:

• Trip Cancellation - If you cancel your trip prior to departure, you will be able to claim back your deposit or entire holiday cost
• Trip Interruption - If you need to return home before your scheduled departure, the policy will help you pay for flights and any other arrangements.
• Emergency Medical Expenses - Your travel insurance package will pay for your medical costs whilst abroad
• Emergency medical Evacuation - The travel insurance policy will arrange and pay for transport to the nearest medical facility. Some policies will also pay for your flight home if special arrangements are needed
• Repatriation of Remains - If you do unfortunately pass away while on your travels, your travel insurance policy will pay to have your remains brought back
• Baggage - Most travel insurance policies will cover lost luggage, damaged luggage and late luggage.
• Accidental Death & Dismemberment - The policy would pay out if you died in an accident or post two limbs in the accident
• Miscellaneous - Some policies will also cover extra items such as delayed flights, emergency cash transfer and ID theft.

Travel Medical Insurance
This type of travel insurance focuses mainly on medical benefits. This type of policy will specialise in medical fees, evacuations and other medical emergencies. Cancelled or delayed trips will not be covered.

Travel Insurance Excess
Both types of policies will most likely have some form of excess. The size of the excess will depend on the specifics of the claim and the cost of the premium. Please remember to double check and query your excess with the provider before you take up the insurance.