10 Tips to Buy the Smartest Travel Insurance Policy

Why invest in travel insurance?

Travel insurance is the backbone of your travel plan as you can not only be at peace but also can ask for compensation in case of any uncertain event occurring during your vacation. There are many benefits of investing in a suitable travel coverage plan. The frequency of uncertainties has increased these days. Terrorist attacks, thefts and robbery are some of the commonly happening events. You never know how bad you will be affected by such uncertain events while you are out in an unknown destination for a vacation. Insurance is a tool that helps you stay protected throughout your trip and offers you good amount of compensation in case of any emergency or an uncertain event. Nowadays, buying suitable travel coverage tops the list of any travel plan. The tourism industry in India is doing a great job by offering attractive travel packages to the residents. Buying a suitable travel insurance plan to match your vacation package has never been so easy before.

Buying travel insurance online

It takes just a few clicks online to search for available travel plans and compare them with their features and coverage details. Comparing available travel coverage plans through online quotes is the smartest way to search for the most suitable ones. As premium is the primary factor to consider, you can calculate the premiums associated with different plans by using the online calculators and invest in the smartest one.

Tips to buy online travel insurance

Here are some effective tips to buy travel insurance policy that suits your requirements:

• Before searching for the travel coverage policy, firstly decide about the place where you would like to spend your vacation at. After you finalize the travel destination, search for reputed travel companies online and ask for the variety of plans that they offer.

• For aged people, it is a must to opt for a plan that covers emergency charges and medical expenses along with ambulance and hospitalization fees.

• If you are a regular traveler, you can easily locate a discounted travel coverage policy.

• Your coverage elements would differ as per the place where you are planning to visit. For an adventure trip that includes activities like sea diving, mountain climbing and rafting, make sure that the policy covers compensation for loss of luggage and personal injury.

• There are different insurance policies for business travelers that usually cover compensation for loss of business related accessories and uncertain expenses.

• Students travel policies would cover uncertain events during their abroad visits for education.

• Family travel policies would offer compensation to your entire family against events like delay in flights, loss of checked baggage and interruptions due to hijack.

• Avail assurance from the insurance company that they would refund the tourism amount in case of cancellation of trip due to uncertain events.

• Be ready with your coverage checklist before applying for any travel coverage plan.

• Some insurance companies also offer pet insurance policies to travelers who want to take along their pets for the trip.

For a safe and peaceful journey, buying a suitable travel insurance policy is a must.

Holiday Season Is Here! Do You Have A Good Travel Insurance?

What is Travel Insurance? Why Do We Need It?

To put it simply, travel insurance is a type of insurance that covers financial losses including medical expenses incurred while travelling within the country or internationally. Travel policy is designed to protect your health, belongings, and your finances during the course of your trip. While it’s a good idea to take out travel insurance on international visits, it’s also safe to check what your insurance covers.

Travel is one of life’s greatest pleasures, but even the most carefully planned trip can be complicated by unforeseen events. Whether it’s lost luggage, cancelled flights, or medical emergencies, an unexpected event can cause a financial crisis. Hence, it is essential to buy a good travel policy that can safeguard your journey and make your vacation a truly memorable one.

Travel policy has always been perceived as an optional package. But, without the proper coverage, you may be followed home by a string of incidental expenses.

How Can We Choose The Best Travel Insurance?

Today, travel policies come with a variety of options but choosing the right kind of insurance policy is important. A good travel policy is one that covers you for what you need, and doesn’t charge you for coverages you don’t.

While it’s a good idea to take out travel insurance on international visits, it’s also safe to check what your insurance covers. Remember, online travel policy only covers trip cancellations for certain reasons, including sickness, a death in the family, or severe weather.

When identifying the best online travel policy for yourself and family, look for the following policy details:

• How many family members / individuals are covered?
• What are the expenses covered?
• What are the different plans available?
• What’s the maximum coverage offered?
• Does the policy cover pre-existing conditions?
• Does the provider have a worldwide, 24/7 emergency contact number?
• Can insurance be purchased and renewed online?
• Is the policy applicable only when travelling abroad or even within one’s own country?
• Does the travel policy cover multi-trips?
• Does the policy provide coverage for adventure sports?

What Should An Ideal Travel Insurance Policy Cover?

While travel insurance policies come with a variety of benefits, the following are the necessary covers you should look for:

• Medical and health cover for an injury or sudden illness abroad
• 24-hour emergency service and assistance
• Lost and stolen possessions cover including passport
• Trip cancellation cover

While it is not compulsory, most travel companies usually insist on some form of insurance as a stipulation of their holiday product. Travel Insurance has always been perceived as an optional package. But, it covers several situations that guarantee you peace of mind. Business or leisure, remember to insure before leaving.

Overseas Travel Insurance Plans – Costs Less and Offers More

Everyone craves for vacations to enjoy some quality time with their loved ones and Indians are no exception. The outbound travel sector of India saw a robust growth this year because international travel destinations are highly sought-after among Indians in 2015. Obstacles like inflation, skyrocketing ticket price and depreciation of rupee couldn’t deter the wandering spirit of Indian travelers to travel around the world. Over 60% of Indians remain unmoved by the depreciating rupee and are raring to go to travel. However, the rate of availing travel insurance to safeguard the trip is still dismal among Indian travelers.

Young generations prefer to travel to international destinations once a year at least. According to a survey, 90% of these travelers make use of their own savings for overseas trips and don’t consider travel cover. Quite surprisingly, this is the mindset of young internet savvy generation as ICICI Lombard conducted the survey in the age group of 25-35 among 1049 people across six metro cities in India who had international trips in the previous year.

The survey further reveals that Singapore is the most preferred travel destination among young Indian travelers; the second and third places are held by US and UK.

Let’s take a look at the travel plans available and their prices for those who favor these destinations. Let’s start with Singapore.

Travel insurance plans available for Singapore trips

The following list of top 5 policy quotes in terms of lowest premium are for one 30 years old person looking for a single trip to Singapore. The trip duration is 10 days and the chosen sum insured is US$ 500000.

  1. Universal Sompo – Premium of Rs. 942
  2. HDFC Ergo – Premium of Rs. 1015
  3. Reliance – Premium of Rs. 1129
  4. TATA AIG – Premium of Rs. 1234
  5. Religare – Premium of Rs.1666

The lowest premium is Rs. 942 for a travel insurance plan for a 10 days trip to any Asian country such as Singapore, Thailand. This means one has to pay less than Rs. 100 per day to make his trip safe and secured. Indian travelers must know that travel plans are not only inexpensive but they also provide coverage for loss of baggage, passport, hijack and even emergency treatment.

Travel Insurance plans available for UK trips

The following list of top 5 policy quotes in terms of lowest premium are for 1 person looking for a single trip to UK. The trip duration is 10 days and the chosen sum insured is US$ 500000.

  1. Universal Sompo – Premium of Rs. 942
  2. Bajaj Allianz – Premium of Rs.991
  3. HDFC Ergo – Premium of Rs. 1015
  4. Reliance – Premium of Rs. 1129
  5. Bajaj Allianz ( Travel Elite Platinum) – Premium of Rs. 1139

Universal Sompo provides the lowest premium. The premium of travel insurance plan is also Rs. 942 for a 10 days trip To UK.

Travel insurance policies for US trips

The following list of top 7 policy quotes in terms of lowest premium are for 1 person looking for a single trip to US. The trip duration is 10 days and the chosen sum insured is US$ 500000.

  1. Universal Sompo – Premium of Rs. 1344
  2. HDFC Ergo – Premium of Rs. 1438
  3. Bajaj Allianz – Premium of Rs.1441
  4. IFFCO-TOKIO – Premium of Rs.1456
  5. Bajaj Allianz ( Travel Elite Platinum) – Premium of Rs. 1658
  6. TATA AIG – Premium of Rs. 1694
  7. Reliance – Premium of Rs. 1783

The lowest premium is Rs. 1344 for a travel insurance plan for a 10 days trip to US. Just imagine, you are getting all types of risks covered just by paying less than Rs. 140 for each day of your trip.

Best travel insurance plans in India in terms of baggage and medical coverage

The survey also made clear that 79% people buy travel plan to cover medical emergencies. Safety of baggage is the second most vital reason as 60% people behind purchasing travel insurance policy. So let’s find out best travel insurance plans in terms of medical emergency and luggage safety.

From the above list of travel policies for US, two plans by Reliance and Bajaj Allianz look best in terms of baggage cover.

Reliance Travel care platinum provides US$1500 for the loss of checked baggage for a premium of Rs.1783.

The Travel Elite Premium plan by Bajaj Allianz provides US$ 1000 for a premium of Rs. 1658 for the loss of checked baggage.

To get the best coverage for medical emergencies, the Titanium plan by HDFC ERGO is the best. It primarily covers:

  1. Emergency Medical Expenses
  2. Permanent Disablement/accidental death
  3. Hospital Cash
  4. Loss of Personal Documents
  5. Accidental Death
  6. Loss of Baggage
  7. Financial Emergency Assistance
  8. Personal Liability

What is the cost of international travel policy for a couple?

According to the survey, 52% of travelers prefer to have trips with spouses. So, if these people can avail a travel plan for visiting US or UK or Singapore, how much do they have to pay?

Let’s start with US trip for 10 days for a sum insured of US$ 100000 covering 2 people who are 30 and 28 years old.

Religare offers the best plan which comes at a premium of Rs. 2407.

If you compare travel plans available for couples who wish to visit UK, keeping the same criteria for trip duration, sum insured and age of the traveler, Religare provides the best plan. The premium of the plan is Rs. 1537.

For a trip in countries like Singapore, Thailand within Asia which has been the top travel destination of 2015, a couple has to spend even less for a travel insurance policy. If you compare travel insurance plans that cover Asia, you will get the lowest premium of Rs. 1218 from Explore Asia plan provided by Religare.

The positive part of the survey is the increased awareness among Indian travelers. More than 90% of young generation is aware of the travel insurance which is a significant rise from last year’s 80%. One of the major provider of travel insurance plans in India; ICICI Lombard underwritten a total travel insurance premium of Rs 100 previous year, one can expect the premium to increase by 5-10% in this year. The problem is not with the awareness; it is the lack of understanding about the benefits associated with these travel covers.

27% of the total respondents in the survey choose not to avail a travel insurance plan simply because they were under the wrong conception that such plans cover only accidents, loss of baggage and theft but don’t provide medical coverage. This is far from being the truth as the complete break-up of Titanium plan by HDFC ERGO shows extensive coverage for medical emergencies.

25% surveyed people didn’t buy any travel plan because they thought such plans are costly but it is not so. The price of all plans for person mentioned here are about less than Rs. 100 to less than Rs. 140 for each day of a 10 days trip. Travel insurance policies for couples are even cheaper as they cost in the range of less than Rs. 65 per day per person to less than Rs. 125 per day per person for destinations like US, UK and all countries in Asia including popular destinations like Singapore, Thailand.

Indians love to spend their holidays in international destinations. An international travel insurance plan doesn’t cost much and offers a lot in return. If you are also a travel freak, you should insure the total duration of the trip so that you can enjoy your holiday with complete peace of mind.