If you are planning to travel during summer vacations, then do not forget to take travel insurance. By taking travel insurance, you can make the journey of yourself and the whole family safe and pleasant at a very low cost. Let us know why it is necessary to take travel insurance and what are its benefits.
What is travel insurance?
Travel insurance is a type of insurance that provides compensation and protection against medical expenses, trip cancellation, loss of luggage, flight cancellation, personal accident or other losses during travel (within or outside the country).
What are the benefits of travel insurance?
After taking travel insurance, if the flight is delayed or cancelled, then the expenses incurred due to this delay such as food and drink or hotel stay expenses are covered. Travel insurance also provides cover if your luggage is lost or stolen during the journey. If a member falls ill or meets with an accident during the journey, then travel insurance covers all the hospital expenses.
In case of accident or death, the family gets compensation under the insurance scheme. Insurance provides immediate assistance and re-issue expenses in case of loss of passport or important documents. If you face a medical emergency during a foreign trip, then the insurance covers the huge cost of treatment.
What is not covered?
Travel insurance does not cover long-term illness, illness caused by alcohol consumption, AIDS, mental disorders, pregnancy, damage caused by civil war, expenses incurred on accidents while playing sports, etc.
How much cover is needed
Insurance companies charge the premium of the policy based on the duration of the trip, the number of members going on the trip and the destination. Usually, companies offer a cover of 15,000 to 50,00,000 dollars for foreign trips. According to industry experts, travel insurance accounts for 4 to 8 percent of the total expenses incurred on the trip.
Not much change likely
Companies do not provide much option to moderate the travel insurance policy. Companies provide the facility of moderating the insurance policy only to corporate clients. Whereas, there is less option to design the insurance plan according to your needs when taken at the individual level.
Can the policy be cancelled or not
After purchasing the policy, it can be cancelled before going on a trip. The policy cannot be cancelled after going on a trip. The company deducts a nominal charge on cancellation of the policy.
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