Planning an international trip can be really difficult at times. You might plan the best dream vacation with your family, but as soon as the thought of travel insurance comes in your mind, it becomes a stressful task at hand and somewhere down the line, might ruin the ultimate fun just before you take an amazing trip!
These days, most airlines automatically offer you an option to avail a travel insurance policy to ensure safety from emergency situations, like natural disasters, accidents, or unfortunate death. In the first go, you would be tempted to take up this easy path to avail an insurance policy that does not require you to get into comparisons or contact any travel agent for the same. But, before you hit the agree button, it is always better to make a wise choice and study every option available. First of all, be clear about why you need to spend that extra amount on an insurance plan.
The different types of travel insurance plans sum up the requirement of insuring in the case of:
- Trip cancellation/interruption
- Medical evacuation
- Lost baggage
- Flight Delay/cancelation
All these and many more benefits can be availed under a comprehensive policy. You might be welcomed in a foreign country with misplaced baggage or lost personal belongings, like your wallet and passport. These are the common cases where travel insurance plan can provide you the maximum assistance! The cost of any travel insurance policy depends on your destination, age of traveller and the length of vacation.
However, the next problem comes up in making a choice on whether to avail it from an airline or an insurance company. At the outset, you might feel that both offer similar benefits, but here is where you need to open your eyes and research properly!
Let’s look at the differences in the provisions of the international travel insurance plans offered by an Airline and an insurer through certain examples
|1. Mr. Sinha plans a 5-day vacation to the US with his family.||· The Insurance offered by the Airline is costlier as some of its cost goes to airline officials.|
|· Travel Insurance offered is cheaper as you can buy it online directly from the insurer itself. With the help of online mode, the insurer makes a saving in the form of administrative costs, which is then passed on to the consumer in the form of lower premium rates.|
|2. Once Mr. Sinha reaches there, due to some unexpected reasons, the airline he had chosen becomes bankrupt.||· In case the airline becomes bankrupt, it will not take the responsibility of any mishap on the trip, and the loss will not be reimbursed (even though the travel insurance policy said so)||· The Insurance Company is not affected due to the airline going bankrupt. It will provide required assistance whenever one needs it|
|3. Mr. Sinha needs to cancel the flight due to sudden illness or natural disaster alert in the USA.||· The airline might offer a waiver for flight cancellation that seemed to cover such things. But, it might not cover if one cancels the ticket just before the departure or on the departure day.|
· Other provisions might also be excluded, which were not openly disclosed.
|· The insurance company will cover you for any such circumstances from the day one departs to the day one returns home.|
|4. Mr. Singh takes the trip and after reaching there, he is stuck in some riot area.||· Insurance by the airline will not cover delays due to any such emergencies.||· Most insurance companies will list the situations where cover will be provided in case of riots or terrorist attack.|
|5. Suppose Mr. Sinha plans a trip that includes unsafe adventures based on the kind of location (dangers from wildlife) or simply due to the unfavourable societal and political situations there, will he be covered sufficiently?|
|· Travel Insurance from an airline will be limited and uniform for each kind of emergency.|
· It will prove to be very costly.
|· Any insurance company can offer a customized plan|
· So, if one is planning an adventure trip, there has to be more provision for accidental death or disability and the same can be covered under the insurance policy.
So, considering the above examples, one can surely say that the travel insurance policy from a good insurance company is better. But, you need to compare the quotes from different travel insurance companies to avail the best policy suited to your requirements and read the provisions carefully to be clear about what is covered under it.