Comprehensive Travel Insurance - should you get it?

Comprehensive travel insurance means just that – a comprehensive cover of all necessary travel related insurance needs. However, this doesn’t mean there is no flexibility within this kind of policy. To the contrary, it can offer a great deal of flexibility to all travellers, and takes into account all kinds of travel needs. Travellers can pick and choose many of the inclusions to suit their budget and trip requirements. However, there are some standard elements to comprehensive travel insurance that should be looked at more specifically.

Choosing the correct type of insurance can be confusing at times, as most insurance policies can be filled with jargon and information that is hard to understand. The following is a summary of what you can expect will be included within a comprehensive travel insurance policy, and includes an estimate of how much each element should cover you for (based on a family rate for 4 weeks international travel to one other country). As each company has their own policies it is by no means an exact representation and there may be some variations in content and coverage, but it can serve here as a guide:

Standard Elements:

Medical Expenses Incurred outside Australia  
Could include:
 Hospital expenses, loss of income, permanent
 disability, motor vehicle accident, sudden illness,
 death or serious injury,
$1,000,000 – Unlimited
 Dental Expenses
 Emergency Dental expenses 
$1,000,000 – Unlimited
 Medical Evacuation and Repatriation                                
Could include:
 Additional travel & accommodation expenses
for a family member due to death or serious
injury, hijacking, natural disaster, and return
transport home.

Unlimited

 Personal Luggage and Effects    
Could include:
 Loss, theft, or damage of luggage, laptop,
 camera, golf clubs, or jewellery.
 $10,000 -  $40,000
 Cancellation & Interruption     
Could include:
 Agents fees, transport, accommodation,
 frequent flyer points, tuition or course fees,
 trip rearrangement.
Unlimited

 The following are some other non-standard elements (by no means conclusive) that may or may not be included as standard elements; however, they can often be added or removed from existing policies. For this reason it is important that you check each policy individually to ensure that it includes the ones you specifically require. In other words; shop around!

Non Standard Elements:

Rental vehicle expenses $1,000 - $5,000
Travel delay $2,000
Loss of income  $20,000
Accidental death expenses $20,000 - $50,000
Hospital cash allowance  $10,000 - $20,000
Personal liability $2 - $5 million
Legal expenses $20,000 - $30,000
Resumption of trip $5,000 - $6,000
Missed connection $5,000
Internet and telephone calls $250
Replacement passport and travel documents $3,000
Snow skiing and/or golf benefits $400 - $1,000
Domestic pets $500

 It is important to note that some countries incur higher health care costs and, due to certain regions of the world being considered hotspots, comprehensive travel insurance rates and inclusions can vary from region to region. So it is important that you check with your insurer that your policy adequately covers the region you will be travelling to and the things that are specific to your trip. Every insurance company is obligated to provide a Product Disclosure Statement outlining the specifics of what each policy does and doesn’t include. So always ensure that you take the time to read this document before you take out any kind of travel insurance.

 

Read more Articles