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8 Steps to Verify You Have the Right Travel Insurance

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Steps to Get the Right Travel InsuranceOne of the biggest complaints travelers have about travel insurance is that it doesn’t pay out when they expect it to. In nearly all of the cases we’ve seen over the years it comes down to the traveler not understanding what their plan covers and, more importantly, what it doesn’t.

Travelers buy travel insurance for all kinds of reasons:

  • ‘I’m worried about terrorist attacks and want to be protected.’

  • ‘My parents are elderly and I want to be able to get home if they need my help.’

  • ‘If I get hurt or sick, I don’t want to worry about paying a huge medical bill.’

  • ‘My job has been a little ‘weird’ lately and I’m worried about layoffs.’

To be sure you actually have the right travel insurance for your trip, follow these steps with the plan you already purchased or want to purchase. Check your plan within the review period so you still have time to cancel your policy (for a refund) or make changes to get the coverage you need.

1. Do a quick health review

If you’ve been to the doctor recently – is that condition likely to recur? If you visited the doctor for migraine headaches in the past few months, for example, and that condition reoccurs on your trip, your medical care while traveling might not be covered.

Why?

Because the condition is considered pre-existing and most travel insurance plans exclude medical care for pre-existing conditions. A traveler who has a pre-existing condition can purchase a plan with coverage if they purchase it soon after their first trip payment or buy the optional upgrade. Some travel insurance plans cover pre-existing conditions automatically if the plan is purchased early. No travel insurance plans cover losses due to mental health issues or suicide.

Very Important: be warned that the exclusions for pre-existing medical conditions apply not only to the traveler but also to family members and travel companions. Most people don’t have the full details of another’s health history, but if a close relative or business associate’s state of health leads to a decision to cancel your travel plans, that cancellation may not be covered if the cancellation was due to a pre-existing medical condition.

2. Check your destination

To get the latest health and security information about where you’re going, you have a number of sources outside of the standard media coverage.

Check out our topic on the Best Places for Travel Health and Safety Info for more details.

3. Check your travel mileage

How far you travel factors into a number of travel insurance benefits. Most travel insurance policies limit the coverage unless a traveler is going a certain distance from home. For example:

  • If you’re traveling abroad, you are likely to be outside your health insurance network on your trip. That means you won’t have benefits for emergency medical treatment without travel medical coverage.

  • If you’re traveling within your home country, the benefits for medical evacuations and repatriation may not be in effect.

The key is to be sure your destination is far enough to warrant the coverage you’re paying for.

4. Know your trip activities

The activities you do on your trip could render your coverage invalid. Travel insurance plans typically exclude a number of activities that are considered more hazardous than say running along the beach in the dark. Specifically activities like parasailing, hang-gliding, mountain sports, diving and more are excluded from the typical plan unless you purchase an upgrade.

Some travel insurance plans are designed specifically for adventure travelers, but even if you’re a typical traveler and don’t plan on doing anything potentially dangerous, you could run into a unique opportunity to do something adventurous on your trip.

Take out your travel insurance policy documentation and read the section labeled ‘Exclusions’ to know which activities could cause your policy to be useless. You don’t want to find out that rock climbing is a non-covered activity after you fall and get hurt. Know ahead of time.

5. Double check the dates

In the chaos of planning a trip, the dates may get shuffled around a little so you can get the best airfare or meet a friend while waiting for a connecting flight. The key is to double check that the dates you are traveling are the dates you’re covered for with your travel insurance plan. Everything has to match up correctly if you later have to make a travel insurance claim.

The same is true for the traveler’s ages, names, etc. Scrutinize the details and call your travel insurance provider as soon as you identify a discrepancy so the change can be made ahead of time. Once you depart, these changes can’t be made.

6. Verify your layovers

Travel insurance coverage for trip delays and missed connections comes with the standard caveat that you gave yourself enough time from the start. If you schedule a multi-stop flight with tight connections and the first flight is delayed for an hour due to mechanical repairs, you could throw off your entire trip.

Even worse, if the delay means you incur a loss and want to make a claim on your travel insurance plan they will verify that you had enough time to make your connection.

7. Check the policy limits

Every insurance plan has limits applied to the coverage. The baggage limits, for example, may not be enough to fully reimburse you for a lost bag and it’s contents (depending on what you’re taking with you). Where the limits really get sticky are when it comes to medical and evacuation coverage. Specifically, you want to have enough coverage to pay for these events should they occur, but you don’t want to pay too much for coverage you may never use.

It’s a tricky balance, but luckily our travel insurance comparison tool offers some suggestions based on your age, your destination, etc. to help you determine how much travel medical and evacuation is enough.

8. Don’t make assumptions

Don’t make assumptions about your travel insurance coverage. Many travelers read that their policy covers trip cancellation, for example, and assume it means the plan will cover no matter what causes the cancellation. Or, they read that their plan covers travel delays but they don’t understand that the delay must meet a minimum number of hours.

If you have a specific concern, read your travel insurance policy (or the description of coverage) before you buy or or soon after so you understand your concerns are covered.

If you’re worried about the possibility of losing your job, for example, and you want to be sure you can cancel your trip and be reimbursed your non-refundable trip costs, make sure that job loss is listed as a covered reason and that your length of employment meets the requirements (usually at least a year is required).

Getting the right travel insurance takes a little bit of thinking, some research, and a careful review of the policy you choose. It’s not hard, but it does take a little effort on your part. See the 9 Most Expensive Travel Mistakes You’re Likely to Make for more details on what to watch out for.

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Travel Guide

Finding Expat (Expatriate) Insurance | loaninsuranceinfo.site

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Finding Expat (Expatriate) InsuranceAn expat, or expatriate, is a person who has decided to live and work in a country that is not their original home country. They may be residing temporarily, long-term, or permanently outside the country of their birth and for a wide range of reasons: they like the culture better, the work opportunities are better, the cost of living is better, and more.

What Insurance Concerns do Expats Have?

Expatriates have a long list of things to think about, including tax laws, whether to take their own vehicle or buy abroad, banking abroad, living arrangements, visa and work requirements, and more. Plus every country is different, so if you move around as an ex-pat, you’ll have to keep up with the rules and laws wherever you go.

As an expatriate, you also have to be concerned about health care. While some countries allow a visitor to receive health care paid for by the government, others are less inclined. If the expat doesn’t qualify as a citizen under the government of the country where they are living, their health care is handled differently – and often paid upfront unless they have an insurance plan.

This is fine as long as you never get sick, break a tooth (or a leg), fall into a ditch, run into a nasty mosquito, or get into a car accident, for example. According to media reports, the cost of health care may be the highest in the U.S. and Canada, but it’s rising around the globe as well. Unless you are one of the few who prefer to risk it, buying an expatriate insurance plan is the way to go.

How is Expat Insurance Different from Travel Insurance?

There are essentially two types of travel insurance: vacation plans and travel medical plans. Most vacation (package) plans cover trips of a limited amount of time (often just 30 days) and the cost of covering a cancellation comprises most of the premium. But as an expat, you don’t care too much about trip cancellation coverage. It’s not useful to you.

For an expat, a travel medical plan is the way to go and the premiums are much less than those for package plans. Plus, they come in short- and long-term periods of coverage (even annual) and they can often be extended for more time or renewed on an annual basis. Plus, periodic visits back home are allowed without invalidating your coverage.

Expatriate Insurance Can Cover Non-Emergency Medical Care

Now that you know you have to choose a travel medical plan, it’s also important to consider where you’re going, what type of medical care will be available to you, and whether you’ll need basic maintenance medical care for minor illnesses and checkups.

If you are living and/or working abroad, you may want to have the same level of health insurance as is typical back in the U.S. – especially if you’re traveling as a family and have (or are planning to have) kids. If so, you’ll want to look into a long-term travel medical plan with coverage for non-emergency medical care.

Expat Insurance May Include some Package-like Benefits

Most insurance plans that are appropriate for expats also include at least some benefits that are more commonly found in vacation plans, like the following:

You should carefully review the exclusions of your plan because many plans don’t include coverage for hurricanes, terrorism, political unrest and more. Once you’re in your new country, you can expect your insurance company to get you out unless you have the coverage for it.

Determining How Much Coverage You Need

This is where things can get more complicated because how much coverage you need depends on several things:

  • How much medical care costs where you’re going

  • How much money you have available at any time to pay for medical care

  • Your personal level of comfort with risk

Much like investing in stocks, choosing the right coverage limit is a highly personal decision, but there is some research you can do to make your decision easier. Start by going to the U.S. State Department’s International Travel Information site, and choose the country where you’ll be living as an expat.

Let’s say you’ve decided to spend a year in Australia as an expat, so you choose Australia and the country specific information displays. There are several sources of useful information here, including (links are specific to Australia):

According to the information for Australia, excellent medical care is available but you should check to see if the policy you already have covers you in that country, and if not, you’ll want to have some type of overseas medical coverage.

Finding Expat Insurance Plans

When it comes to finding expatriate insurance plans, we found a couple of plans that you can review for your expat trips:

  1. HTH Worldwide Global Citizen EXP – this plan is worldwide health insurance for emergency and preventative care and includes optional prescription drug benefits, maternity benefits, and more.

  2. Frontier MEDEX TravMed International – this plan has major medical coverage, dental care, and covers evacuations/repatriations for travelers living away from home for extended periods of time.

You can use our compare quotes tool to find an expat insurance plan that fits your needs. Be cautious about any pre-existing medical conditions you may have as medical care for those may not be covered if you choose a plan that excludes pre-existing conditions.

Be sure to check out our Tips to Surviving Culture Shock too!

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Travel Guide

How the Latest Global Travel Alert Affects your Travel Insurance

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How the Latest Global Travel Alert Affects your Travel InsuranceEarlier this week, the U.S. State Department issued a global travel alert announcing the threat for terrorist attacks on Westerners and warning U.S. citizens to take precautions while traveling.

The travel alert expires on August 31, 2013, and nearly the moment it was issued, many U.S. travelers were scrambling to check their travel insurance policies and understand the terms under which they might be able to cancel their travel plans – and get a refund – or travel anyway and be sure their emergency medical care will be covered.

Let’s review how this latest global travel alert affects your travel insurance coverage.

A Terrorist Act (by definition) May Not Be What You Think

Travel insurance doesn’t always apply to emergency situations the way many travelers expect it to – especially in cases of terrorism, or political and civil unrest that causes instability in certain regions of the world. Specifically, a terrorist incident is not the same as political or civil disorder or riots.

Understanding how your travel insurance plan defines a terrorist act is critical to understanding your coverage.

See your travel insurance plan’s definition of terrorist act – here is an example copied from the plan description document for TravelEx’s Select plan:

Some travel insurance plans – like Seven Corner’s Round Trip Choice plan – define a terrorist incident like this:

Terrorist Incident: means an incident deemed a terrorist act by the United States Government that causes property damage or Loss of life.

Essentially, the coverage in the plan isn’t in effect unless the U.S. government deems it a terrorist act. So, just because you’d define it as an act of terrorism doesn’t mean your travel insurance provider does.

Changing Your Mind is Not a Covered Reason to Cancel

Most travel insurance policies do not cover trip cancellations in response to a travel alert or travel warning – the terrorist action actually has to occur for the coverage to kick in. For those plans that do include cancellation coverage for terrorist actions, the following rules generally apply:

  • The travel alert must be issued after your plan’s effective date (meaning you can’t buy travel insurance now because the threat is already a known event).

  • The terrorist incident must occur after your plan’s effective date and within a certain number of miles of your travel destination.

  • The terrorist incident must occur within a certain number of days (usually 15-30) of your scheduled departure date.

  • The same city must not have already experienced a terrorist incident within ninety days prior to the incident that is causing you to cancel your trip.

Those travelers with trips scheduled after the August 31, 2013 expiration of the global travel alert can get coverage for their trip, but remember that buying your plan soon after your first trip deposit is always recommended.

Travelers who purchased a travel plan with ‘cancel for any reason’ coverage can cancel their travel plans no later than 48 hours prior to their departure. ‘Cancel for any reason’ coverage is the only coverage that allows a traveler to cancel for any reason at all and get 50-100% of their money back.

See more about terrorism as a covered reason to cancel your trip and a list of policies with that type of coverage.

Benefits May Not Be Payable for Certain Types of Terrorist Incidents

Travel insurance providers limit their losses for some events using exclusions, which are clearly defined in your travel insurance plan. For example, most travel insurance plans specifically exclude any coverage for sickness, injuries, or other losses due to war, attacks using weapons of mass destruction, nuclear, chemical, biological or other warfare – regardless of who commits the act or whether war has been declared or not.

This means that if a terrorist decides to unleash a nuclear attack where you are intending to travel or are already traveling, your cancellation, your emergency medical treatment, your evacuations, etc. will not be covered by your travel insurance plan – even if it’s defined as a terrorist action simply because of the type of incident.

If You’re Traveling Soon and Have Travel Insurance

This particular global alert was issued on August 2, 2013 and expires on August 31, 2013. If you are traveling within this travel alert’s time frame, especially if you are traveling to one of the areas listed in the global travel alert, which are: North Africa, the Middle East, and the Arabian Peninsula, you’ll want to do the following:

  1. See if you purchased ‘cancel for any reason’. If you decide not to go, you’ll need to cancel your trip no later than 48 hours prior to departure.

  2. Check your plan’s exclusions section to see how your cancellation, trip interruption, emergency medical, and evacuation will be covered in the event of a terrorist attack.

  3. Check your plan’s coverage for political evacuation. In some cases this coverage will provide for your evacuation in the event of government or social upheaval in a foreign country. Remember that the event must occur for the coverage to be available.

If an event does occur within the travel alert’s time frame and you’re traveling, know that extra costs due to travel delays may be covered if the carriers stop all travel for a certain number of hours.

Summing It Up

The issuance of a travel alert or travel warning associated with an increased threat of terrorist attacks does not automatically trigger benefits under your travel insurance policies. Travelers who are concerned about taking their trips in light of the increased threat must have purchased their insurance prior to the alert being issued.

Travelers with plans to travel after the expiration of this latest alert should purchase their travel insurance early – soon after their initial trip deposit date – and consider getting ‘cancel for any reason’ protection in case other alerts are issued and they decide to cancel.

 

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Travel Guide

9 Expensive Travel Mistakes You’re Likely to Make

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Expensive Travel Mistakes that are Easy to MakeWe all make mistakes, but we’ve also learned that some mistakes cost more than others do. This is especially true when you’re traveling. While no traveler can predict unexpected events like volcanic eruptions or earthquakes, there are a number of expensive mistakes travelers make often enough to warrant this post.

The following are some of the most expensive mistakes travelers common make – and how to avoid them.

1. Not checking your passport early

This mistake can happen to the best of us – after all, ten years is a long time and if you use your passport infrequently it’s easy to forget when it is due to expire.

Trip cancellation coverage with your travel insurance plan may cover your lost trip expenses if your passport is lost or stolen, but it won’t cover them if your passport has expired because that’s part of your good faith responsibility to verify.

In addition, entry into some countries like Costa Rica requires that your passport be valid for six months AFTER you arrive in the country. If you get turned away at the border for having an invalid passport, your travel insurance plan won’t reimburse you for your costs.

If you’re planning a trip where you’ll need your passport, check the expiration date early and for everyone who’s going on the trip. See the State Department’s information on how to get your passport in a hurry if you need to expedite your passport renewal..

2. Using your phone overseas

These days, our phones do far more than ever before – and many of us are ridiculously dependent on those services to find our way around, find a restaurant, keep everyone updated on our day, etc. But using your phone in a foreign country without an international plan can be shockingly expensive.

Of course, you could leave your phone behind and see what travel was like in the ‘old days’. If that’s too scary, you have lots of options to choose from to stay in touch without losing your shirt, including:

  • Get a temporary overseas plan with your provider for the duration of your trip.

  • Switch to a Voice over IP app like Skype to make calls when you find a Wi-Fi hotspot or use your 3G network.

  • Switch your phone’s SIM card, which you can buy locally and pay local rates.

  • Buy or rent a temporary pre-paid phone that works where you’re traveling.

  • Use a free hotspot and spend your time on social media (just remember to disable any automatic downloads).

See Does travel insurance cover phones to understand how to protect your phone.

3. Packing too much stuff

Nearly all of us struggle with this one and more than half of us return home with an outfit that was never worn on the trip. With baggage fees climbing steadily, it’s wise to rethink how much stuff you’re bringing with you and remember that you can buy something you’re missing on your trip.

Regularly check the weather reports for your destination – both current and historical data – to be sure the items you have are really what you need.

See these tips to lighten your load:

Avoid an expensive situation at check-in by reviewing your airlines’ baggage rules and weighing your bag ahead of time. An overweight bag can really bite into your available travel money.

4. Traveling without medical insurance

Not one of us likes to spend money where it’s not necessary, but having travel medical insurance is not one of those scenarios. Sure, you might get through your entire trip without breaking your ankle on a cobblestone street, or contracting a severe case of norovirus, or slipping on the wet tiles at a spa, but if you do wind up in a hospital that’s outside your health insurance network, it can be an expensive financial blow.

Many countries require up-front payment for medical care even with travel insurance, and some travel insurance providers will pay the medical facility directly. If your travel insurance company reimburses you instead, you may need plenty of credit on your credit card.

Before you leave, contact your health insurance provider and find out what coverage you will have where you’re traveling. If there’s little or none, a travel medical plan is a cheap way to protect yourself.

5. Forgetting to tell your bank

If it’s unusual for your credit or debit card to have a charge for restaurant meal in Paris, then your bank may suspend your card for potential fraud. This is an excellent service when the charge isn’t your own and your card has been stolen, but it can be a real problem when you need to pay for your next purchase and the card has been cancelled.

Avoid this situation altogether by contacting your bank and let them know the dates and where you’ll be traveling. Be sure to give them both pieces of information and tell them how to get a hold of you on your trip – if you’re in Paris and a charge shows up on your account from Singapore, the bank will do what it’s trained to do and close your account anyway.

6. Making booking mistakes

Many of us are guilty of this one and it includes a wide range of mistakes:

  • Not leaving enough time between connecting flights

  • Not verifying our calendars and taking into account the time differences

  • Booking the wrong outbound or return flight

  • Booking a flight out of the wrong airport

Rebooking departure dates is one of the most common traveler mistakes and it happens all the time. You can make a lot of changes to airline tickets, but these days those changes can lead to a hefty fee. Double and triple check your calendar before making reservations.

7. Not reserving a place to stay – at least for the first night

Even the most spontaneous travelers need somewhere to put their suitcase – and perhaps their bum – down for the first night. Traveling can be hard on the human body and landing in an unfamiliar city without a reservation could prove more expensive than you think. Wandering around with heavy bags looking for a place to rest isn’t ideal either.

No matter how flexible you want your trip to be – have a place to stay the first night. Keep that reservation and hotel information handy so you can get directions from a local or give it to a cab driver.

8. Failing to research local transportation

What do you know about the transportation at your destination? If you’re staying in a friendly seaside village, do you know how you will get from the airport to that final destination? You can’t assume that the transportation system where you are traveling is similar to the one you have back home. You might be used to lots of cabs and buses being available at all times of the day and night, but try that in some regions of the world – especially if your plane was significantly delayed and you’re arriving late in the night – and you could end up sleeping in a park until morning.

Do a little research on the transportation so you know how far you’ll be going and how you’ll get there. If you’re planning to take public transportation, be sure you know what options you’ll have when you arrive. Also, it may be more cost-effective to buy your rail passes before you leave.

9. Taking the ‘typical tourist’ route

Staying on the standard tourist route is often the most expensive way to travel. While there are certainly some sites that are not to be missed on certain trips – the Eiffel Tower in Paris, for example – the simple demand for those views means they cost more. Visiting the less known destinations can significantly reduce the cost of your trip and often those are some of the most interesting places to visit.

The same is true for traveling during the high season. A destination’s peak travel period results in the highest demand and thus the highest prices. If you’re planning to travel during a busy time, book well in advance for the best prices. If you can travel during the off-season, however, you’ll save a lot of money but you may not have ideal weather conditions. The shoulder seasons are often ideal to get the best of both worlds.

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