Key Facts to Check Before Buying
Travel insurance policies may be purchased for individual trips, or as an annual policy for all trips taken in the year of insurance (usually with a maximum number of days you can be away for any one trip).
Policies are broadly similar, but the level of benefits offered will vary between insurance companies and policies. In general - the higher the premium, the more comprehensive the cover. However, this not always the case, and you should consider the details of the policy to make sure you are buying the level and type of insurance cover you require.
Before you take out a policy, check that it includes:
- Cover for your whole trip: from one day to one year
- Comprehensive medical and repatriation cover
- Cover for everything you're going to do, such as dangerous sports
Domestic Vacations
If you taking a vacation in the US, you will probably only need to buy a simple cancellation insurance policy. If you are taking your pet with you, you may also want to think about a pet insurance policy, especially one that covers financial loss through damage caused by a pet.
Hazardous Pursuits
With the increase in popularity of adventure travel, it is essential to make sure that you will be covered for any activities you may take part in during your vacation. Most standard travel insurance policies exclude 'hazardous pursuits', although you will usually be able to extend your policy to cover them - at an additional cost.
Skiing and other winter sports fall into this category, and you would be recommended to look for a specific policy in this case. Such policies will cover loss of ski equipment, loss of ski passes and will also offer financial cover for the cost of a mountain rescue.
Medical and Repatriation Costs
If you are intending to travel to remote areas of less developed countries where medical treatment may not be readily available, make sure that your policy covers repatriation costs if you are seriously injured or taken ill. If you are not staying in a vacation resort, you should also consider choosing an insurer who can also offer a 24 hour help line in your language.
Limits
If you are taking an expensive item of luggage or equipment with you, check that the single item limit will cover your needs. It may be cheaper to arrange separate insurance for that particular item, or alternatively, it may already be covered by your homeowners insurance (HOI).
Additional Insurance
Some homeowners insurance policies may provide cover for personal possessions temporarily taken out of the home. If you think that this will give you sufficient protection for these items, you may be able to drop this type of cover from your travel insurance package.
Some credit card providers may also offer elements of travel insurance as part of their product, but cover may be limited. You will probably have to buy some additional cover to provide the equivalent protection as stand-alone travel insurance.