The Importance of Decent Travel Insurance

We are already almost halfway through the year, and perhaps end-of-year holiday plans – or sooner for some – seem even closer…

Article by Bertus Visser, Chief Executive of Distribution, PSG Insure)

Before you take your next trip, be it domestic or international, consider taking on travel insurance to protect you and your belongings.

Many of us may simply take the cheapest option to cover a trip, but have you checked if this will be sufficient? Below are some questions to consider before you jet off.

Why should I take out travel insurance?

It is not advisable to forgo travel insurance altogether, even if it is a bit of a grudge purchase and can cut into your travelling budget. You would be in an even worse position if an accident happens. Travelling can involve a number of risks.

Imagine if you were to have a medical emergency in a foreign country, or a natural disaster forces you to evacuate the resort you are staying in? What if your flight is cancelled, or your baggage gets lost? And what would you do if your passport or wallet were stolen while on holiday?

What would you do if your passport or wallet were stolen while on holiday?

Many unusual – and often quite extreme – events are happening in the world, so it is best to be covered. It is possible to get cover for terrorist attacks, floods and earthquakes. There is even cover available for professional sports or leisure activities, although there will be some exclusions (such as hang gliding).

How do I know how much cover I need?

A good starting point is to check with your adviser if your current insurance policy has any travel cover already included. However, this may not be enough. Travel insurance can range from a simple policy that covers your gadgets in case of theft, to a comprehensive policy that will pay to air-lift you to the closest quality hospital anywhere in the world in the event of a medical emergency.

In general, medical, cancellation, baggage, delay, personal liability and personal accident cover are included in a travel insurance policy – with various limits, depending on your needs. Your adviser can assist in making sure you get the right cover.

Do I understand the parameters of my cover?

Certain limits will apply, depending on where you go or how long you travel for. For international travel, there may be visa requirements that affect your policy or parts of the world where insurance cover is limited or non-existent.

There may be medical limits as well, as many healthcare arrangements won’t apply in other countries

There may be medical limits as well, as many healthcare arrangements won’t apply in other countries. In these cases, you will either need separate insurance or must ensure that you are able to pay all medical bills out of pocket.

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