The modern world feels so much smaller and more accessible than ever that we almost take foreign travel for granted. A superb testament to people’s adventurous nature and desire to experience the sights and sounds the world has to offer. However, as international travel has become ever-easier and more accessible, it has become easier to grow complacent. It pays to remind ourselves that other countries do not necessarily share Australia’s infrastructure and standards. This makes it essential to protect ourselves when venturing away from home; there is no better way to do this than by acquiring high-quality travel insurance.
Travel insurance prices often vary drastically and that should raise a few red flags and questions in the minds of discerning Australian customers. Ask yourself:
- Why is that?
- What is lacking from one policy that makes it so much cheaper than another?
Fortunately, it is relatively simple to find out as any decent, reputable insurer will have the terms and conditions of their policy clearly stated in black and white for you to assess. Below, we have listed some of the key tenets of any acceptable travel insurance policy; it pays to familiarise yourself with them and their implications before purchasing a policy.
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SubscribeTypes of travel insurance coverage
Although most of the information we provide is accurate, it must be remembered that policies differ and even within the same company, levels of coverage can change drastically. The terms and conditions of each policy should be assumed to be completely different from any other. Here are some types of insurance to investigate:
- Trip cancellation/interruption
- Medical emergencies
- Theft
- Evacuation
- Baggage
- Flight
- Collision (rental vehicle) and personal liability
- Cancel for any reason (CFAR)
Do your homework
If you are confused about the details of a travel insurance policy, the most effective thing you can do is to ask questions until you are satisfied. Familiarise yourself with how insurers define certain terms like ‘companion’ or ‘family member’ within the policy. It may not be the same definition you would attribute to the phrase and may weigh heavily on your decision. The last thing you need is to discover the discrepancy when you are already in need of assistance, only to be told you are not able to claim in a particular situation. The recent pandemic caused a widespread overhaul of the travel insurance industry as demand was driven through the roof and new lines of fine print, caveats, and exclusions became the norm.
Final thoughts
No trip overseas is ever entirely without risk and that sense of unknown and adventure represents some of the thrill of leaving Australia to explore the wider world. But there is no reason not to protect yourself against those risks if possible and comprehensive travel insurance represents your best way of doing so. When deciding if travel insurance is right for you (it is), do plenty of research, ask any questions you have, and seriously consider your peace of mind and how much it is worth to you. As with all types of insurance, it is better to be safe than sorry.
