For travelers on a budget, travel insurance is usually optional — except of course when it’s required, like for a trip to the EU. The reality is, travelers usually feel like it’s an extra expense, and the decision process usually ends up at “chances are, I won’t use it anyway,” or, “it’s a short trip. What can happen?” Now, to make a more informed choice, here’s all you need to know about travel insurance and choosing the plan for you.
What does travel insurance usually cover?
The breadth and depth of coverage depends on the policy you choose but generally, it covers the following:
- Medical Expenses — Should you get into an accident or a sudden illness, it will cover your medical expenses.
- Lost or Stolen Possessions — Say, you get robbed, your travel insurance can cover the losses.
- Personal Liability — If you caused an injury due to an accident or damage to someone’s property, your policy can cover it for you.
- Missed Departure — Should your flight get delayed for more than eight hours, your additional accommodation expenses can be covered by your insurance.
- Recovery of Travel Expenses — If you suddenly need to cut your trip short because of an emergency, the remaining unused accommodation expenses and fares can be reimbursed.
How much will it cost?
It’s not really as expensive as one might think. Policies start at PHP70 for domestic trips and USD8 for international trips. Travel insurance for a month-long trip to the EU will cost you about USD75 or a little less than PHP4,000. This policy cost will cover the required USD50,000 medical expense and personal accident coverage and the following (actual cost and benefits/coverage via FPG Insurance):
|Personal Accident (for child from 4 weeks to 17 years or person above 70 years old)||$25,000|
|Medical Treatment / Expenses||Up to $50,000|
|First Medical Assistance||Up to $500|
|Emergency Dental Care||Up to $200 (deductible $60)|
|Medical Evacuation and Repatriation||Actual Expense (subject to a maximum limit of $50,000)|
|Return of a family member traveling with the Insured||Actual Expense|
|Repatriation of Mortal Remains||Actual Expense (subject to a maximum limit of $50,000)|
|Escort of Dependent Child||Actual Expense|
|Compassionate Visit||Travel Cost plus $100/day, maximum of $1,000|
|Trip Cancellation||Up to $2,000 (deductible $30)|
|Trip Curtailment||Up to $2,000 (deductible $30)|
|Delayed Departure||Up to $200|
|Missed Connecting Flight||Up to $200|
|Flight Diversion||Up to $200|
|Luggage Delay||Up to $100|
|Compensation for in-flight loss, robbery or destruction of checked-in luggage||Up to $1,000, subject to a limit of $150 for any item (deductible $30)|
|Loss of Travel Documents||Up to $300|
|Loss of Personal Money||25% of loss amount (maximum of $200 limit)|
|Hijack Cover||$100/per day (maximum of $1,000)|
|Car Rental Protection||Up to $4,000|
|Accidental Burial Assistance||$500|
|Personal Liability||Up to $30,000|
|Delivery of Medicines||Covered|
|Relay of urgent messages||Covered|
|Long distance medical information service||Covered|
|Location and forwarding of luggage and personal effect||Covered|
Should you get travel insurance?
There’s really nothing like having peace of mind when you travel. But for those who are remain unconvinced, it also really depends on where you’re going, who you’re traveling with, and how long you’ll be away — even the number of connecting flights you’re going to take. It’s always better to be prepared for emergencies, especially when traveling with family, or if you’re about to undertake the adventure of a lifetime (even if it’s just a domestic trip).Should you get insurance?
What’s more is that getting insurance is now as convenient as booking flights and accommodations. Top insurance companies like FPG Insurance and AXA Assistance let you buy your policy online. FPG Insurance even offers a three-step online purchase program, letting you get your policy in as short as five minutes.
Are you going to get insured for your next trip? Tell us in the comments!