Traveling these days has been challenging since the world suffered a Covid-19 outbreak. However, you can ensure safe and comfortable travel. And one way to do that is by buying a travel insurance policy. With one, you can protect against the unexpected financial losses you might experience during your trip.
Although travel insurance is often overlooked, it comes in handy when the unimaginable happens. Purchasing travel insurance in Singapore before leaving for your destination will give you peace of mind as it protects you against any risk.
Do You Need Travel Insurance?
Before buying a policy, you must ask yourself whether you really need one. Remember that our tolerance level to risks is different. While some people may not have difficulty paying for unexpected expenses, others must hustle before they afford the money.
Generally, travel insurance has two main benefits; medical and trip cancellation. Travel insurance for medical purposes is the most crucial. In fact, some countries don’t allow visitors who aren’t covered. But, before you quickly rush to buy it, talk with your health insurance first about the unexpected injuries you might experience overseas.
Some providers cater to this cost. But others do not. So, if your insurance covers it, there is no need to buy travel insurance for medical expenses. But, it’s crucial you find out how much you are covered and how to reach them while you are abroad.
Trip cancellation insurance covers you if your trip is canceled, which means you aren’t going for the trip. You can also take coverage for trip delays or interruptions if you are stuck at the airport. Additionally, there is baggage coverage that compensates you if your bags are stolen or lost.
But even with this insurance, you need to confirm whether it is covered in your existing coverage. Some cards, like the American Express Platinum Card, offer baggage coverage and some homeowner’s policies.
Types of Travel Insurance Policy
You may be confused about which insurance to choose. Let us look at the two main policies offered by most insurance companies;
- Trip wise insurance
If you are only traveling once, you can decide to purchase travel insurance for a single trip. But frequent travelers are better with a multi-trip travel insurance plan. The duration of this policy varies among providers. But, some can even last the entire year and cover your trips to different locations. These can save you a lot of money. You can also buy a family plan or a cover designed for students if you are one.
- Group travel insurance
This policy suits you if you usually travel in a group that’s not family. Most companies offer it in groups of 7 or more. This coverage’s benefits are similar to those provided in a single-trip policy, only that it is cheaper to buy in a group than individual coverage.
How Much is Travel Insurance?
The cost depends on the coverage you get and the nature of your trip. But generally, expect to spend 4-10% of your trip’s total. So, if you spend $6000 on your tour, your insurance could range from $240 to $600.
It’s also worth noting that you can get other budget plans that can cost less. However, this also means that you get less coverage. If money isn’t an issue, you can opt for premium coverage which allows you to cancel for no reason. Please remember to read the fine print regardless of the policy you choose.
Things to Consider When Buying Travel Insurance
Coverage- please ensure to know what the policy covers and doesn’t cover. Do not assume you will be covered for every loss you experience while traveling. It’s crucial that your plan covers common situations like medical emergencies and baggage loss.
The Process of Claiming Coverage- your provider needs to offer a seamless claims process. Insurance companies provide cashless claims these days. Ensure you understand how the insurance handles its claims, so you aren’t caught off guard.
Travel insurance is one of the most overlooked insurance policies. But, it is crucial for your peace of mind. Having one means you won’t have to worry if things go south.