Flights, hotels, activities, rental cars – these are the first things we tend to take care of and prioritize when planning an overseas vacation.
However, there is one more important element that we are all likely to miss while preparing for our vacation: Travel insurance.
People often tend to forget about travel insurance as they generally don’t think about the need for it until they really need it.
Says Sanjiv Bajaj, joint chairman and managing director of Bajaj Capital: “There has been an increase in the number of Indians dying abroad every year. Healthcare is pretty expensive these days, especially when you’re traveling abroad. Thus, hospitalization abroad while traveling can burn a hole in your pocket unless you have a comprehensive travel insurance policy.”
Therefore, whether you’re on a domestic or international trip, if you don’t choose the right travel insurance, you could be in trouble. Also, Indian travelers are projected to spend nearly $40.7 billion on international travel by 2025.
So here are five ways in which not having a travel insurance policy can cost you dearly, especially on your international travels.
Medical emergencies and death: Being prepared for potentially fatal events should be the last thing on anyone’s mind when planning an overseas trip. However, it is critical to consider the possibility of medical emergencies and unexpected bills. A comprehensive travel insurance policy with emergency evacuation cover will also cover the cost of transporting the body home in the event of the insured’s death in a foreign land. This travel insurance coverage is beneficial for those who want a comprehensive approach to their travel insurance. While measures and systems exist to make the repatriation process easier, the task of repatriation can become excruciating due to differences in religious, legal and political policies between countries.
“The insurance policy pays the reasonable expenses incurred in transporting the body of the insured from the place of death to India. Among the expenses covered are embalming, cremation, caskets and transportation. Companies that provide insurance for the family and relatives of the victims are also assisted by service providers for road or air repatriation of mortal remains,” says Bajaj.
Flight cancellation or delay: If you have the right travel insurance policy, then you may be reimbursed or at least partially reimbursed in the event of a flight cancellation or delay, subject to the terms and conditions of the policy. If you do not have a proper insurance policy, you will lose this privilege and suffer a loss.
Fraudulent allegations: If you lose your debit or credit card while on vacation and start getting messages that someone is using it, you’re naturally going to panic about it. But when you’re armed with a good travel insurance policy, you don’t face the risk of losing that money. Your money can be refunded to you through stolen payment cards up to 12 hours before you report the incident.
Loss of passport, luggage or other important travel documents: You are in real trouble when you lose your passport, luggage or other important travel documents during a trip. It would leave you stressed and in a complete mess.
But if you have a good travel insurance policy, then in case of losing your passport, you will be reimbursed the amount of buying a new one or a duplicate one. If your belongings go missing, you will be compensated for your loss up to an approved amount. In case your luggage is delayed, you can also submit a claim. This can help you until you get your luggage back.