Avoid Unexpected Expenses With Travel Insurance
July 26, 2016
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Avoid Unexpected Expenses With Travel Insurance
Ahhh. It’s finally time to head to the airport and board your flight for your much needed summer vacation. Your suitcase is packed and your passport is in hand as approach the airport check-in desk. Everything has been running smoothly so far – and it will, until four days into your trip when you step on a piece of glass and have to get several stitches. Your daughter’s bag will be lost on the flight home, never to be seen again and your spouse will never even make it to the airport because they’ll have to stay behind for an emergency at work. After all you’ve been through, and you’ll still be left footing the bill.
So how do you prevent the post vacation heartbreak of having to fork over your hard earned savings, in order to cover damages caused to you or your family during your time away? You purchase travel insurance!
What Is Travel Insurance?
Travel insurance is insurance coverage that is purchased prior to a trip that may cover medical expenses, trip cancellation, lost luggage, flight accidents and other losses that may occur while traveling. This coverage protects you from unforeseen problems that may arise during vacation, preventing unexpected expenses that’ll cost you. Travel insurance can be purchased when traveling internationally or within your country of residence. You can choose to have your travel insurance policy cover a single individual in your travel party or list multiple people whom you wish to have the coverage.
Why Should I Purchase Travel Insurance?
Your Canadian Healthcare Coverage is not valid outside of Canada, and other countries do not have the same health care system in place that we do here. Meaning that if you are injured in a foreign country, you will be expected pay the bill.
We recommend purchasing travel insurance in order to protect you from any unanticipated costs if your trip goes astray.
For more information about why you should purchase travel insurance you can check out the Government of Canada’s question guide HERE.
What Does It Cover?
Your travel insurance policy should include coverage for life, for immediate needs related to an incident, and for medical expenses. Check with your broker to ensure that your policy also has added coverage for the cost of a medical escort to accompany you in the event that you are seriously injured and need to be relocated to a different hospital.
The amount of coverage you wish to purchase will ultimately affect your premium. More coverage will mean a higher premium, but having a larger deductible can help lower the cost of your travel insurance premium.
Types of Coverage Offered
Travel insurance is divided into two broad categories: The first is packages that include trip cancellation insurance and the second is packages that don’t include trip cancellation insurance, but instead focus on medical insurance while traveling.
There are several different types of travel insurance policies that you can purchase depending on your insurance company and what they offer. The types of travel insurance plans available range from single trip to multiple trip policies, and everything in between. Multiple trip policies are great for avid travels or backpackers who will be covering lots of foreign ground and need to have coverage in several different countries.
Generally, we recommend purchasing a comprehensive travel Insurance policy. This type of policy will cover you in a variety of situations including in the event of an emergency. Comprehensive travel insurance will allow you to see doctor and receive the treatment you need, with everything from x-rays to surgeries to prescription medication covered. Emergency evacuation is also covered under this type of policy, in the event that you need to be transported to a different hospital or one of your family members needs to be transported to you. Comprehensive travel insurance will also cover,
- Trip Cancellation – In the event that you need to cancel your trip, prior to your departure, your travel insurance policy will reimburse you for any costs that you have pre-paid, including your airfare, hotel, or local attraction tickets (provided that they are non-refundable by company you purchased them from). The reason for cancellation must be one from the list of “valid” reasons found on your travel insurance policy.
- One perk of purchasing travel insurance well in advance of your trip is that many insurance companies will allow you to upgrade to “cancel for any reason.” Sometimes this requires a slight increase in your premium, but other companies offer the upgrade free of charge.
- Trip Interruption – What if you’re enjoying the white sandy beaches of Mexico, when suddenly you get a call saying that there has been a death in your family? Trip interruption coverage is the part of the policy that reimburses you if you must cancel your trip early, for one of the ‘valid’ reasons listed on your insurance policy.
- Emergency Medical Expenses & Evacuation – If you get sick or are injured during your trip, your travel insurance will cover the cost of treatment. The medical evacuation portion of this coverage means that transportation to the nearest medical facility will also be covered by your policy. Once you are deemed to be in stable condition, this coverage may even pay for the costs to return home.
- Flight Delays – If your flight is cancelled, delayed or rescheduled due to inclement weather, you can file a claim to receive compensation for the cost of the flight as well as the costs associated with the delay, such as hotels, food or the increased cost of your new flight.
- Baggage – This portion of the policy covers the costs associated with lost luggage, damaged baggage, or baggage delays (up to but not exceeding your policy limit).
- Repatriation After Death – If you or member of your travel were to pass away while on vacation this part of the plan covers the costs of after death preparation and returning your remains to Canada.
Common Exclusions
Hazardous Sports/Activities – Unique and often dangerous travel activities such as scuba diving, hang-gliding, parachuting, and rock-climbing may not be covered by your travel insurance policy. These activities pose too much of a safety risk for many insurance companies to consider providing coverage for them. This doesn’t mean that you aren’t covered for the rest of your trip; your insurance claim would simply be denied if you reported an injury caused by one of the excluded activities listed on your policy.
Intoxication Exclusion – Some insurance policies will not cover the costs of medical emergencies related to intoxication or drug overdose. For example, if you were to fall while intoxicated, your injuries would not be covered. Check with your broker for their policy’s “definition” of intoxicated.
How Much Does Travel Insurance Cost?
To give you a better idea of how much travel insurance costs we’ve provided our lowest travel insurance quote for four unique scenarios. These fictional travelers are heading to the U.S. for 8-days, have a $250 deductible and have no pre-existing health conditions.
| Traveler | Lowest Travel Insurance Quote |
| 21 Year Old Traveler | $20.00 |
| 35 Year Old Couple | $33.44 |
| Family Of 5 | $45.84 |
| 65 Year Old Couple | $75.36 |
**These quotes are for illustration purposes only and are subject to change. Personal details and health conditions may affect your rate. Talk to your insurance broker for more details.
To quote your own travel scenario visit our Travel Insurance page HERE
How Can I Purchase Travel Insurance?
You can purchase travel insurance through Excalibur Insurance! By speaking with your broker and explaining the details of your trip, including the dates of travel, your destination, the travel company you used, the total cost of the trip, and the cost of the trip itinerary (per person), they can offer you the best coverage for your situation. They will also be able to find you discounts based on your personal situation and the travel insurance you wish to purchase.
Contact your Excalibur broker today at 888-298-7343 to discuss your options, or use our self serve quoting option through Group Medical Services. Safe travels!
