While it is not necessary, we recommend that you read Travel Insurance: Should I really buy one? before reading this post.
You are travelling to an international destination. You have not yet bought your insurance cover. Sounds familiar? This happens typically because travel insurance is the last priority and people often wait till the penultimate day before they even think about it.
I wish to highlight a quick four step guide to choose an apt travel insurance that would suit your need.
1. Evaluate what would you stand to lose: Imagine Case 1: You are taking an hour-long flight to a nearby city. You have only a hand-baggage and nothing checked into luggage. The cost of the ticket is also as discounted as possible. Travel insurance may not be important in such a scenario.
Now consider case 2: You are travelling to an international destination. The travel time is more than 12 hours. You are going to the destination for a month and so you are carrying a suitcase filled with personal belongings. Of course, there is a passport you are carrying too. It may also get lost or stolen. The value at stake in case 2 is very high. Hence, a travel insurance is a prudent option in such a case.
So, every time you travel, make it a point to evaluate and decide if you would really want to buy travel insurance.
2. Calculate the existing cover: If you already have a sufficient life insurance cover, and a great medical insurance cover that can take care of expenses in case of an eventuality in a foreign land, you should factor this while calculating the total value at stake. Then, you can arrive at a realistic estimate of the total cover you need when you travel.
Once you do that, it is wise to also check if you credit cards offer travel insurance. In India, some credit cards offer travel insurance benefits that cover for lost baggage, lost passport etc. They cover both domestic and international travel. You must factor the travel benefit that a credit card can bring to you before calculating the actual amount of travel insurance you would ideally need.
3. Use expert advice and/or go to compare sites: Once you figure out the actual amount of travel insurance you need, it is wise to take advice from an insurance expert on the amount of travel insurance that you should buy. You may also go to comparison sites for insurance and check out the best policy that can give you maximum relevant cover at minimum cost.
4. Check for riders if any and buy the travel insurance: Before you make the final decision to buy the travel insurance, it is always advisable to read the fine print. Check if there is any clause that is unfavourable. If all is fine, go ahead and buy the travel insurance.
Whether you are travelling for business or leisure, it is highly recommended that you buy a travel insurance so that you can either focus on your work or enjoy your holiday without a care in the world.