TYPES OF TRAVEL INSURANCE
Perhaps you’ve recently decided to embark on a once-in-a-lifetime adventure, or perhaps you’re looking for a brief weekend getaway. In either case, even if you are only traveling to another province, you will almost certainly need travel insurance. Regrettably, travel insurance is one of the more difficult types of insurance to understand.
With your health and financial security at stake, it’s critical that you understand what you’re purchasing. Fortunately, we’ve compiled this handy list of several types of travel insurance to make comparison shopping easier.
Cancellation of a Trip
Vacation cancellation insurance is something you should purchase if you’re booking a trip that requires multiple pre-payments or deposits. This is especially advantageous if you are arranging the vacation long in advance; a lot may change in only a few months! This insurance protects you if you have made non-refundable travel arrangements and are unable to travel.
Trip Cancellation
Trip interruption insurance, like trip cancellation insurance, protects you if you’ve made non-refundable deposits or pre-payments and are forced to shorten your trip. The two types of insurance are fairly similar, with one typically taking effect before you depart on your trip and the other taking effect once you have departed.
Insurance for Medical Care
Medical insurance is precisely what it sounds like – it is intended to serve as a substitute for your provincial health insurance when you go outside of the province or country. Medical insurance coverage options vary according to your insurance company, policy, vacation destination, and age. It’s advisable to speak with your broker about the various options available, especially if you have any pre-existing medical concerns.
Insurance for Baggage
Have you ever been stuck in a new location without your toothbrush? If you have, you are aware of how unpleasant it is. If you’re in an English-speaking region of the world, forgetting your toothbrush is a minor nuisance. If you are unable to communicate in the local language, this might quickly escalate into a significant issue. Now imagine you’re traveling and your checked luggage is lost by the airline. It would be incredibly difficult to survive a whole vacation with only carry-on luggage, and without knowing where to shop or having time to be a wise, economical shopper, you can easily rack up hundreds of dollars in charges just to replace what was in your bag.
Baggage insurance compensates you for reasonable fees paid if your luggage is delayed. In the event that your luggage is lost, damaged, or stolen, baggage insurance will typically cover the cost of replacing both the suitcase and its contents.
Insurance That Is All-Inclusive
All-inclusive insurance is best thought of as a synthesis of the aforementioned types of travel insurance. You’re protected if you arrange a vacation in advance and need to cancel it, if you become ill while at a resort and need to return home immediately, you’re probably insured if you end up in a Guatemalan hospital, and you’re probably covered if your airline delivers you to Cuba and your bags to Peru.
Due to the extensive coverage provided by all-inclusive insurance, it is typically the most expensive type of travel insurance. However, if the worst-case scenario occurs, there are very few instances in which your all-inclusive insurance will not cover you. If you’re planning a once-in-a-lifetime trip or even simply some well-deserved rest and leisure, travel insurance is well worth the expense for the peace of mind!
