With the borders opening up, I thought it would be an opportune time to talk about travel insurance.
Why do we need travel insurance?
You need travel insurance for many reasons, but most importantly you need it as it can help cover any medical expenses you incur overseas. Travel insurance also can cover you for accidental damage, lost or stolen items. Some insurance policies also cover delayed flights and cancellation.
What type of travel insurance is the best for my holiday?
Finding the right travel insurance involves knowing how long you will be away, how many people will be travelling together, where you are going and what you will be doing. Are you going solo (individual), travelling as a couple, a family, over 65 years old or part of a group? Your answer will determine what you pay for travel insurance.
What does travel insurance usually cover?
Standard travel insurance policies usually provide cover for the following:
* Cancellation and travel delays: This includes pre-departure cancellation's due to illness, delayed flights and delayed luggage
* Medical expenses: the cost of visiting a doctor and/or having medical treatment, and all related medicines
* Personal liability: this is to cover damage you cause to a person and/or property
* Emergency evacuation: if you need medical treatment or aftercare back in New Zealand, this is the cost of flying you home
* Baggage and personal belongings: this covers you if your bags or items are lost, stolen or damaged
TIP: when purchasing a policy, check that the policy covers more than just medical - the difference in cost between policies NOT covering baggage and travel cancellation, delays and those that DO cover them is often very little.
There have been some horror stories around travel insurance. Usually because there has not been full disclosure of previous medical conditions, when applying for the cover. Then when the traveller goes to claim they have found out that because of non disclosure of a reasonably serious medical event there is no cover. BIG THING. Provide all medical info (and any other info) asked for.
Trust thats of help and if you are going overseas have a great time!
This blog is general information only. For specific advice in relation to your circumstances a Licensed Financial Adviser should be consulted
Bob Sinclair is the owner and director of Sinclair Solutions