How To Claim Overseas Travel Insurance – Forbes Advisor INDIA

The Covid-19 pandemic has changed the travel landscape forever. Health and wellness are now a priority when traveling, especially to foreign countries. Whether you are planning a trip for work, leisure or study, travel insurance for total protection in a foreign country is therefore essential.

Travel insurance is not only a mandatory requirement in certain countries, it is also the most effective protection you can have in the event of an emergency. Policyholders often do not know how to make a claim should the need arise. To ensure a safe trip for you and your family, here’s everything you need to know about a travel policy and most importantly, how to make a travel insurance claim in a foreign country.

What does your policy broadly cover?

A travel policy is a financial safety net against untoward incidents and health emergencies that may occur while traveling, especially during this pandemic period. Depending on the terms of the contract, the policy covers loss of luggage, flight cancellation and theft through to medical emergencies. Post-pandemic travel insurance also offers protection against Covid-19, including all variants, for both domestic and international travel.

The next important step is choosing an appropriate policy that suits your needs. Here are the different types of travel insurance for different types of travelers:

• Individual travel insurance

This policy is for leisure and business travelers who plan to visit multiple countries in one trip. This policy will remain active until you return to your home country or until the policy expires. However, they are expandable and offer quick claims. In addition, these policies cover the cost of urgent dental care and standard coverage.

• Multiple trip insurance

Multi-trip travel insurance is suitable for frequent travelers as it covers numerous trips within a year. However, this policy includes a period of 12 months from commencement and accounts for all travel within this window. Also, the fine print in these policies often limits travel times to between 30 and 70 days per trip. It is therefore recommended to check for restrictions.

Now that the type of trip is sorted, the next step is to consider your needs as a traveler. let’s understand-

• Individual travel insurance

As the name suggests, this policy is for solo travelers traveling abroad. In addition to the standard coverages, this policy offers a myriad of benefits, from lost baggage compensation to emergency or accident medical treatment, emergency medical and remains repatriation, post-accident dental expenses, etc.

• Student travel insurance

Student travel insurance is a must for students looking to study abroad. Valid for one to three years and renewable, the student insurance is open to people between the ages of 16 and 35. It offers them comprehensive protection against risks such as flight cancellation and rebooking, lost luggage and passports, family visits in the event of medical emergencies, legal costs, deposits and third-party liability. In addition, the tuition fees are reimbursed in the event of study interruptions, loss of the laptop, etc.

• Travel insurance for seniors

This insurance applies to people between the ages of 61 and 99. In addition to the regular travel insurance cover, the insured person is protected against costs for intensive care units, doctor visits and cashless hospital stays. While many policies do not cover pre-existing conditions as standard, there are now several policies that offer reasonable coverage for emergencies arising from pre-existing conditions, provided they have been clearly reported in advance.

• Floater policies for families​​

This policy protects the entire family under one umbrella plan, including the spouse and two children, making it budget friendly. However, it is important to verify the age of loved ones as most often it does not go beyond 21 years. This type of plan takes care of all risks for more than one family member and eliminates the need for each traveler to purchase an individual plan.

Once the policy is purchased, there is the crucial next step – knowing how to make a claim when the situation calls for it. While most policyholders ignore this scenario and later regret it, it’s always better to know your policy inside out beforehand.

Related: Best Travel Insurance Plans in India

How to make a travel insurance claim in a foreign country

Most travelers mistakenly assume that they can make a claim once their trip is over. However, the fact of the matter is that anyone who holds a valid travel policy can initiate it at any time as most insurance companies now offer an online process. Time is of the utmost importance when making a claim. The essential steps to follow in the event of purchasing a travel insurance policy are:

• First and foremost, remember to notify the insurer or broker of the incident or illness within the stipulated timeframe. Alternatively, you can email them or ask someone else to do this on your behalf if you are unable to do so. This serves as confirmation of your timely notification.
• Have a travel insurance number and an emergency contact or helpline number ready.
• Keep a copy of airline tickets, receipts, documents, hospital and pharmacy bills, hotel reservations and payments as proof of a smooth and hassle-free claim process.
• Keep your emergency contact information and travel insurance policy number handy.
• Have your ID and documentation ready to verify the information you entered on your travel insurance form. Cross-checking is recommended to ensure there are no errors, as even a minor error can result in a claim being rejected.

In addition to the measures listed above, the most important measures in the case of specific policies are:

• Medical and accident cases: You must submit evidence of medical reports, prescriptions, x-rays, payments made, etc. These should be dated, signed and stamped by the hospital or clinic. In the event of an accident involving third parties, an FIR report must also be submitted. Pre-existing medical conditions should also be disclosed when purchasing cover to avoid a claim being denied.

• Loss of passport or property: This is an important document without which you will be stranded in a foreign country. Therefore, take action at the earliest by informing the insurance provider and filing an FIR with the local police department. Also have copies of the costs incurred for obtaining the new document and for returning the old document as well as the receipt from the embassy and passport office, the canceled check and both passports ready. In order to better shield yourself, it is always recommended to carry a photocopy of your passport.

• Loss or delay of checked baggage: This is a common scenario that travelers know, especially when traveling to the UK. But to be compensated for this, you need your travel ticket, boarding pass, passport copy, baggage complaint proof and delivery receipts of purchased items to manage to delivery of bag and copy of delivered baggage.

Elements to consider before purchasing travel insurance

• sum insured: Adequate coverage should be a key consideration when purchasing this policy. However, a higher sum insured also leads to a higher premium. Therefore, the deciding factors should be based on inclusion i.e. check out medical benefits, coverage, cashless options, network hospitals and any claims you can get against it. So evaluate the benefits and then decide on the amount.
• claims settlement: Insurance is taken out with the expectation that in the event of damage everything can be handled quickly and easily. Don’t forget to carefully compare the claims handling rate and other features for a seamless claims experience.
• Inclusions: Every traveler’s needs are different. Therefore, the features you choose should also be based on your personal needs. For example, you can opt for a tariff with personal accident insurance or PED protection or a tariff that covers burglary in your absence according to your wishes.

What is not covered?

With its many inclusions, a travel insurance claim also comes with some exclusions that should be considered. The two most important exclusions are that a planned hospital stay abroad cannot be covered by travel insurance and, secondly, losses due to a personal change of plan are not covered either. It is only covered if there is a valid reason according to the policy conditions. In addition, mishaps may occur due to adventure sports, alcohol, drugs, etc., which are not covered.

How much does travel insurance cost?

Travel policies come in a variety of shapes and packages, so a one-size-fits-all approach doesn’t work here. The price is determined based on the age of the traveler, the country of travel and the cost of the trip. For example, if someone over 60 years old buys it, the cost may be higher. Even so, it’s still a lower cost compared to what you’ll have to shell out of your pocket in an emergency.

To give a rough idea, a one-month trip to the US can be insured with a sum insured of USD 100,000 for a premium of INR 2,000-3,000 for a 30 year old.

In summary, the travel insurance industry has seen exponential growth post-pandemic as more and more people become more cautious about protecting themselves from unsafe Covid-19 viruses, new diseases like monkeypox and tomato fever, and other factors while traveling to protect. What’s more, with significant benefits and a straightforward claims process, it’s now becoming a must-have and popular policy for travelers.

But like any insurance policy, it also has a number of clauses that make it essential to read the general terms and conditions in order to avoid any surprises during a trip. Therefore, with the festive season just around the corner, the skies are poised for a surge in outbound travel in the coming months leading into the New Year. So don’t forget to cover your trip with travel insurance.