When you start a journey, there are several risks that you are exposed to, both while travelling and during your trip. However, with a travel insurance policy, you can stay protected from financial losses due to such risks. Therefore, to prepare for your next business trip or holiday, you have to get a clear idea of what travel insurance is.
The following article explains the 10 most common myths associated with travel policy, which will help you get a better perception of this policy so that you can make the right decision.
1. Investing in Travel Insurance is Money Wasted
A common myth related to travel insurance is that it is nothing but a waste of your hard-earned money.
The truth, however, is that travel plans from trusted insurers like TATA AIG offer financial protection when unanticipated events occur, like medical emergencies, baggage loss or trip cancellations.
2. A Health Policy Will Cover Medical Needs when Travelling
Whether it is about purchasing business travel insurance or an individual travel policy, individuals hesitate because they believe their health policy will cover their medical requirements during their trip.
The truth is that not all health policies provide coverage during your trip. Some health plans may cover a few medical expenses at the time of your travel. However, these policies may not cover all your medical requirements.
3. A Travel Policy is Way Too Expensive to Afford
This is another myth quite common among people, which is also why individuals refrain from investing in travel insurance.
However, in truth, the cost of a travel policy depends on factors like your destination, duration of your stay, the coverage type you select, etc., which can surprisingly be affordable in several cases. Furthermore, the cost of a travel policy is way lower compared to the potential financial losses you can incur in case of unprecedented events.
4. Separate Health Plans Have to be Purchased for Family Members for Each Trip
One of the travel insurance facts that you may not be aware of is that you do not have to invest in separate policies for your family members every time you travel.
You can instead opt for an annual policy for your family that will save you a significant amount and save you the trouble of purchasing travel plans again and again.
5. The Airline will Provide Compensation if the Flight is Cancelled or Delayed
This is true only in some cases, as airlines are not bound to compensate the passengers for flight cancellations or delays. Even if the airlines provide compensation, it might be limited, and they will not cover the extra cost you incur for meals, accommodation or transportation in case of flight cancellations/delays.
In such a case, a travel policy with the right coverage can save you from a financial loss.
6. Claims can be Made for Negligence on My Part
Any act of negligence will not be covered by a travel policy. If you lose your luggage because you were under the influence of alcohol at the time, or left it unattended, then your policy will not provide coverage for your loss.
7. A Travel Policy Should be Purchased Only If it is an Expensive Trip
Another myth common among people is that this policy should be purchased only when the trip is an expensive or luxurious one.
On the contrary, this policy proves to be financially helpful whether your trip is luxurious or budget-friendly, especially in case of flight cancellations or medical emergencies, which can occur anytime you travel.
8. Mishaps During the Trip Can be Reported After I Reach Home
It is a must that you report a mishap as soon as possible to your insurer and within 24 hours to the local police.
9. A Travel Policy Will Safeguard Me When I Am on an Adventure Trip
While this coverage may vary from one insurance company to another, generally travel plans do not provide coverage for adventure sports.
10. Only A Few Select Countries Require Travel Insurance
While it is true that certain countries make it mandatory to own a travel policy before you enter these countries, you should purchase a travel plan no matter which country you travel to. This is because medical treatment in many countries is quite expensive and a travel policy is the only way to protect your finances if you require treatment in such countries.
Conclusion
Hopefully, these eye-opening facts will help you make an informed decision when purchasing a travel policy for your next trip. Before you believe any information regarding a travel policy, you should talk to the insurer to know whether it is correct.
