Shopping, packing – unpacking and re-packing, marking the calendar, counting the days, are common when one plans for an overseas vacation, especially when it is for the first time. Amid this excitement, one often tends to forget to insure his/her trip under a travel insurance abroad policy. As a result, one of the most needed securities of your overseas vacation is bought in the last minute haste. And a trip insurance abroad policy bought in haste turn out to be risky, as amid the last minute hassle and rush we tend to miss out to take a good look into the details of clauses mentioned in the policy.
The exclusions mentioned in a travel insurance abroad policy is as important as is its coverages. Therefore, when buying a trip insurance abroad policy, ensure you understand the intricacies of exclusions of the policy equally well. Not paying heed to the complexities of your travel insurance abroad policy can ruin your vacation and leave you stranded in a financial contingency like situation during your overseas vacation.
Take a look at 5 important aspects mentioned in the small print of your travel insurance abroad policy -
What is your excess?
The excess is that sum of money which you have to bear from your pocket in case of any claim you make during your insured vacation. For instance, if you file a claim for Rs 5000 and your excess is Rs 2500, then your travel insurance provider shall bear only Rs 2500, and remaining Rs 2500 shall be paid by you. While it may sound simple, the fact remains that some companies may have clauses attached to the excess amount. Therefore, it is important to be aware of the same in your policy.
If you are diagnosed with or suffering with any medical condition before buying a travel insurance abroad policy, then make sure that you disclose the details about the same at the time of buying your policy. By not doing so you will be inviting the risk of claim rejection in the hour of need.
If during your trip you land up with a health problem related to your pre-existing conditions, your travel insurance company might not pass your claim if you haven’t mentioned about your existing health conditions while buying the policy.
What is your policy start date?
Your policy start date should be the date you begin your journey and not the first day of your vacation. People often confuse between the policy start date with the first day of their holiday. In such a case, if the policyholder has to call off the vacation in advance, the travel insurance provider can turn down his claim of trip cancellation costs stating that the policy cover hasn't started yet.
Do you have cover for adventurous activities?
Generally, travel insurance abroad do not offer risk coverage for adventurous or sporting activities. Even if they do, there are certain clauses associated with the same. So, if the “to do list” of your vacation includes any sporting activity, speak to your travel insurance provider about at the time of buying the policy and get the same added in your cover.
Don't be negligent on theft or loss
As soon as you realize your belonging or passport is missing or has been stolen, obtain a police report and notify your insurer. Failing to do so in specific time frame, you may lose on your trip insurance abroad claim. Moreover, even if you ensure a prompt action in case of theft or loss of your belonging, your travel insurance provider can reject your claim if your situation comes across as case of negligence from your part.