Travel insurance is a tricky subject, with many people firmly believing that it is as essential as sunscreen and a passport, whilst others see it as a pointless extra expense. Although the decision of whether or not you should have travel insurance depends on a variety of factors, due to the many misconceptions about it, people often end up making the wrong choice, which can end up costing them dearly. OROGOLD reviews some of the most common myths about travel insurance to help you make the right decisions.
I don’t need travel insurance as I already have health and homeowners insurance, plus credit cards that offer me protection”
Many people feel that by having health and homeowners insurance, as well as a credit card that protects them whilst abroad, they will be adequately covered when they travel. However, many domestic health insurance policies do not extend overseas, and are also unlikely to provide a refund if you have to cancel your trip due to illness, or even due to an injury or death that occurs within your family. Even the most basic form of travel insurance will usually cover trip cancellations, trip interruptions, travel assistance, lost baggage, location of legal help, and medical evacuation benefits.
I don’t need travel insurance because even if my flight is delayed for a night, the airline will cover me”
This is an extremely common myth that, unfortunately, most people keep believing until it ends up happening to them. Although a few European airlines may cover you due to a delay, this isn’t the case with US airlines. If the flight is delayed for reasons beyond the control of the airline, such as bad weather, air traffic delays or mechanical issues, the only thing the airline is obliged to do is to get you to your destination on the next available flight. This could leave you stranded overnight at an airport. Most travel insurance policies cover travel delays, and will usually pay for meals, as well as a hotel room, providing that you keep all of your receipts. Whilst some may put a cap on how much you can spend, the more deluxe policies will usually cover all of your expenses.
All travel insurance policies are similar”
The myth that all travel insurance policies are alike couldn’t be further from the truth. Instead, travel insurance policies come in all shapes and sizes, offering varying amounts of coverage. Many insurance providers even offer you the opportunity to tailor your insurance policy to suit you, and others offer some great deals, such as free coverage for every child that accompanies a paying adult. If you are feeling overwhelmed at the sheer number of travel insurance options available, there are plenty of free comparison websites that you can use to help you to find the best policy for your trip.
Travel insurance can be purchased from travel agents, airlines, hotels, or online, making it extremely convenient to purchase. A recent survey carried out by the US Travel Insurance Association discovered that when Americans on vacation were impacted by illness, natural disasters or other events, only 22% of them had travel insurance to help them deal with this, whilst the others were all left with large bills to pay, making it crucial that you use facts, rather than myths, to make your decision about whether or not you need to purchase travel insurance.