Traveling is unpredictable, that’s why we love it. And that’s probably why we need travel insurance too. Getting off the plane at a foreign land, we can never be too sure what would happen next. Would your luggage arrive? Would you miss the connecting flight? Getting a travel insurance gives us a peace of mind, and minimize the considerable financial risks of traveling. However, does it really make financial sense?
What is Travel Insurance?
Travel Insurance can be bought for each trip or on an annual basis. It covers the bad stuff including overseas medical expenses, repatriation of remains, accident death or permanent disablement and more. What travel insurance stands out from the others is their coverage of the annoying stuff from loss/stolen/delayed/damage of personal property/baggage/ travel documents/ money, to trip cancellation or delay. Travel insurance that comes free with your flight purchase on the credit card probably has a limited coverage compared to taking out a travel insurance. Compare different travel insurance providers in Singapore and decide which one suits your travel needs best.
Where are you visiting?
The biggest financial risk we take is medical expenses occurred overseas, especially if it’s in a country with costly medical facilities. We are not talking about catching the common flu bug but serious cases where it involves hospitalization. This can easily set you back a couple of thousands, especially when you are a foreigner seeking medical help in a local institution. A travel insurance will help take this burden off. If you’re traveling to somewhere where medical expenses are affordable, then perhaps a travel insurance may not be necessary.
All the resources you'll ever need as an investor
We've gone ahead and done the work. Compiled here are all the resources you'll need as an investor.
What’s the holiday plan?
If skiing or partaking in extreme sports is on the cards, you’d probably want to do this knowing you’re covered should something happen. Get travel insurance that has ample coverage for such high-risk activities so you can enjoy the adrenaline rush with a peace of mind. Bringing along your latest tech gadgets or expensive camera equipment is another risk you take when traveling. While coverage for losing these items may be paltry compared to its real value, it beats getting nothing back and probably worthwhile after the premiums.
Anything that can go wrong will go wrong. We all know what can happen when traveling – the luggage carousel goes on and on and your luggage doesn’t appear, pickpocketed in the crowded Paris tube, cancelled flights due to ill-weather conditions or strikes, or simply losing your travel documents. These are stressful situations for travelers but hey, a travel insurance makes thing sweeter. The initial dread and exasperation at missing luggage was quickly overcome when we found out that means shopping on the airline and insurer’s account. While most airlines will reimburse your tangible purchases in the event of loss or delays, travel insurance covers the intangibles.
Some says if you can’t afford travel insurance, then maybe you have to rethink about traveling. You wouldn’t bother with a travel insurance if it’s a weekend getaway to Batam right? Well, so did a group of insurance agents who went on a company retreat at Batam. All their fancy personal belongings (including laptops and expensive watches) were wiped out after their hotel had a break-in. The irony? None of them bought travel insurance. True story.