Travel insurance protects you against financial loss that comes with medical emergencies, flight disruptions, and various other unpredictable events associated with traveling.
The need for travel insurance depends on each person and their specific need and pre-existing medical condition. It may not be needed at all for some people and in certain circumstances, like if your domestic health insurance covers your international travel to specific destinations.
If you are a frequent traveler or traveling once in a while, investing in travel insurance should be on your priority list. Since the plan will cost money, it is important to research and evaluate if the plan covers your specific needs. Also, the cost of travel insurance is directly linked to the medical costs, the higher the medical costs, the higher the travel insurance premium for that country.
Medical care in the U.S. is very expensive. It is imperative to get travel medical insurance when visiting the U.S. to avoid out-of-pocket medical expenditure.
Buying plans without understanding the coverages and exclusions can come back to haunt you when you actually need to use the policy in emergencies.
If you are apprehensive about giving away your money on travel insurance, there are many ways to cut down on the cost of the insurance plan.
Here are 7 tips to save money on your travel insurance plan.
Choosing the right travel policy depends on your needs and circumstances.Â
Also, insurance prices are regulated meaning that the same plan with all conditions remaining constant will not have a lower price at other agents, travel insurance aggregators, and including the insurance company issuing the plan or any other source.
However, similar plans by different companies may have a price differentiation, hence it is critical to evaluate inclusions and exclusions in the policies.
OnÂ VisitorsCoverage, you can compare the various prices of insurance plans from different insurance companies and then buy one that suits you the most.Â
As shown here, plans that offerÂ limited coverage will be cheaper than comprehensive coverage. You can also get an estimate of the premium for the policy you choose to pay depending on the duration, age, and destination. It also offers you options to increase or decrease coverage amounts and see the changes in premium amounts.
It is essential to get adequate travel insurance with the right plan specific to your needs. Buying the cheapest plan may sometimes feel like we have saved money. Later it turns out that specific instances or medical conditions encountered are not covered by the plan. At the end of the day, the cheaper plan may end up costing a whole lot more.
It is important to know what exactly your travel insurance plan entails and what it covers. Make a list of things that you need to be covered depending on the types of trips you will be taking and if there are any specific medical conditions that may need attention.
The details are always in the fine print. Don't just look at the premium value, read the policy document for inclusions and exclusions in the plan. In the long term, this will save you money and trouble.Â
Better to go for aÂ comprehensive insurance planÂ but tight cover. You shouldn't pay for insurance coverage that you won't need. The idea is to assess your needs against the features of the insurance plan. That way you won't be paying for coverage you don't need.
You may get the option to buy travel insurance when you book tickets or hotels from the travel sites. Such offers come with commissions and the policies are just an add-on that has the same plan for every customer.Â
Moreover, the amount of premium will vary depending on who is buying the plan. For example, an older person traveling with medical issues will pay more premium than a young person traveling with no medical issues. There may not be a one size fit all method to save.
To get the best deal, opt for a separate plan from insurers of your choice likeÂ Seven Corners, Allianz Travel Insurance, etc. And select the insurance policy that is tailored to your exact needs.
There are several review websites and rating websites such as VisitorInsuranceReviews.com, Trustpilot where you can read in-depth on the products and services offered by leading travel medical insurance companies.Â Â Â
It is also important that you have access to excellent customer service from your insurance providers to get the best value for your money. Even if you save a few dollars in insurance costs but face unresponsive customer service for hours on end, the situation gets more costly.Â
VisitorsCoverage, a one-stop shop for travel insurance, offers industry-leading customer service and hasÂ received several awards recently. They offer AI-based customer support. You can get in touch with the team via WhatsApp messages and email. Or call them up using a toll-free line number: 1-866-384-9104.
SomeÂ credit cards offer basic travel insurance benefits for free. Cards such as Chase Sapphire cover unforeseen events such as trip cancellation/interruption, baggage delay coverage, car rental, etc.
Make sure if the coverage is sufficient for your travel requirements. Go through the card's terms and conditions before purchasing a plan. Credit card insurance generally covers only trip insurance and excludes medical coverage.Â
You could always use travel protection offered by your card as a top-up to another policy that covers the emergency medical expenses. There is no reason to spend extra money on trip insurance when you are getting the benefits as a cardholder.
"Cancel for Any Reason" is an upgrade option that lets you cancel a trip for any reason for 40%-75% of your insured trip costs. But you have to pay extra to include it in your plan.
Insurance companies usually list the covered reasons for trip cancellation in the plan's policy, including terrorism, natural calamities, traffic accidents, and more. If it is not listed, it will not be covered.Â
Go through the list of covered reasons in the policy. Most travelers find their trip cancellation reasons covered. If you don't need the optional "Cancel for any reason", don't add it.
Some plans may include this coverage if you purchased the plan within a certain time frame. Do check for such an offer.
For frequent fliers, multi-trip travel plans are a lot cheaper than a single plan. This also saves you the trouble of buying a new plan for every single trip you take.Â
This plan offers coverage for a whole year which is convenient for people who tend to fly overseas multiple times in a year.Â
Certain air tickets or hotel bookings are refundable which means you'll get your money back if it gets canceled.
Only buy insurance for non-refundable bookings as it reduces the coverage and lessens the premium of the travel insurance that you plan to purchase. It is cost-effective to know which trips need to be insured and when you don't need a policy in the first place.
Traveling without insurance can be risky. While additional costs shouldn't deter you from getting the proper coverage for your trips, saving money on travel insurance and total travel costs is a financially smart move.