Travel insurance may help give protection from the financial consequences of many of the things that can go wrong while you’re travelling, such as misdirected luggage, lost travel tickets, delayed flights, stolen money, broken camera, a chipped tooth and more. Any of these mishaps are inconvenient and upsetting, and likely to put a dampener on the enjoyment of your holiday. Imagine how the disappointment and problems would be compounded if one of these misfortunes happened on an overseas trip, when you’re in unfamiliar territory, don’t speak or read the local language, all while perhaps suffering from jetlag. An incident or illness that might be a minor misfortune on Australian soil, where friends, relatives and quality medical care are all at hand, can quickly become a significant problem while you’re travelling overseas.
The Australian Department of Foreign Affairs and Trade (ADFAT) estimates that each year more than 25,000 Australian residents encounter major difficulties when travelling overseas. Many of these incidents are medical emergencies: in a typical year 1,200 people require hospitalisation, 50 have to be evacuated to another location for medical treatment and, sadly, 900 people die while travelling outside Australia.
Medical emergencies are costly. Hospital charges can amount to hundreds of dollars a day, and the cost of medical evacuations can be alarmingly high: as much as $60,000 to get you home from Bali, or well over $100,000 if you have to be evacuated from the United States. You are personally liable for expenses incurred while you’re overseas, so an uninsured medical emergency can have disastrous financial consequences for you and your family.
Experienced travellers recommend that you arrange comprehensive travel insurance covering interrupted flight plans, damaged luggage, and loss of personal possessions and, above all, the cost of medical treatment if you get sick or are injured while travelling.
Travel insurance policies vary, so to find the best and most reasonably priced insurance policy Australia has to offer, do some shopping around and online research. Take particular note of each policy’s exclusions, the areas where protection is not provided: for example, if your holiday plans include partying, be aware that some policies are invalidated if you’re injured while affected by alcohol or drugs. If you have a pre-existing medical condition, check whether a policy provides cover. If you’re unsure about how any of the conditions of a travel insurance policy apply to your particular circumstances, check with your insurance provider before you accept a quote, sign on the dotted line (or hit the SEND button if you’re applying online).
It’s well worth taking some time to research the market and find the best comprehensive travel insurance for your trip. And like most other insurance types, a cheap travel insurance policy is only a bargain if it offers adequate protection. Also check out this article about travel insurances and drinking.
