When you travel, you will use various means of transport such as cruise, flight, train etc. A long-distance travel incurs lots of money that can be as high as lakhs. If you cancel the trip for any reason, you will suffer a huge financial loss. To prevent the financial loss, you are advised to buy a travel insurance policy that offers trip cancellation cover. Having a travel insurance policy will not serve the purpose unless you are covered for the trip cancellation as well. Hence, you should buy a travel insurance plan to cover various kinds of risks associated with the trip.
Travel Insurance Policy
A travel insurance policy can be purchased by anyone who is undertaking a domestic or international trip. The travel insurance policy will cover various kinds of travel-related risks. In addition to the medical treatment, loss of luggage and missed flight, it will cover the change in the trip as well as trip cancellation.
What is Trip Cancellation Travel Insurance Policy?
A trip cancellation travel insurance policy provides reimbursement for the incurred expenses due to the cancellation of the trip. You should buy a travel insurance policy with trip cancellation cover to get reimbursement due to the cancellation of the trip.
The trip cancellation cover will be offered to the insured before starting the trip. There are various scenarios that may lead to the cancellation of the trip. That being said, the insurance coverage varies from one insurance company to another. The insurance buyer should look into the benefits offered by various insurance companies and then choose the best travel insurance policy that offers a comprehensive insurance coverage.
When you buy a travel insurance policy with trip cancellation cover, you should go through the policy wording very carefully. If there is ambiguity, you should get clarification from the insurance company. It will help you file claim in a smooth manner.
Can your Trip Cancellation Cover Fail to Provide Insurance Coverage?
The travel insurance company will assess various risk factors and the travel insurance policy will be issued to fulfil the needs of insurance buyers. The premium is based on the risk exposure of the insurance buyer. The premium is also based on the opted insurance coverage. In case the insurance buyer opts additional riders (if any), he/she will have to pay an enhanced insurance premium.
In case you don’t fulfil the applicable terms and conditions, your claim may be rejected. Here are the common reasons why trip cancellation cover fails to provide insurance coverage.
- Didn’t Consult your Doctor- If you suffer from a health issue, you can avail the trip cancellation cover. However, you should visit the doctor and should get a certificate that your health condition doesn’t allow you to travel. On the other hand, if you didn’t conduct the doctor, you won’t be able to claim the insurance coverage.
- Failure to Provide Documents- You should not fail to provide the necessary documents to the insurance company. The reason for the cancellation of the trip should be supported with mandatory documents.
- Bought Travel Insurance Plan Despite Natural Calamity-If you were aware of the natural calamity that has affected or going to affect the destination and you bought the insurance plan in spite of knowing the odd prevailing conditions anyway. In that case, the trip cancellation insurance cover won’t provide you with any insurance coverage.
- Not Aware of the Terms & Conditions- If you are not aware of the certain terms and conditions which affect the trip cancellation policy, you may fail to claim the policy successfully.
Trip Interruption Coverage
A trip cancellation travel insurance policy covers the trip interruption risk factors. You can read the terms and conditions in the fine print of the travel insurance policy. If the trip interruption is not covered by the policy, you can avail it as an add-on and secure your trip.
If you are involved in an accident during the trip, you should claim the medical evacuation coverage of the travel insurance policy. The sudden sickness will make you eligible to file a claim under medical evacuation. In this case, the travel insurance company will reimburse the medical treatment expenses as well as the medical transportation cost.
If there is a delay in the trip, you won’t want to bear additional charges towards boarding and lodging. Due to the flight delay, you will have to check-in in a hotel until and wait until you get the next flight. This kind of interruptions will be covered by the insurance policy. As per the terms and conditions of the insurance company, the insurance company will provide the insurance coverage.
Over to You
A trip cancellation travel insurance policy will protect you from a major financial setback. If you are going on an expensive trip, you ought to buy a trip cancellation travel insurance policy. It will provide you with the much-needed insurance coverage.