Until recently, I was completely alien to the concept of travel insurance. I thought it was just another Insurance plan designed to fool ordinary people like me. But, on a recent trip to the Philippines, the car I rented met with an accident. It was a most unpleasant experience because the car rental agency, seeing foreigners asked us to pay an outrageous amount as damage expenditure.

Though I was not a local, I completely understood that I was being made to pay through my nose for something that was totally not worth it. However, under the circumstances, I could not do much about it and had to pay the requested price; which of course meant that my daughter could not shop as much as she wanted to. On hearing about it, my brother-in-law suggested that we go in for travel insurance.

Risks Covered by Travel Insurance

Travel insurance is a must while travelling internationally or nationally. Usually, when the place is new or foreign, travel insurance is a good idea. Temporary travel insurance can also be arranged, which covers the exact duration of the trip and is therefore a more convenient and viable option. But one thing which you must keep in mind is that travel insurance, obtained from travel agents or suppliers, such as tour operators is more often than not, less inclusive than travel insurance obtained from insurance companies.

As a result of this, travel insurance should preferably be bought from insurance companies. Travel insurance covers a wide variety of risks. These include accidents – even death-, all sorts of medical expenditure and disablement. It also covers overseas funeral expenses, in the event of deaths. Emergency evacuation from dangerous areas also falls under travel insurance.

Travel insurance can therefore be bought for specific reasons and costs, such as travelling to countries where acts of terrorism are common. Cancellation of flights, delayed departures, delayed baggage and even emergency replacement of essential items is covered by travel insurance. Last, but not the least, travel insurance covers damage to rented vehicles!

Types of Travel Insurance

Various types of travel insurance are available. One can go in for single trip travel insurance, which covers the duration of a single trip, or a yearly travel insurance, which is meant for those who travel relatively frequently. If you are out on a trip with friends, Group travel insurance is the type of insurance to go in for, because of the simple reason that it covers the entire group and saves the trouble of loads of paperwork, which is required if every member of the group decides to get travel insurance individually. Cruise travel insurance is useful in the case of tropical storms and hurricanes which may lead to the cancellation of the journey.