Ravi Chandran
Travel Insurance is extremely important if you are travelling. You may forget about it because it is so trivial. But travelling without a travel insurance is like driving without a safety belt.
We have compiled 5 things you should know about travel insurance:
Table of Contents
1. What does it usually cover?
Travel insurance coverage varies from insurer to insurer, but there are several major types:
Travel Medical & Evacuation Insurance: This covers the medical emergency expenses while you are on your trip.
Trip Cancellation & Interruption: This vacation insurance is probably the most common type of travel insurance policy sold in Singapore. It covers the non-refundable trip costs if you can’t travel due to unforeseen circumstances such as illness or financial default of the travel carrier. It also covers you if you become sick during your trip and have to return home.
Flight Insurance: Covers Accidental Death & Dismemberment while you are travelling on the commercial aircraft. Trip Delay: Provides a nominal reimbursement for travel delays such as plane departure being postponed.
Baggage Insurance: Provides reimbursement for lost or stolen coverage that is usually part of a vacation insurance plan.
Assistance: Most insurers provide a 24 hour hotline for help with medical care, transportation and accommodation needs, notification of family and friends in case of emergency.
The above plans are usually sold as single trip plans. But the vacation insurance and the travel medical and evacuation plans are also sold as annual multi-trip insurance plans that cover you throughout the year up to 1 month per trip.
2. How much does it cost?
The cost of annual travel insurance policies is dependent on one’s age, trip length, trip cost, the plan you want and coverage limits. Trip cancellation and interruption plans on a per trip basis are typically based on the cost of your trip, your age and amount of coverage you want. Most vacation insurance plans are between 4% and 8% of total trip price. Travel medical and evacuation plans are quite inexpensive, especially if you are young.
3. Won’t my other insurance plan cover me?
It is important to know what coverage you may have through your personal or health insurance, or on your credit card. However, only travel insurance provides trip cancellation/trip interruption coverage, protecting your financial investment. And not all health insurance plans will provide full coverage when you travel internationally. Medical evacuation coverage is rarely covered in most standard health insurance policies.
The Travel Insurance we provide in collaboration with our insurance partners provides the following coverage:
|
Coverage (represents the new and improved benefits ) |
Basic |
Enhanced Popular |
Superior |
| Medical Expenses | |||
| Overseas Medical Expenses | |||
| Adult (age 70 years and below) | 150,000 | 250,000 | 500,000 |
| Adult (age above 70 years) | 50,000 | 50,000 | 100,000 |
| Child | 100,000 | 100,000 | 100,000 |
| Medical Expenses in Singapore | |||
| Adult (age 70 years and below) | 10,000 | 15,000 | 20,000 |
| Adult (age above 70 years) | 1,000 | 1,500 | 2,500 |
| Child | 1,000 | 1,500 | 2,500 |
| Compassionate Visit | 3,000 | 5,000 | 10,000 |
| Repatriation of Mortal Remains | Unlimited | Unlimited | Unlimited |
| Overseas Funeral Expenses | 1,000 | 1,500 | 2,000 |
| Return of Minor Children | 3,000 | 5,000 | 8,000 |
| Emergency Medical Evacuation | Unlimited | Unlimited | Unlimited |
| Overseas Hospital Cash Benefit (S$200 per 24 hours) |
10,000 | 15,000 | 20,000 |
| Hospital Cash Benefit in Singapore (S$200 per 24 hours) |
600 | 1,000 | 1,600 |
| Personal Accident | |||
| Accidental Death & Permanent Disablement | |||
| Adult (age 70 years and below) | 200,000 | 250,000 | 300,000 |
| Adult (age above 70 years) | 50,000 | 50,000 | 50,000 |
| Child | 50,000 | 50,000 | 50,000 |
| Credit Card Outstanding Balance | 1,000 | 1,500 | 2,000 |
| Cash Relief for Death due to Accident | 3,000 | 4,000 | 5,000 |
| Travel Inconvenience | |||
| Loss of Baggage and Personal Effects (S$500 for each article or pair or set of article) |
3,000 | 5,000 | 7,000 |
| Personal Money | 250 | 250 | 500 |
| Personal Documents | 2,000 | 3,000 | 4,000 |
| Emergency Phone Charges | 100 | 100 | 100 |
| Delayed Baggage (S$100 for every 6 hours) |
1,000 | 1,000 | 1,000 |
| Loss of Deposit or Cancellation of Trip | 5,000 | 7,000 | 12,000 |
| Trip Curtailment | 3,000 | 5,000 | 8,000 |
| Travel Delay (S$100 for every 6 hours) |
1,000 | 1,000 | 1,000 |
| Travel Postponement | 500 | 1,000 | 1,500 |
| Travel Misconnections (S$100 for every 6 hours) |
200 | 200 | 200 |
| Flight Overbooked (S$100 for every 6 hours) |
100 | 100 | 100 |
| Flight Diversion (S$100 for every 6 hours) |
1,000 | 1,000 | 1,000 |
| Insolvency of Travel Agency | 2,000 | 3,000 | 4,000 |
| Liability | |||
| Personal Liability | 500,000 | 500,000 | 1,000,000 |
| Lifestyle | |||
| Loss of Home Contents due to Burglary | 1,000 | 1,500 | 2,000 |
| Golfing “Hole in One” | 150 | 250 | 350 |
| Rental Car Excess | 500 | 750 | 1,000 |
Policy Owners’ Protection Scheme
The policy you take from us is protected under the Policy Owners’ Protection Scheme which is administered by the Singapore Deposit Insurance Corporation (SDIC). Coverage for your policy is automatic and no further action is required from you.
4. Why should I buy a travel insurance plan?
Here are six reasons to buy travel insurance:
- To protect your personal items while travelling;
- To protect your financial investment in your trip;
- To protect your health and well-being;
- To cover the high medical costs associated with getting sick or injured while travelling abroad that may not be covered by your other health plans;
- To cover the cost of being evacuated to a medical center of excellence or back home;
- Peace of mind – Travel insurance is a great value for travelers who are concerned about: their trip being cancelled, delayed or interrupted for reasons outside their control; urgent access to medical care while abroad, medical evacuation and payments for those services; and protection of personal baggage.
Travel insurance is important because it can minimise the considerable financial risks of travelling: accidents, illness, missed flights, canceled tours, lost baggage, theft, terrorism, travel-company bankruptcies, emergency evacuation, and getting your body home if you die.
Each traveler’s potential loss varies, depending on how much of your trip is prepaid, the refundability of the air ticket you purchased, your state of health, the value of your luggage, where you’re travelling, the financial health of your tour company and airline, and what coverage you already have.
Regardless of how much you may lose if something goes wrong while you are on holiday, one thing is certain – every traveler needs travel insurance.
5. Where can I get travel insurance?
You can get a quote for a wide variety of travel insurance plans from iCompareLoan. If you have other things your would like to know about travel insurance, please contact us today.
