Travel Insurance - When you know the facts, the jargon won’t worry you

This is the amount of cash that will be deducted from the full value of your claim, before it can be settled. You may be familiar with the term “excess” from your car insurance policy. The way it works is that if you need to make a claim from your travel insurance policy, the excess acts as a trigger amount before they will pay out; it’s sometime called a “deductible”. In a typical example, two hard-working single women – who are well-travelled and pack extremely lightly – went on a vaction and their luggage went missing. They made a claim under the “Baggage and Personal Possessions” division of their insurance policy, but felt it unfair that their insurer charged the excess twice over – instead of just once – because they had only brought one standard-sized suitcase between them. The insurer won when this complaint made its way to the ombud, as the terms and conditions of their policy stated: “Claims will be subject to an excess.

You will be responsible for paying the first part of the claim up to the excess value per insured person for each and every incident, under each and ever section of cover.” While this incident did not occur under a TIC policy, it has served as an industry example to ensure that travel insurance providers explain their terms and conditions in detail – and request that their clients read through these carefully too. The two aforementioned travellers, in this unique case, had set off with just one suitcase – yes – but their policy required an excess payment per person per incident across the board of claims.

This is a term you may previosuly have encountered via your medical aid, gap cover or medical insurance provider. It refers to an injury, illness or medical condition that made you experience symptoms, take medication and/or seek treatment before you bought travel insurance cover for a trip. What we advise is that travellers read a policy’s definition of a “pre-existing condition” and gauge – with general practitioner help, if necessary – whether they have any item of medical history that may fit this definition. The disorders that tend to be placed in this category include heart conditions, high blood pressure, a previous stroke, mental illness and/or HIV infection. If you are pregnant and considered high risk for any reason, or are in the later stages of pregnancy, there may be specific inclusions or exclusions that would apply to you, in this instance.

The research reveals that the following medical emergencies happen most frequently to overseas travellers: fractures from falls, cardiovascular events, trauma, and respiratory distress. So, if you have a pre-existing condition that may exacerbate such an occurrence; or make it more likely to transpire, be sure to advise this to your insurer and pay the extra cover required to put your mind at rest should any special care be needed. Note: a coconut falling on your head and causing concussion while sunbathing on a tropical beach is not, of course, a pre-existing condition.

At TIC, they make it easy for you to select the type of policy best suited to your needs. In summary, their Leisure Standard product is geared towards travel to neighbouring states, where the Rand has a decent exchange rate. This policy offers cover for Cancellation and Curtailment, accidental death and disablement, travel delays, missed connections, luggage issues, and personal liability – but excludes cover for pre-existing medical conditions, which you canadd-on, if needed.

Their Leisure Comprehensive offering, on the other hand, ensures travellers have the most comprehensive benefits in place – including hospitalisation for pre-existing conditions. Additionally, this product goes highly recommended for travel to first-world destinations where the Rand exchange rate is high. Read more, here.

What about if you’re a business traveller? Have a look at the tailor-made benefits under the TIC Business Administrative policy, here. Hot-shot add-ons include economy-class travel for a replacement employee to complete the assignment, should you be unable to; cover for damage/loss of trade samples; and full malaria cover – should your work assignment take you into a high-risk malaria area.
 

Cancellation and curtailment – The former refer to a situation when you cannot embark on your planned trip for whatever reason; while curtailment cover assists you with expenses related to needing to cut a holiday short, such as an illness, when you may need new flights to return home earlier.

Car rental excess waiver – This policy inclusion covers any specified excess that is payable in the event of a car-hire insurance claim. This could prove especially handy when you’re travelling on Rands in Europe or the States. Pay a bit extra upfront on your travel insurance policy and, in the case of a car accident or other vehicle-related claim, be assured that there’s no excess to pay upfront before your insurer coughs up for the damages. Heard of the case when a honeymooning couple stopped to take in the view in a scenic part of the French Riviera, and a herd of cows caused damage to the hire car’s paintwork after just a few licks? Their excess for paintwork repair would have been exorbitant had they not had an excess waiver firmly in place.

Sports inclusion – This is a policy for the young, fit and adventurous in which the sporting events you are keen on taking part in overseas are automatically covered. Relevant sporting activities include mountaineering, rugby, motorbike touring, professional sports and more – when you “Add Sport” to your cover options on securing your policy. When signing up for this item, note that professional tennis is likely to make the grade, but hang gliding ­– not. For obvious reasons!

Last notes

We’re not all insurance experts, nor do we need be. But, let’s be honest – insurance is there to suit you and your unique personal needs and gaining a basic understanding of how it works can stand in your favour when you travel.

So, when booking your Flight Centre trip, be sure to purchase a travel insurance policy to cover the duration of your trip. Our friendly Travel Experts are happy to provide you with all the information you may need to secure the right policy specific your travel needs. There’s nothing better, when embarking on a long-haul flight, than knowing that your interests are going to be protected – whatever may happen

Often seen as a grudge purchase, there is no value than can be placed on peace-of-mind when travelling.