Travel insurance types


Travelling is an exciting affair; especially after close to 2 years without it and we’re raring to go. But first, we have to get through the not-so-fun part of crossing items off our travel checklist: snag affordable flight tickets, pack appropriately for the trip, and plan the itinerary. Less thought of is the need to get travel insurance, and the types of coverage that each plan offers.

Whether you’re taking advantage of relaxed border restrictions to go on the occasional leisure trip with family or friends, or are a corporate globetrotter taking multiple flights in a year – it pays to stay safe while on foreign soil. Here are 5 travel insurance types to look out for for your next trip outta town. Read till the end for info on where to get your crucial coverage settled. 


1. Trip cancellation & interruption, including flight delays


flight delays and cancellations
Image for illustration only.

The tickets have been booked and you’re at the airport with the gang when you hear the dreaded announcement: your flight has just been cancelled due to unforeseen circumstances. Usually, you’ll be compensated for your ticket but the amount varies across different airlines.

Or, you might even experience flight delays where you’ll probably be stuck in the waiting lounge. While it’s a great time to catch up on Netflix shows, it puts a damper on your well-crafted itinerary.

You might also receive monetary compensation depending on how long the delay is, with the prerequisite duration varying across airlines. Some are known to issue payouts after just 3 hours of delay, while others – especially budget airlines – are known to have delays for extended durations without refunds. 

travel insurance payouts

Hearing these may throw most first-time flyers into a frenzy, but that’s where travel insurance plans swoop in to save the day, and your wallet. Should you need to book another ticket, travel insurance policies can make up for the difference between your compensation and the price of your new ticket up – to a certain amount. 


2. Medical expenses for injuries & sicknesses, including Covid-19


extreme sports overseas

Now, you’ve made it onto the flight and you’re having a great time checking items off your bucket list be it outdoor activities in JB or day trips in Melbourne. If your travel buddy happens to be a klutz and gets injured during a hike, they’re going to thank you for getting them insured because medical bills tend to be higher overseas. 

travel insurance covers getting covid-19 overseas
Image credit:
Unsplash

Falling sick is the last thing anyone wants while on a holiday, much less contracting Covid-19. If you have a weaker stomach than most and experience food poisoning from foreign delicacies, rest assured that travel insurance includes taking care of medical bills, on top of your existing medical insurance*

*In cases where you receive payouts from your existing medical insurance, your travel insurance policy will be paid out after all other applicable insurance has been exhausted.

On the other hand, diseases like salmonella and chickenpox are known to be highly contagious, so most travel insurance plans won’t dish out cash to cover the medical expenses. But catching Covid-19 is an exception when it comes to contagious diseases, and many policies are now making provision to make sure you can recover in peace without spending a bomb. 


3. Loss of personal possessions or credit card theft


baggage loss or delays at airport

One of the most nerve-wracking “activities” at the airport is waiting for your luggage to appear on the conveyor belt.

You’re certain that it’s been properly deposited in the baggage drop when you checked in, but everyone else has upped and left while you’re still waiting. Fingers crossed, it’s only a delay before you get your baggage back, but the worst case scenario is that it’s lost for good.

Not only do travel insurance plans compensate you for lost baggage, you can also make claims for other personal possessions, like a petty thief going on a shopping spree with your stolen credit card while abroad. 


4. Personal liability for accidental hurt or damage


personal liabilities for accidental damage or loss

Another type of travel insurance coverage is personal liability. This is when you accidentally cause injury to someone else or their belongings. For instance, the family is chillin’ in the Airbnb and the kids are running around the room when one of them accidentally knocks over the host’s table lamp. Uh-oh.

After replacing the item, remember to hold tight to the receipt as travel insurance plans include covering the cost of repair or replacement of the other party’s property. 


5. Rental car excess for road accidents


rental car excess travel insurance types

Overseas road trips are definitely on drivers’ wishlists where we get to go on long drives and explore new sights and sounds, like the Romantic Road in Germany. After signing the papers and picking up your ride, it’s time to hit the road with your mates. 

Opting for travel insurance is an umbrella for a rainy day as the plans typically come with rental car excess. If an accident – touch wood – occurs and the car takes damage, you won’t have to pay as much out of pocket as the insurance company will cover the charges up to a stated amount. 


Staying safe while abroad with DirectAsia travel insurance


Applying for travel insurance may be an additional step in the pre-trip process, but it’s one that keeps you and your travel party covered in case of any unplanned occurrences like falling ill or losing your belongings.

travel insurance types

The DirectAsia platform makes the application a simple matter. Choose from Single Trip or Annual policies, as well as the number of people to be insured by the plan. These comprehensive plans include coverage for all the travel insurance types we’ve mentioned above, and other areas like additional pet hotel costs due to trip interruptions. 

For families with kids in tow, parents will only need to pay for 2 adults as up to 4 children can be covered for free. Domestic helpers tagging along with the family will be insured too. Those going on grad trips with friend groups of 3 and above can enjoy a 10% discount by getting the Group insurance plan. 

The icing on the cake is that you can score a 40% discount off all their travel plans. Prices will vary according to the plan’s payout cap and destination countries. Buying travel insurance comes at a small price to ensure we don’t fork out large amounts in the event of mishaps, and it’s a great plus when we can snag a sweet deal at the same time. 

Find out more about DirectAsia travel insurance plans here


This post was brought to you by DirectAsia.