How to Find Low Cost Travel Insurance
Every seasoned traveller knows that all it takes is one thing to go wrong for your dream holiday to quickly be turned into a nightmare. An overseas medical emergency can see you facing astronomical medical and hospital bills, not to mention the cost of medical repatriation back to Australia. Other unforeseen circumstances, including everything from lost luggage and flight delays to stolen passports, can also wreak havoc with your holiday plans and have a significant impact on your finances.
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With this in mind, travel insurance is something we should all consider whenever we’re planning a trip. It offers financial protection against an extensive range of travel risks, with cover options available to suit the needs of a variety of travellers. And although it offers crucial protection, travel insurance doesn’t necessarily have to break the bank, with plenty of low cost options available for budget travellers.
What Does Low Cost Travel Insurance Cover?
Travellers have the option of choosing insurance cover that matches their budget. While comprehensive cover is available to offer a high level of coverage, travellers who are on a tight budget can look for a more basic level of cover.
The most important feature of a no-frills travel insurance policy is cover for overseas medical emergencies. This includes cover for ambulance transportation costs, medical treatment expenses and hospital costs, as well as any charges for emergency dental treatment. If required, many policies will also cover your medical repatriation back to Australia.
Another common feature offered by low cost travel insurance is public liability cover. This feature is designed to offer protection if you are legally liable for causing bodily injury or property damage to a third party.
Some low cost policies will stop at this point, but there are other basic policies that also offer cover for a range of other risks. These include travel delay expenses, the loss or theft of your luggage and personal effects, luggage delays, the loss or theft of your passport and travel documents, theft of cash and rental vehicle insurance excess cover. However, the limits on these cover features are not as high as you would typically find on a comprehensive insurance policy.Back to top
Benefits of Low Cost Travel Insurance
The main benefit of travel insurance cover is the peace of mind it offers. The last thing you want to be doing when you’re travelling is worrying about how you would manage financially if something were to go wrong. Having travel insurance in place means you won’t have to worry about finances and can simply concentrate on enjoying your holiday.
Low cost travel insurance is also designed to be entirely affordable. For a small expense on top of the rest of the cost of your holiday, you can receive coverage against a number of travel risks. While a comprehensive policy will obviously provide better cover, low cost policies ensure that you don’t blow your budget but that you still have protection against any worst case scenarios.
Travel insurance is something you hope you never have to use. But if circumstances arise where you do have to make a claim, the small expense of a low cost policy can end up saving you thousands of dollars in the long run.Back to top
How to Get Low Cost Travel Insurance
It’s now easier than ever before to compare and choose travel insurance policies online.
Obtaining a quote online is quick and easy — all you have to do is provide a few quick details about your trip. It’s a great idea to seek out quotes from a number of insurance providers to get an accurate idea of exactly how much your cover will cost.
Of course, it’s important that you don’t simply get sucked in by the cheapest quote you see. You’ll need to closely examine the product disclosure statement of each competing policy to find out exactly what is and isn’t covered. Look at the benefits, features, exclusions and limits provided by each insurer to determine how each policy stacks up against the competition. The key here is to shop around and look for a great deal.
Another option that travellers on a tight budget might want to look into is an annual multi-trip policy. This type of cover is specially designed for those who travel frequently, and it offers coverage for all the trips you take over a 12-month period. If you regularly hit the road or take to the air, this option can help you save money overall on the cost of travel insurance coverage.Back to top
Other Types of Travel Insurance
If a low cost travel insurance policy doesn’t meet your needs, you can also choose from one of the following types of policies.
- Comprehensive travel insurance. This is the highest level of cover you can choose. As well as cover for overseas medical emergencies and medical evacuation, it offers a wide range of protection against a number of common travel risks. These include cancellation fees and lost deposits, travel delay costs, luggage delay, lost or stolen luggage and personal belongings, lost or stolen travel documents, personal liability, rental vehicle insurance excess and much more. It offers the ultimate peace of mind for travellers.
- Annual multi-trip insurance. As mentioned above, this option lets you take out insurance cover for all the trips you take over a 12-month period. It includes all the coverage you’d expect from a regular travel insurance policy but it is designed to help you save money.
- Worldwide travel insurance. Some companies will allow you to take out cover for the region of the world you are travelling to, for example Europe or the Americas. But if you’re planning a larger worldwide trip, opting for worldwide cover can guarantee that you will be covered in a far larger number of destinations.
- Winter sports travel insurance. Though many travellers aren’t aware of it, many travel insurance policies don’t offer cover for your participation in snow sports. If you’re planning a skiing holiday, you can opt to add this optional cover on to your policy to protect you against things like lost or stolen equipment, ski field closures and other risks.
- Family travel insurance. While it’s possible to take out cover for singles and couples, you can also elect to take out travel insurance cover for your entire family. This ensures that your spouse and your dependent children are looked after when you travel.
Low Cost Travel Insurance Tips
The first step to finding the right policy for your needs is determining exactly what type and level of cover you want. In order to do this, you’ll need to think about your trip—where are you going, what are you doing when you get there, how many people are you travelling with, and what sort of budget do you have to work with? Answering all these questions will help you make a decision on which policy is right for you.
Another factor you should take into consideration is how your chosen insurance provider treats pre-existing medical conditions. Some insurers will simply exclude all coverage for any pre-existing conditions, while others may allow you to arrange cover (sometimes at an extra cost) for any pre-existing medical conditions you have. Sorting this out now will guarantee that you don’t get any nasty surprises in the long run.
The final most important piece of advice you need to take on board is the importance of shopping around for cover. By now you should be aware just how important travel insurance is, so it should come as no great surprise that finding the best level of cover is critical. And the best way to find the right cover for your needs is to shop around. Compare quotes, read product disclosure statements closely and don’t be afraid to check out online reviews or advice from other travellers.Back to top
Low Cost Insurance Exclusions
Exclusions apply to all insurance policies and travel insurance is no different. While the exact list of exclusions can differ from one policy to the next, your insurance claim will typically not be paid if:
- you do not act in such a way to protect yourself and your property, or to minimise any loss you may suffer
- your claim is for consequential loss
- your claim is for a loss which you would be able to recover under workers’ compensation schemes, transport accident laws
- your claim is related to you engaging in any manual work on your journey
- your claim is a result of errors or omissions in your bookings or travel arrangements
- you act illegally or break any government regulations
- your claim is a result of a government authority confiscating, detaining or destroying something
- you are in control of a motorcycle without a current Australian motorcycle licence, or if you are a passenger on a motorcycle controlled by someone without a current licence valid for the country in which you are travelling
- your claim is related to an epidemic or pandemic
- you ignored a Department of Foreign Affairs and Trade advisory warning against travel to a particular area
- your claim arises from any act of war or insurrection.
Travel insurance is something everyone must consider when planning their next trip away. It offers crucial financial protection against an extensive range of travel risks, ensuring you have peace of mind while you’re out seeing the world. And low cost travel insurance means travellers on all sorts of budgets can afford to take out cover.Back to top