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Travel insurance for accidental death

How does travel insurance pay when someone passes away while travelling?

Updated

Fact checked
warningA travel ban is in place for all Australians effective 25 March 2020. Most travel insurance brands will not cover you if you travel against a government warning. If you already have a policy, please contact your insurer directly for more information. We are currently updating our site to reflect the Australian government’s advice. Some travel insurance policies will be temporarily unavailable.

Most travel insurance policies will pay benefits to a policyholder’s estate or beneficiaries if they pass away on their trip. How travel insurance policies pay for death is not one of the most important aspects of cover to consider, but can be looked at alongside other features to work out what kind of value for money you’re getting with different policies.

You can compare policies in the table below which shows how more than 20 different insurers will cover accidental death. Policies referenced in the table below are international comprehensive products, or equivalents, from the listed providers, and the term “dependants” refers to accompanied travellers who can also get cover under the same policy. Looking to learn more first? Keep reading to find out about the general terms and conditions surrounding accidental death cover.

Compare travel insurance policies that cover accidental death

Most insurers will decrease the cover limit for dependents. Some have a specific limit, others may offer a percentage of the adult limit. If this is applicable to you, check with your insurer directly.

Policy type/BrandCover limit (per adult)Accidental death benefit explainedApply

Single Standard Trip

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$50,000
  • If you die from an accidental injury sustained during travel within 12 months of its occurrence

Gold

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$50,000
  • If death resulted from a violent, sudden, external and visible injury during the trip.
  • If it is reasonable to assume that death resulted from injury, in the event of disappearance.

Comprehensive

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$37,500
  • If you suffer an accident that causes your death or results in loss of a limb, loss of sight, loss of extremity, or permanent total disablement while on your trip.

Comprehensive

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$25,000
  • If you die from an injury sustained during travel within 12 months of its occurrence.
  • If you are missing for 12 months and presumed dead following a transport incident.

Total Travel Care

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$25,000
  • If you die from an injury sustained during travel within 12 months of its occurrence.
  • If you are missing for 12 months and presumed dead following a transport incident.

Top

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$25,000
  • If death resulted from a violent, sudden, external and visible injury during the trip.
  • If it is reasonable to assume that death resulted from injury, in the event of disappearance after 12 consecutive months.

Comprehensive

Fast cover logo

$25,000
  • If you die from an injury sustained during travel within 12 months of its occurrence.
  • If you are missing for 12 months and presumed dead.

Comprehensive

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$25,000
  • If you die from an injury sustained during travel within 12 months of its occurrence.
  • If you are missing for 12 months and presumed dead following a transport incident.

International Comprehensive Plan

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$25,000
  • If you suffer from an injury caused solely and directly by violent, accidental, visible and external means resulting in your death.

International Travel Plan

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$25,000
  • If you die from an injury sustained during travel within 12 months of its occurrence.
  • You are missing for 12 months and presumed dead following a transport incident.

Comprehensive

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$25,000
  • If you die from an injury sustained during travel within 12 months of its occurrence.
  • If you are missing for 12 months and presumed dead

Comprehensive

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$20,000
  • If you die from an injury sustained during travel within 12 months of its occurrence.
  • If you are missing for 12 months and presumed dead.

Deluxe

Travel insuranz logo

$20,000
  • If you die from a specific, identifiable physical injury.

Excel Plus

Insure4less Icon

$20,000
  • If death results from injuries sustained from an identifiable accident which occurred while travelling.

Comprehensive

Online Travel Insurance Logo

$15,000
  • If you are injured and you die because of that injury within 12 months of the injury.
  • If something you are travelling on or in disappears, sinks or crashes and your body is not found within 12 months and you are presumed dead.

Comprehensive

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$15,000
  • If you die from an injury sustained during travel within 12 months of its occurrence.
  • If you are missing for 12 months and presumed dead following a transport incident.

Note: Data last confirmed as accurate September 2019

How and when do travel insurance policies pay for death?

Travel insurance policies will usually cover death either as a standalone benefit or as part of the available accidental injury benefits.

It is important to remember that claims need to include details of both the accident and the injuries or death which resulted, and that both of these factors need to meet all requirements.

It has to be a physical accident. Death benefits are typically only paid in the event of an accidental injury which resulted in death. In other words, there needs to be a specific eligible accident event, clear injuries which resulted from it, and then those injuries need to be the cause of death. Unless it says otherwise, you can assume that a travel insurance policy will only pay death benefits in these situations. Insurers typically define accidents as unintentional events which cause these types of injury.

  • If an accident leads to an illness or disease, and then that illness or disease proves fatal, it may or may not be covered depending on the wording of your policy. Some insurers will specifically exclude these.
  • Some insurers specify that there is no cover for deaths resulting from the accumulation of multiple injuries and that there needs to be a single injury identifiable as the cause of death. This can rule out certain accidents that would otherwise be covered.

Missing doesn’t mean dead. Missing people are covered by travel insurance death benefits in very different ways depending on the insurer.

  • Some insurers specify that they need reasonable cause to believe a missing person died of accidental injuries in line with the policy terms.
  • Some insurers will accept people missing in transport accidents as dead of injuries.
  • Some insurers, who do not specify any form of death benefits for missing people, will typically not pay any benefits in the event of a disappearance.

How do travel insurance policies cover disappearances?

It depends on the insurer and the situation. Consider these examples to help you understand the differences.

After a plane crash someone is missing

  • Listed policies that mention cover for disappearances in transport incidents would pay death benefits.
  • Policies that do not specifically mention disappearances would not pay any death benefits.

A traveller has mysteriously gone missing

  • Some policies will pay benefits for disappearances, the same as they would for an accidental death. Of those policies listed here, American Express, Budget Direct, FastCover and STA will pay out if someone is missing for 12 months.
  • Of the insurers listed here, InsureandGo and Tick will only pay benefits in the event of a disappearance if there is reasonable cause to believe that the missing person died of an injury in line with the policy requirements.
  • Policies that do not specifically mention disappearances would not pay any death benefits.

Time limits apply. Benefits are only payable if the death occurs within 12 months of the accident and if it was caused by an injury sustained in this incident.

  • Even if it meets all other conditions, benefits will not be payable after this time.
  • Benefits are still payable even if death only occurs months later, as long as it is shown to be the direct result of injuries sustained in the claimable event.

The accident and the death are not the same. The event which caused the injury (the accident) and the injury which caused the death are two separate parts of a claim and separate conditions can apply to both.

  • Some, but not all, insurers specify that the death must take place while you’re travelling and while your policy is active. Others can still pay benefits even when death occurs after returning home.
  • All insurers specify that the accident must occur while you’re travelling.
  • Some travel insurance policies have a window after an accident in which policyholders can make claims for losses which resulted, such as death. For some insurers this window is 12 months after an accident, while for others the window closes as soon as the policyholder returns home.

Accidental death benefits are also subject to general exclusions and need to meet all applicable policy conditions.


Exclusions: When will travel insurance policies not pay death benefits?

Benefits payable may be subject to both general exclusions and specific ones. In particular, it may be impacted by:

  • Reckless or unreasonable behaviour: When considering any claim, insurers will assess whether your actions were reasonable in the situation. Claims may be denied if they result from actions where you knowingly put yourself or others in danger, or did something that a reasonable person in your situation would not have done.
  • Terminal illnesses and pre-existing conditions: Terminal illnesses qualify as pre-existing conditions, and death benefits for those are typically not payable on the grounds that it’s a pre-existing condition. In the unlikely event that a pre-existing condition is shown to be in any way responsible for the accident, in that it wouldn’t have happened otherwise, benefits may still be declined.
  • Failure to take precautions and obey instruction: If you were not taking reasonable safety precautions such as wearing a helmet while motorcycling, or were not obeying all instruction (including local laws) at the time of an accident, insurers may refuse a claim regardless of whether or not doing so would have prevented the accident.
  • Deliberate injury and suicide: Deliberately self-inflicted harm, including suicide, is not covered by travel insurance policies.

How much do accidental death benefits usually pay?

Travel insurance policies are not designed to provide long-term benefits for your dependants. That’s what life insurance is for. Instead, travel insurance death benefits are designed to cover the unexpected costs, make sure you have the resources to return home or carry on, and generally offer a small form of compensation.

  • Maximum benefits are usually in the $20,000 to $25,000 range with international comprehensive travel insurance policies, and are generally about half that, or not included at all, with more basic cover.
  • When included as part of the accidental injury benefits, rather than as standalone death benefits, other accidental injury claims will also count towards the same limits.
  • Accompanied dependants are typically covered to much lower limits, but with all the same conditions. Whether someone can qualify as an accompanied dependant, or has to get their own travel insurance policy, depends on the insurer and may be worth considering when comparing travel insurance policy death benefits.

How to compare accidental death benefits

The numbers are only part of the picture when it comes to comparing benefits. You will also need to read the PDS to review the different conditions and circumstances in which a policy can pay out. This can help you pick out the insurers that offer additional benefits or more helpful options. On this page, for example, you might consider some outstanding insurers:

  • American Express: Can pay death benefits even in the event of terrorism. The other insurers listed here do not cover terrorist attacks.
  • InsureandGo: Has relatively high limits and can pay more benefits in the event of an accidental death claim for both policyholders and dependants.
  • American Express, Budget Direct, FastCover and STA: Can pay death benefits if a traveller is missing for 12 months, without proof of death.

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2 Responses

  1. Default Gravatar
    DoreAugust 28, 2019

    My mom want to come and visit us for 5 months in Australia from South Africa. She is an 80 year old women. She already got a 600 Visitors Visa for 6 months and a flight ticket but we need Travel insurance for medical, repatriation and accidental death while on holiday in Australia? She will be coming from 20 of September 2019 till 14 of February 2020. How can you help?

    • Avatarfinder Customer Care
      JessicaAugust 28, 2019Staff

      Hi Dore,

      Thanks for contacting us at Finder.

      It’s exciting to hear that your mother will be visiting you from South Africa. We have a dedicated page for visitors to Australia that includes all the information you need for inbound travellers.

      In your particular case, cover can be a bit harder to find because of your mothers age, the long duration of her trip and because she is not an Australian resident. I would suggest calling insurers like Cover-More (who offer inbound travel insurance) to see if they are able to put a policy together for your mother. Alternatively, your mother might find that she has a few more options available if she buys her insurance from her home country as most Australian insurers require you to be a resident of Australia for cover.

      I hope this helps and wishing your mother happy travels!

      Kind regards,
      Jessica

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