How does Group Travel Insurance Work? Coverage, Claim & Exclusions

Planning a trip with your family or friends? While this might be a lot of fun, improper planning can overwhelmingly complicate the process. This is where a group travel insurance can help you kill most of the worries in regard to group vacations.

Group travel insurance , as the name suggests, is a way of purchasing a travel insurance policy that protects a large number of people who are travelling overseas at the same time. Opting for group insurance can help in saving thousands in comparison to getting individual travel policies.

The inclusions or covers that can be a part of group travel insurance are as follows:

1. Cover for emergency medical deportation: Ideal for trips that include elderly people and people with health problems.
2. Cover for trip cancellation: This is best to opt for a cover as it provides cover for trip cancellation, especially if the planned activities are prepaid.
3. Individual accountability cover: Provides adequate luggage cover to each individual who is travelling together for replacement or refund for any mishap.
4. Cover for key documents: Loss or theft of important documents including passport can be covered.
5. Catastrophes: Covers travel to places that are prone to natural disasters and natural calamities.

In general, the exclusions can be bought for an additional premium. However, it is essential to read the offer documents carefully to avoid unpleasant surprises. Here are some of the common exclusions:

1. The age of group members can be a matter of concern in a few cases. Ideally, individuals who are 65 years of age are not offered an inclusive cover.
2. Certain insurance providers also do not provide group cover if some of the individuals live in a different country, and are planning to meet at a common point.
3. Other general exclusions involve robberies unreported for 24 hours, preexisting medical conditions, and mishaps due to alcohol/drug intake.

Although opting for group insurance instead of individual policy cover can save you thousands, here are some tips that can help in bringing down the premium considerably:

1. Disbursing a greater amount of claim you would file for will significantly decrease the premium. However, ensure the excess is affordable and will not worry you during the claim.
2. Negotiate with your insurance provider if you feel the premium quote, they are offering is unreasonable for a group policy cover.
3. If your group travels more than once a year, a multi-trip cover is the most beneficial option for you.

Group travel insurance is the best way to cover the entire group of people from unexpected travel risks.

The information contained herein is generic in nature and is meant for educational purposes only. Nothing here is to be construed as an investment or financial or taxation advice nor to be considered as an invitation or solicitation or advertisement for any financial product. Readers are advised to exercise discretion and should seek independent professional advice prior to making any investment decision in relation to any financial product. Aditya Birla Capital Group is not liable for any decision arising out of the use of this information.