A travel insurance provides coverage against losses incurred due to trip cancellation, loss of baggage and essential documents such as passport.

Irrespective of whether you are going for a family vacation or a business trip, it’s imperative to avail travel insurance. This is because it not only secures your trip financially from contingencies, but also ensures you don’t end up straining your finances during your journey.

Read on to know what’s covered by most travel insurance policies:

Coverage for trip cancellation

There can be occasions where you might need to cancel your trip and the reasons can be plenty. However, a trip cancellation comes at a cost. On most occasions, you may not get the full refund from hotels, airlines or railways. The refund policy depends on the time prior to cancellation of scheduled departure of flights, trains and arrival at hotels.

This is where a travel insurance policy can lighten the burden on your pocket. By compensating for the losses incurred due to cancellation of your trip, travel insurance makes sure you don’t end up paying for damages from your pocket.

Coverage for medical emergencies

Medical contingencies during a trip can be financially draining. More so, because you are on a limited budget. However, with a travel insurance plan in place, you get financial coverage for these emergencies.

In other words, you will be reimbursed the costs incurred while getting yourself or your loved ones treated during the trip. In some cases, the insurer along with covering the expenses can also arrange for transportation to the nearest hospital or clinic, if needed.

Lost baggage coverage

Losing baggage containing all essentials can bring your trip to a halt. Often, there are cases of luggage theft during a trip, which can play a spoilsport. Also, there are cases of delayed arrival of baggage, which can result in incurring extra expenses.

Travel insurance guards you against these loses. Today, most travel insurers put in the extra yard by not only reimbursing the expenses incurred for lost baggage, but also making efforts to find out the missing luggage.

Coverage for loss of essential documents such as passport

While travelling, particularly overseas, often there are instances of loss of crucial documents such as passport. Replacing a lost passport is not only time-consuming but also expensive.
This is where a dedicated travel insurance plan comes to your rescue. It reimburses the costs incurred for replacing the lost passport. Not only this, your insurer will also extend all the possible help to help you replace a lost passport. You can also get trip delay benefits incurred because of a lost passport.

Prior to availing travel insurance, it’s important to go through the policy document carefully to know the inclusions, exclusions, etc. Also, compare offerings from different insurers to make an informed choice. Note that you can buy a travel insurance policy online or offline. There are many aggregator portals too from where you can buy a policy.

Click here to know more about travel insurance.


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.

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