• Why Travel Insurance is important?
• Top 10 reasons to buy Travel Insurance
• When should I buy Travel Insurance?
• What to think about before purchasing Travel Insurance

Whether it’s your luggage, your possessions, your holiday bookings and deposits, your health and medical cover – travel insurance is an essential item to take with you.

Smart travellers always buy travel insurance, and more importantly the right kind of insurance because they know how easily their trip could be ruined.

78% of Australians purchase travel insurance when they go overseas. The top three reasons Australian travellers buy are:

1. Peace of mind

2. Protection against the unexpected

3. Protection against loss of your financial investment in the trip.

When it comes to your health, guarding against medical and hospital costs is essential. The Department of Foreign Affairs and Trade (DFAT) handle over 25,000 cases annually involving Australians in difficulty overseas. Medical evacuations regularly exceed $300,000. Travellers who are not covered under travel insurance are liable for covering all costs involved. Although these big claims are significant, most travellers suffer smaller losses yet are still significant to the individual. One in eight policy holders make a claim.

Travellers need to take note of destinations that have been advised “do not travel”. This may result in your travel insurance policy being made null and void. For Travel Insurance destination warnings visit www.smarttraveller.gov.au

Top 10 reasons to buy travel insurance

1. Your flight has been cancelled.
2. Your bags are lost and your medication is in them. You need an emergency prescription filled.
3. Your passport or wallet has been stolen.
4. You need to cancel your trip due to illness.
5. Your airline, cruise line or tour operator goes bankrupt, and you need your non-refundable expenses paid, and to get to your destination.
6. You have a medical emergency in a foreign country.
7. A terrorist incident occurs in the city where you are planning to visit and you want to cancel your trip.
8. A hurricane, flood or fire forces you to evacuate your resort, hotel or cruise.
9. You’re involved in an accident and adequate medical treatment is not available and you need medical evacuation.
10. Peace of mind for you, your family and loved ones back home.

When should I buy Travel Insurance?

You should buy your travel insurance as soon as you pay the deposit on your trip. It doesn’t cost anymore to buy the policy at this time, and the cancellation cover can start straight away. You pay only for the period you are away from home. Once the policy is effected you can claim against any costs you might incur if you have to cancel your trip for a range of different reasons prior to departure.

What to think about before purchasing Travel Insurance

• Always read the Product Disclosure Statement (PDS) and ensure the policy covers you for what you need. Cheaper isn’t always best, make sure you compare the cover.
• Are you covered for unlimited medical expenses, including repatriation to Australia?
• Always declare any pre-existing medical conditions.
• Is there an excess on the policy?
• What exclusions are there? Does the policy cover activities you will be doing eg. Skiing?
• Are you travelling with expensive items? Do you need to take out extra cover to insure these items eg. jewellery, cameras and laptops.
• Have you checked the government advisory www.smarttraveller.gov.au for your destination and if it’s safe to travel and whether it will affect the insurance cover.