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If you’ve ever taken out travel insurance while booking your trip with a travel agent, chances are you haven’t read the fine print too carefully (and a large commission has been thrown in!). These days, online travel insurance is providing a competitive alternative. So whether you plan on kicking back on a river’s edge or climbing Everest, there are plenty of options available for you.
Is online travel insurance reliable?
There are two things to look for in a good travel insurance package. The first is whether or not the policy has a reputable and financially stable underwriter. In many cases, Australian online insurers have been underwritten by Allianz Australia, for example.
The second is what kind of medical assistance they provide. Many offer Mondial Assistance, which is a very reputable network of medical facilities. They offer 24-hour seven-day assistance, as well as emergency evacuations.
Every insurance policy must have a policy disclosure booklet and this should be available to read online. In fact, this is the best part about buying your insurance via the Net — you can take as much time as you need to read that dreaded fine print!
What are the main companies that sell online travel insurance?
Companies that provide a good choice of policies include:
- Travel Insurance Direct (www.travelinsurancedirect.com.au)
- Columbus Direct (www.columbusdirect.com.au)
- Wolrdcare (www.worldcare.com.au)
Larger travel agents, such as STA Travel and Flight Centre, also provide competitive online insurance.
What do you need to purchase online travel insurance?
After you have decided which package is best for you, there are some basic questions you will have to answer via an online form. Included, along with standard contact details and itinerary, will be questions about pre-existing medical conditions.
Some insurers will not cover you for pre-existing medical conditions, while others will cover you but will also charge you a higher premium. You may also need to provide a letter from your doctor, explaining the particulars of the condition.
The form may also provide options for extra cover, including excess luggage and personal items, and usually asks if you would like to pay an additional fee to waive the excess.
After filling out the online application form, you can either pay by credit card online, after which your policy becomes effective immediately, or you can elect to pay by post, in which case the policy will come into effect once the payment has been received.
Some companies, such as World Care, require that you be an Australian resident in order to take out their online policies.
Is it cheaper than insurance with a travel agent?
Online insurers claim to cut out the middleman’s commission and a quick comparison shows that they can be as much as $50 cheaper. They do vary in price, however, so it’s worth shopping around.
An insurance policy for a one-month trip to the Pacific region, for instance, could cost you as little as $57. Some insurers also provide a yearly insurance rate for frequent travellers, covering travel for every region of the globe for as little as $470.
How long does it take to get reimbursed?
Once all paperwork has been submitted, it should take only a few days for claims to be paid, but this varies between insurers. Make sure you keep all receipts for medical care and medicines and make a comprehensive list of the personal items you have included under your cover.
Taking photos of these items before you leave home is also a great idea. Leave the photos in a safe place back home, along with a copy of you passport and airline ticket, and a lot of time and headaches could be saved if you ever need to claim.
