best travel insurance plans. Analysts predict it will balloon into a whopping $28 billion industry by 2022. If statistics is not enough to convince you, the reasons listed below to buy travel insurance are.
For emergency medical care
You may fall sick suddenly. It could be anything from food poisoning to a nasty infection, if OTC meds fail to work, it might quickly escalate into an emergency-like situation leaving you at the mercy of fate, that too in a foreign land where nobody knows or cares about you. A scary scenario if you think about it but traveling abroad without medical insurance could make it real. If you have health insurance, ask your provider whether they offer medical plans for travelers. If not, Google “travel medical insurance companies,” visit the websites displayed in the search result and compare their packages. Travel medical plans normally come with terms and conditions such as people whose domestic health insurance plans extend to traveling abroad cannot apply, people with certain health conditions get rejected, people who may cancel the trip get limited coverage, etc.
Flight delays and cancellations
Not as scary as the previous one, but a delayed or cancelled flight can put unnecessary financial burdens on your shoulders and leave you perplexed, thus unable to decide what to do next. A flight delay or cancellation can arise from hundreds of reasons such as technical problems and bad weather conditions, but they all implicate the same thing – that you are in trouble. To be able to book a new flight, you need trip interruption coverage. It’s a kind of travel insurance plan that enables you to buy a return ticket. Some travelers believe flight delay and cancellations are rare, but they are wrong. In 2015, 18% of all international flights got delayed and 2% flights got cancelled. Worldwide, about 40 million flights are scheduled every year, a 2% cancellation rate means 800000 cancelled flights a year.
Unfavorable forex conversion rate
If you are not from a first world country and planning to visit one, understand that even a short-stay in the hospital could be outrageously expensive due to the forex conversion rate. Countries like UK, USA, Australia and European nations use currencies that trade far higher against weak currencies like Algerian Dinar, Philippine Peso, Kazakhstani tenge, Bangladeshi Taka, Indian Rupees, etc. Unfavorable forex conversion rate causes out of pocket expenses for hospital stay or a visit to a doctor’s chamber to mount up, draining your financial reserve and leaving you unable to fend for yourself on foreign soil. But if you buy the best travel insurance plan, you could afford overpriced hospital beds that cost $800 a night. One advice for you, though. Ask your provider if the plan covers doctors’ consultation too. In many first-world countries, a stay in the hospital doesn’t necessarily mean being checked by a doctor who works there.
Losses and delay
Statistics indicates that for every thousand visitors, about ten lose their bags, money and passports. Ten out of thousand means only 1%. However, the total number of travelers around the world counts in millions. In the United States alone, 80 million millennials travel more than twice a year. The total number of people all over the world who lose their belongings during a trip is therefore very high. If the country you are visiting is infamous for petty crimes like scams, pickpockets and theft (not so petty indeed), you’d have to be watchful all through your trip or end up losing your baggage. Coverage for stolen luggage gets your reimbursed in case you are scammed or lose everything to a trickstar. Your baggage can get delayed. It happens quite a lot due to mistakes made by the airlines. Unless you have coverage for delayed baggage, it’d be hard to get help from the customer service reps and compensations for all the items that you received after a considerable delay.
Coverage for cataclysmic events
Never discount acts of God when traveling abroad. Imagine you are chilling on a tropical beach while a wild hurricane is on its way to make a landfall in the shore. Worse, a terrorist attack caused the local government to cancel all the outgoing fights. Many people who visited middle-east in the past have witnessed the latter scenario. Coverage for terrorism and weather damage keep you protected from difficulties arising from catastrophic events described above. Hence, it’s wise to get one.
All said, remember travel is for fun. The last thing you want is to worry about something during your trip that could easily be fixed by buying insurance coverage.