You see an inviting sales offer. It reads, ‘A sizeable percent off’. Wohoo! Your mind breaks into a happy dance. The kid in you jumps up and down till the adult in you curbs the enthusiasm. With the precision of an astronaut stalking constellations through a telescope; the practical you, spots a star. A star that will eventually turn your joyous day-dream into a morose black hole.
There it is, you spot it again at the end of the offer. It is an asterisk. And it reads the saddening – Conditions Apply. However, the dreaded asterisk can also be the guiding north star. Wondering how? Well, it does tell you the conditions, doesn’t it? It informs you. Educates you. So that you make a purchase decision like an adult and not get swayed away, blindly, like a kid.
Travel insurance policies also come with an asterisk sign as it has its sets of exclusions. As a tourist, it becomes extremely important to know the exclusions of a travel insurance policy. It is as important as knowing the inclusions, in some cases, even more than the inclusions. Read ahead to know more about exclusions of your travel insurance policy.
What are Inclusions and Exclusions?
Every travel insurance policy has a set of inclusions and exclusions. Inclusions are situations that are covered by the policy, and exclusions are situations that are not covered by the policy. This means, the insurance company will NOT pay you money in case you raise a claim for an event that is mentioned in the list of exclusions in the policy document. Inclusions and exclusions are usually communicated upfront on an insurance company’s website. However, for a detailed explanation, one should refer to the particular policy document.
Importance of exclusions
As mentioned above, exclusions tell you what is not covered in a policy. This lets you plan your cover accordingly. Usually, the list of exclusions is similar across insurers. Major exclusions are same. Insurers have Add-ons to cater to some of the situations mentioned under exclusions. In some cases, they might include the Add-ons in your base policy. Thus, it becomes critical to understand the coverage of your policy in detail when you compare travel insurance.
Exclusions and Claims
A major reason for discomfort among policyholders is related to claim settlement. Policyholders raise a claim expecting an X outcome but the insurers offer a Y outcome. Sometimes, the claims amount provided is lesser than expected while in some cases, the claim is outright rejected.
Note that the insurer’s claims team checks the exclusions of your policy when you raise a claim. If the reason for which you have raised a claim falls under the exclusion category, or it is found by the claims team to be a part of that list, your claim is rejected. The simple reason being it was categorically stated in the policy document that XYZ reason won’t be covered under the policy.
Therefore, you need to be proactive. Read and understand the exclusions, compare travel insurance based on coverage and not just price. Get in touch with the insurance company’s executive if needed to clarify doubts, but do not purchase the policy without knowing its exclusions.
Here’s a list of exclusions that are usually not covered as per a basic travel insurance plan.
- Pre-existing diseases are not covered
- Risks associated with war are not included
- Civil war
- Suicide-related situations
- Self-inflicted injuries
- Insanity-based scenarios
- Hazardous sports (unless specified)
Best travel insurance
There is nothing like a standard, best travel insurance policy. It entirely depends upon your requirements. You can conduct a quick research online to find out which travel policy meets your needs and then buy it online within minutes.
Make sure to purchase a travel insurance policy as soon as you book your tickets. Bon voyage!
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