How Much Does Travel Insurance Cost for 6 Months?

The cost of a travel insurance plan, which covers six months, for an Indian traveller ranges from Rs 6,000 to Rs 25,000. The prices shown are for the whole plan duration, not for every month. Your age, location, the total amount insured you select, and whether you decide to include coverage for pre-existing conditions or adventure sports mainly will determine the premium you pay.

What is the Cost of 6-Month Travel Insurance?

There is no fixed rate, but the rates mentioned below are indicative of what an average adult would pay for a continuous journey of 180 days with mid-range sum insured amounting to around USD 100,000. The rates are provided as one lump total sum, and hence, a six-month coverage plan does not cost double that of three months’ duration.

These figures are based on a standard plan without any heavy add-ons. If you have a pre-existing condition, want higher sums insured or enthusiasts of adventure sports, then these premiums would be higher than the above mentioned bands.

How is the Premium for Travel Insurance Calculated?

The majority of the pricing will be influenced by six major aspects. Once you understand them, you'll realise that two people travelling together might have a huge difference in prices paid for insurance coverage.

• Age: As one gets older, premiums increase accordingly. People in their 60s can end up paying twice as much money as those in their 20s for the same plan simply because they are more likely to file a medical claim.
• Country destination: The USA and Canada are the destinations where premiums will be highest due to high costs of health care services. Schengen Europe (minimum EUR 30,000 sum insured for visa), Asia, and Southeast Asia will cost less.
• Sum insured: The higher the medical insurance sum insured (USD 50,000, USD 100,000, USD 5,00,000), the higher is the premium. Larger sums insured increase the premium but not in direct proportionality.
• Duration of the trip: A 180-day travel plan falls into the category of a longer period than a short trip. Most insurance providers limit the single trip period to 180 days.
• Pre-existing conditions: Coverage for pre-existing conditions such as diabetes and high blood pressure, wherever provided, increases the loading on the premium.
• Add-ons: Adventurous sports coverage, baggage limit increases, and nil deductible plans are additional features that increase the premium.

Let us see how all these factors come into play in real life. For instance, both a 28-year-old and 62-year-old person plan to travel to Southeast Asia for 180 days and their sum insured is worth USD 100,000. While the younger individual will have to pay a certain basic premium, the elder one will end up paying twice or thrice the amount just on the basis of age factor. If we were to change the destination to the USA and both the persons would have to pay a hefty premium due to the cost of health care services.

Single-trip or Multi-Trip Insurance: Which One Should You Choose?

A single-trip plan works better than a multi-trip plan for a period of 6 months in one go. Multi-trips annually will make sense when you travel several times in a year, since a multi-trip plan covers all the trips you undertake but limits the duration of each trip, which is 30, 45 or 60 days.

However, if your stay abroad during the year will be only one period of six months, a multiple trip plan will not work and you will need to choose a single trip 180-day plan.

What is Covered Under 6-month Travel Insurance?

Standard coverage of six months' travel insurance usually comes with a range of coverage. This will enable you to decide whether the less expensive one is comparable to yours.

• Emergency medical treatment and hospitalisation abroad, up to the sum insured.
• Medical evacuation and repatriation.
• Loss of passport and checked-in baggage.
• Trip delay and, on some plans, trip cancellation or interruption.
• Personal accident cover.
• Personal liability, covering accidental damage you cause to others.

Cheaper plans often achieve their lower price by carrying a higher deductible (the amount you pay first before the insurer pays), a lower sum insured, or fewer add-ons. Compare the sum insured and deductible, not just the headline premium.

Things to Keep in Mind While Purchasing Travel Insurance

You can lower a 6-month premium without leaving yourself under-insured by matching the plan to your actual trip rather than buying the largest cover by default.

• Choose a sum insured that fits your destination. USD 50,000 to USD 100,000 is common for Europe and Asia; higher limits mainly matter for the USA.
• Skip add ons you will not use, such as adventure sports cover if you are not doing risky activities.
• Accept a standard deductible instead of paying extra for a zero-deductible plan, if you can cover a small first amount yourself.
• Buy for the exact number of days you travel rather than rounding up to a longer duration band.
• Compare quotes across insurers for the same sum insured and deductible, since pricing for identical cover varies.