Why travel insurance is essential for a trip abroad

A supervised holiday is a time of great fun and it seems a shame to think about the things that could go wrong, but just because you are in another country there is no reason to believe that you are less likely to one of the dangers of everyday life. Theft, loss and medical emergencies are at least as likely to affect you if you are on vacation, and the experience will be even more traumatic if you are not covered and have to bear the full weight of any financial losses. Instead of seeing travel insurance as an unwanted expense, keep in mind that you are paying for the peace of mind that will allow you to relax and enjoy your vacation, without having to worry about how to cope if something goes wrong. Travel insurance is an essential part of any holiday abroad, whether you’re a fit young backpacker, an older traveler joining a group tour or a young family on a resort vacation.

If you’re still not convinced, check out these reasons why you might need travel insurance.

1) Medical

Australian government statistics tell us that Australian consulates handle 900 deaths and 1,200 cases of hospitalization of foreign travelers every year. Hospitals in Southeast Asia can cost up to $1000 per day and if the traveler does not have insurance coverage, they are likely to be fully responsible for the cost. The same government statistics indicate about 50 medical evacuations per year. When you consider that you might have to pay $100,000 to be evacuated from the US, you can see how important it is to be insured.

2) Loss

Things get lost while traveling. Luggage gets lost at airports and wallets stolen when you’re sightseeing in unfamiliar cities where you’re not as street-wise as you are at home. However, as long as you have insurance, you don’t have to be paranoid. Losing your property is always frustrating, but having insurance is the difference between a temporary inconvenience and an expensive disaster that can ruin your entire vacation.

3) Flight cancellation

Flight cancellations are quite common and very stressful. At least you can hang out at an airport for hours. If you have connecting flights or transfers, the knock-on effect can be much worse – and very expensive. Even if you don’t, you may suddenly have to arrange extra accommodation at the last minute or miss out on one or more nights that have already been paid for at your destination. Take out basic travel insurance and you will be covered for each of these problems.

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4) Acts of nature

If you are stranded abroad as a result of a natural disaster, such as a hurricane or typhoon, you may be covered by your insurance. If you are going to an area with a high risk of such phenomena, it is a good idea to make this a priority when choosing your policy as it is not always covered.

5) Personal circumstances

Unforeseen circumstances in your personal life may cause you to cut short or even postpone your trip altogether. You never know when you will get sick or suffer a family loss. With travel insurance you can recover part of the costs of your postponed or shortened holiday.

Far from being a necessary evil, travel insurance is a safety net to ensure you don’t get unnecessarily out of pocket as a result of your overseas vacation. It doesn’t have to be expensive either. There are plenty of cheap travel insurance policies available, so there’s no reason to ever leave home without one.