10 Questions About Travel Insurance
What is travel insurance?
A: Travel insurance provides coverage for unexpected events that can occur before or during your trip, such as medical emergencies, trip cancellations, lost luggage, and other travel-related issues.
Why do I need travel insurance?
A: Nobody expects to have an emergency when travelling but emergencies happen. The costs of medical care in another country can often be thousands of dollars. So is the cost to rebook a last-minute flight home. Travel insurance helps protect you from significant financial losses due to these unforeseen circumstances. Without travel insurance, you could be responsible for high costs that can arise from these situations.
What does the travel insurance cover?
A: Travel insurance can include coverage for hospital and physician services, paramedical service, ambulance and emergency medical return home and more. In addition, travel insurance can also help with unexpected costs from delayed or lost baggage, trip cancellation and trip interruption as well as flight and travel accidents.
Do your eligibility requirements apply to all applicants, regardless of age?
A: Yes. All applicants must meet the eligibility requirements. When applying for coverage for a child under 18 years of age, a parent or guardian must declare on the dependent's behalf that the child also meets eligibility requirements - regardless of whether a premium is charged for the child or not.
How much does travel insurance cost?
A: The cost of travel insurance varies depends on the amount and type of coverages, other factors that also affects the premium cost are your age, destination, trip duration, and the activities in which you plan to engage during your travel. Your choice of insurance provider will also influence the cost of your policy. On average, travel insurance can cost between 4-10% of the total trip cost. For international students and visitors to Canada, the cost can depend on the length of stay and the extent of coverage.
When is the best time to purchase travel insurance?
A: It’s best to purchase travel insurance as soon as you book your trip. This ensures coverage for trip cancellation or interruption from the moment you make any non-refundable deposits. For visitors to Canada and international students, buying travel insurance before arriving in Canada ensures that you are covered from the start of your stay.
How does travel insurance work?
A: Travel insurance works by providing financial reimbursement or direct payment for covered losses and expenses. When you purchase a policy, you pay a premium for specific coverage options. If a covered event occurs, you can file a claim with the insurance company to receive compensation for your losses, subject to the policy’s terms and conditions.
Do you need travel insurance when travelling within Canada?
A: It’s a good idea to still have travel insurance even you are only travelling within Canada. Most Canadian provinces – with the exception of Quebec – have what are commonly referred to as reciprocal Interprovincial Health Insurance Agreement wherein if you require emergency medical treatment while in another province, the host province will cover the cost of any medically necessary healthcare services you need and will bill your home province. However, there are some gaps and limits as to what’s covered under these agreements which could leave you on the hook personally for out-of-pocket expenses totalling thousands, or even tens of thousands of dollars.
Does my provincial health insurance cover travel abroad?
A: Your Provincial Government Health Insurance Plan may pay only a small portion of medical expenses incurred abroad. They might not pay for ambulance services, prescription drugs, fees charged by private hospitals or facilities or emergency dental treatment. In addition, many hospitals abroad may require immediate cash payment or proof of insurance, which your chosen travel insurance provider’s assistance centre would help coordinate.
What are the exclusions in travel insurance policies?
A: Common exclusions in travel insurance policies include pre-existing medical conditions, high-risk activities (unless specifically included) and travel to regions with government travel advisories against visiting. Always read the policy details to understand the exclusions.
DISCLAIMER: Information provided on this page is meant for general information only. Provision of each travel insurance plan varies, it is always best refer to your travel insurance plan’s policy wording for full terms and conditions, including limitations and exclusions of the travel insurance plan that you are purchasing.
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