Understanding Travel Insurance Terminology
Looking for travel insurance can often be a somewhat daunting business if you're unclear about the crucial terminology that surrounds the industry and is thrust in your direction by the many companies that all want to earn your very valuable custom. It really is vital that you understand what all the key terms mean to ensure that you're not deceived and made to buy an insurance policy which neglects to offer you the cover to suit your individual needs. Here you will find a glossary of travel insurance terminology which should be of assistance in turning you into a travel insurance genius, and will hopefully furnish you with the confidence you'll need to come to grips with the process.
ANNUAL COVER. Fairly self-explanatory this one: annual cover means that you pay a one off premium which covers you for all your travel insurance needs for one year. The alternative is Single Trip cover, which may help you save money if you know you'll only be taking the one trip in a year. CLAIMS. A claim is just the term used when you ask for compensation from your insurance company for something covered by the policy you've decided on. For instance, if you're travelling and you have a bag stolen that contained valuables, cash and your passport, you can file a claim with the company that provides your insurance to pay for the loss you have suffered.
EXCESS. An excess is the amount that you must pay towards each claim you make. These will vary depending on the company you go with, so be sure to read the small print. It's worth checking how much your excesses are before making a claim, to ensure that it's really worth it. EXCLUSIONS. Every insurance policy has particular items or events that will be excluded from their cover. Exclusions that appear often might be things like claims arising from medical conditions that you haven't declared, or claims for medical expenses that arose from the policyholder not taking reasonable precautions to prevent injury.
LEGAL EXPENSES. In case you should need to make use of legal aid when it comes to your travel insurance policy, or if you incur any legal expenses whilst travelling, most companies offer a certain amount of cover for legal expenses within their policy. POLICY HOLDER. The policyholder is the person, or organisation, who has been issued the policy by the insurance company. It's worth checking to see if you are entitled to any discounted rates as a policyholder - there are often cheaper rates for couples, families, children and the elderly.
WINTER SPORTS COVER. Just as there are different types of holidays, there are also different types of travel insurance to cover every traveller for their individual needs. One example is winter sports cover, which is provided by most companies for those who intend to take a skiing or snowboarding holiday, for example. This can be very helpful in eliminating the need for unnecessary cover: if you're planning a winter sports holiday, this will cover you for any additional risks, whilst travellers planning family holidays by the beach can pick a different policy to avoid the extras.