Top Travel Insurance Myths or Illusion Busted

Travel Insurance Myths

Most travellers live with the belief that travel insurance is essential only when they travel to a destination which poses a potential threat. It is a complete myth. Well, myths are part and parcel that exist in every aspect of our day-to-day lives and travel insurance is no exception. Misconceptions regarding any insurance policy influence your decision when purchasing travel insurance. This is why we’ve busted some of the myths related to overseas travel insurance so you can make an informed decision!

But before digging in deeper, let’s have a look at the concept ‘Travel Insurance’.

What is Travel Insurance?

Travel insurance is mandatory if you want to ensure financial safety during an emergency abroad. The average medical expenses in overseas health centres are expensive. In severe cases, you may be required to take an air ambulance to your homeland, which will, certainly, ruin your savings. Apart from medical emergencies, there are sudden changes such as flight cancellations or delays, natural calamities that ruin your travel destination. With travel insurance, you are safe in all such situations.

Types of Travel Insurance:

  • Domestic Travel Insurance
  • International Travel Insurance
  • Corporate Travel Insurance
  • Student Travel Insurance
  • Medical Travel Insurance
  • Family Travel Insurance
  • Individual Travel Insurance
  • Multi-trip Travel Insurance\Single-trip Travel Insurance

Most Travel Policies Include Coverage for:

  • Loss of checked-in bags
  • Emergency health care expenses
  • The expenses of flight cancellation, delaying or cutting your trip short
  • Personal accountability, in case the insured is sued for damaging others property or causing injury

Travel Insurance Exclusions:

  • Pre-existing illness unless it is critical or life-threatening diseases
  • AIDS/HIV
  • Terrorism
  • A self-initiated injury like a suicide attempt
  • Involvement in a criminal act
  • The mental or nervous disorder
  • No coverage for adventurous activities, winter activities including bungee jumping, parachuting etc.

Myth 1: Short Trips do not Require Travel Insurance and nothing will Happen Suddenly.

Whether it is a short or long trip, an accident or unforeseen event always occurs out of the blue. For instance, you may fall sick due to a change in weather. Such medical emergencies can be difficult for you to handle in an unknown country or city. But with travel insurance, you can remain stress-free during these circumstances. Travel insurance provides complete medical assistance by helping you bear the expenses incurred while you travel. You can customise your insurance policy as per your needs as well, for instance, if you do not want to cover flight cancellation or delay, at least consider availing cover for such unpredicted situations.

Myth 2: I have a Health Insurance Policy that Covers me During an Odd Situation even if I am Abroad

Having a health insurance policy is smart but if you’re labouring under the perception that the plan will cover you for any costs incurred during an emergency abroad too, then you’re in for a rude shock. Your medical insurance policy will offer assistance for the treatments available in India only. Even a health insurance plan doesn’t cover continuity treatment overseas. The fact is that you are actually unshielded if travelling without an adequate insurance plan.

Myth 3: The Airlines Cover all Delays

You might be a misunderstanding if you believe that all airlines cover the expenses of flight delays. In most cases, that is not the case. Some of the costs including food, toiletries have to borne by you, only. When your flight is delayed for hours, the expenses will be charged out of your pocket. Without a travel insurance policy, you bear this amount as an additional expense for your trip.

Myth 4: Multi-Trip Insurance will be Expensive for me

Only because a travel policy offers you extensive benefits, does not mean you cannot afford it or it is way too expensive. With a multi-trip travel plan, you can avail more benefits, but yes if you compare this to a standalone travel plan, the price is slightly higher.

Well, we believe, you would not mind paying slightly a high amount to get more benefits and travel assistance, and some, invaluable, peace of mind. For initial stages, you can avail well-protected annual round-trips at a much cheaper cost.

Myth 5: Credit Card Holders don’t Require a Travel Insurance Plan

It’s convenient to be cashless but not always. Moreover, if it is a credit card then you’ll have to bear the interest for each delay in payment. Still, many feel it is handy even in a foreign land and expect to be stress-free during an emergency.

Travel insurance is applicable to some who have been offered with some complimentary travel insurance as a part of their credit score benefits. But not for all. We all know every credit card has a maximum limit, which may be breached during an emergency hospitalisation or due to hefty medical bills. So you can’t solely rely on it. Also, you are bound to pay the amount back to the card issuing bank, else a defined interest will be imposed against that amount. Hence, complimentary travel insurance is not long-lasting and may lead many threats if not monitored. Hereby, it is essential to purchase a comprehensive travel insurance plan that covers you during the entire trip.

Myth 6: I Need Travel Insurance for High-Risk Destinations only

In case you are new to the term travel insurance, you might end up thinking that you only require it in case you’re an adrenaline junkie who loves to spend time climbing the mountains of the Himalayas or bungee jumping in Nepal or white-water rafting through famous falls in Ladakh.

Even if you’re not crazy for thrills that don’t mean you don’t need a plan. Travel insurance policy will offer you a whole lot more than coverage for some sports activities. Moreover, in India, you would not get coverage for adventurous or water activities to which a risk factor is attached. It compensates you for any flight delay, loss of checked-in baggage, in case you are bumped off due to excessive bookings etc. The more you do your research, the more you get to know how much your travel plan can cover to provide you safe during your travel.

Myth 7: Travel Insurance will always have your back if Something Goes Wrong

It is obvious that travel insurance is there to protect you from any odd situation that you may face during your trip. But that doesn’t mean you can submit claims without adhering to reasonable caution or common sense. The insurer may reject the claim for an accident that was caused as a result of your negligence. For instance, you miss your flight as you forgot to set an alarm or fail to inject a recommended vaccination before your trip, or knowingly travelling to a destination, which is in news for political or geographical unrest. Don’t expect your insurer will cover you for these.

Also, if you have a flair for adventurous activities or water activities, make sure, first, that your travel insurer provides coverage for that, as some of the travel insurance may offer coverage to some extent but be 100% sure before taking a plan. You can buy travel insurance online to get the best deal.

You may Like to Read: Top 7 Checklist for Your Next International Trips

In a Nutshell

So, having proper travel insurance cover can lessen the possible financial risks linked with travelling such as medical emergencies, loss of baggage, flight delay, cancelled tours, theft, terrorist attack, emergency evacuation, getting the deceased body to your own country. However, travel insurance coverage may vary insurer to insurer as the plan is designed keeping the individual potential risks in mind. There are other factors which influence a lot include your health condition, terms and conditions applied for a refund of the air ticket, your luggage value, the financial ability of the insurer and airline or the insurance cover that you already own for instance health insurance.

Having a travel insurance is always a wise idea for every traveller be it domestic or overseas travel insurance. You may not face any odd situation in your lifetime but that doesn’t mean you won’t face it in the near future. Don’t take your abroad trips lightly. Taking a calculated risk is one thing and taking the risk of making an uninformed and ignorant decision is another. You are holidaying to restore some peace of mind. Try not to destroy it with small financial hiccups that you may face due to unplanned expenses. Bear in mind that medical expenses are way more expensive in a foreign country.

Here is why you blindly need a travel insurance plan that covers you during an unforeseen event. So next time as you head out for some travel destinations, prioritise your safety top of mind over the myths associated with overseas travel insurance.

Our Advice:

Forget the traditional way of taking up a plan offline, purchase a travel insurance online and get additional benefits like low rate of premium, prompt online services, claim settlement in no time, online renew with a few clicks. You just need to visit the website of travel insurers, compare the plans online and get the best one that meets your travel needs.


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