As a traveler, you have either taken out a travel insurance policy on a previous trip, or you are considering the purchase of one.
You’re patting yourself on the back for doing the responsible thing, by taking out travel insurance you have given both you and your loved ones the peace of mind that comes with knowing that if anything happens to go wrong you’re covered.
Obviously, you consider travel insurance so that in the event of an accident, you’re covered, your stuff gets stolen, you’re covered, even if your vacation gets canceled - depending on the type of insurance you get, you’re covered. Now that is peace of mind, or is it? There any clauses hidden in the small print that could in fact ‘un-cover’ you? The bargain you thought you picked up by combining your travel insurance with your vacation package may not seem so impressive, if in the unfortunate event that you need to claim for stolen possessions the company starts questioning your claims’ credibility even rejecting it all together.
If you haven’t taken the time to read the small print of your policy, you may be in for a small shock if anything does in fact go wrong with your vacation. There are some standard conditions when it comes to the small print of travel insurance, what will and won’t be covered and in what circumstances said items will not be covered. That travel insurance has conditions is not something that your average traveler will be aware of, most assume that once your insurance says it covers your items in the event of theft you are fully covered against all forms of theft. Therein lies the source of most of the complaints made against insurance companies that reject such a claim.
Imagine if you will that you have treated yourself to a convertible rental car while on your vacation; you’re driving down with roof down enjoying the sunshine beating on your shoulders. Then all of a sudden as you pull up to the traffic lights, someone reaches in and grabs your handbag from the passenger seat, before you open your mouth to shout the lights have changed and away screeches your handbag with your purse, hotel room key and possibly your passport comfortably nestled in its hand-stitched, silk-lined and organic leather frame.
Clearly that would be considered theft; however in the past some companies have deemed such behavior as ‘negligent’ and thus refused to satisfy the claim. By lowering the roof of your vehicle you increased your risk of falling victim to crime as well as increasing the likelihood of you being the cause of an accident as removing the roof increases your exposure to the elements and their effects-sunstroke, heat exhaustion to name but a few. Some insurers may have a clause in their cover that is specific to convertible drivers and their exclusions may prove to be an interesting read, preferably before you make the purchase of the policy.
By reading the policy document in its entirety you will be aware of any conditions relating to stolen property that may impact on the choices you make regarding the possessions you choose to take with you on your vacation. Insurers expect you to value your property enough to take care of them, if the actions leading up to their theft indicate that you didn’t in fact take reasonable care of your property the insurer may not pay out.
Many of us will take out travel insurance when going on holiday but do you know what to do when something goes wrong? Knowing upfront can save a lot of heartache down the track. The following are a few tips travel insurance tips that travelers should consider before they leave on their trip. The chances are not great that any of these issues may occur to you...but if they do you will be a lot better prepared if you didn't.
Proof of ownership
Travel insurance companies will often refuse to pay for lost or stolen items unless that you can prove that you own them. The best way is with the original receipt. We might keep receipts for the expensive items but who has a receipt for every item you are taking away with you!
Now, travel insurance companies are not all evil and will cover you for general things like clothes, toiletries, and luggage but without proof of brand or value you'll often only get a fraction of the true replacement cost.
Digital cameras are cheap and most people will be taking them on holidays. So you should take a photo of everything that you are taking. Get the brand and style where possible. Detail all this in a spreadsheet as well. Scan all receipts, manuals, warranty cards, or tags. You can claim when you get home but I'd suggest emailing all the photos, scans and spreadsheet to a free email site like Gmail or Hotmail so you can claim while away if needed.
Replacement value
It has become common now for car or home and contents insurance to offer new for old replacement. This is generally not how travel insurance works. You'll usually be offered the value of the goods minus depreciation. This should mean that the money you are offered can buy a replacement item second hand. Some items hold their value really well and you actually won't be able to buy a replacement one for anywhere near the money the travel insurance company gives you. You should always lodge a complaint if this is the case. Provide proof of the true market value (e.g. from classifieds, second hand shops, or eBay). If the travel insurance company still refuses to cover the real cost then take it to the ombudsman.
Stolen goods and police reports
Travel insurance companies will generally not just take your word for it when something is stolen. They want some sort of proof. This is generally best in the form of a police report but can be a statement from the airline, cruise ship, etc if it happened there.
Police reports can be a tricky thing to obtain in some countries. You may be asked to pay a fee for this service. If the amount is small then just pay as it probably isn't worth the hassle. If it is larger then you may want to consult your guidebook or the internet to see if this is normal. If not then your embassy or consulate should be able to help. Some countries have special tourist police who are the best to approach in regards to this.
If you have trouble speaking the local language and the police can't understand you then you could try an online translation service (e.g. babelfish) or finding a local or fellow traveler who speaks English and take them along (a tip is generally appreciated).
Unattended luggage
A major area in which travel insurance will not cover you is when your bags are left unattended. This may seem like it would rarely happen as you normally don't leave your luggage just lying around but unattended is usually defined as being left in an unlocked environment or with someone you don't know. Common scenarios are left luggage at hotels or hostels, with doormen, or with tour companies.
Before traveling you can ask yourself whether you need to take an expensive watch with you on your travels, if it not essential it might be better to leave the item at home. Similarly if you are just popping down to the pool, do you need to take your whole bag with your purse and passport in it, could you not leave said items locked away in your room safe or if one is not available in the hotel’s safe? If the answer is yes then you should, rather than risk your personal effects being stolen while you top up your tan.
Anytime you travel with items the you can't afford to loose, you should consider any of the number of unique mobile security travel products. For a selection of over 300 of these items, go to www.CorporateTravelSafety.com
Our site contains over 100 pages of travel safety tips and security tips that are useful for any traveler. You will find tips involving luggage theft, avoiding pickpockets, laptop theft, hotel burglary, and airplane, train, automobile, and boat travel crimes.
