We are all looking for a bargain, especially in the current financial climate. But often something that seems a good deal, or is complementary when you purchase something else, isn’t actually the bargain it appears to be. Travel Insurance that comes with your credit card or bank account can often appear to be a good deal, after all it’s free (isn’t it?), but it can often mean that you think you have cover when actually you don’t have the protection you really need. Which is fine, until you need to make a claim!
From recent research conducting in Douglas it’s clear that many local residents have Travel Insurance with their bank or credit card, however many don’t know that this may not give them the cover they really need because they live on the Isle of Man. With this in mind, it’s evident that this is an important topic for our local community.
Different credit cards and bank accounts offer different levels of cover so it’s really important to know exactly what you’re covered for by reading the policy wording and documentation included. What is suitable for one person may not be suitable for another. So what should you look out for when looking at your policy to make sure that it gives you the cover you need? Local Insurance experts, Kestrel Insurance, tell us what Manx residents need to be checking for:
Isle of Man
Local residents need to be aware that, as we live on an Island that isn’t part of the UK, there are additional levels of cover that we need, which aren’t standard for most UK policies. For example, some policies will only cover you for repatriation and assistance in getting back to the UK, not to the Isle of Man. Make sure that you check what the definition of the UK is. If it doesn’t include the Isle of Man then if you needed to make a claim you may still have a big bill to pay yourself as you won’t be fully covered. Consider a Manx tailored Travel Insurance policy from a local broker.
Pre Existing Medical Conditions
In order to calculate the ‘risk’ involved in a Travel Insurance policy the Insurer needs to ascertain various pieces of information, one of which is the state of health of the travellers. Most of us have various pre existing medical conditions and the Insurer would need to know about these in order to provide cover, however many ‘free’ Travel Insurance policies don’t require any medical information, which means that you may not actually be covered. Consequently, if you are taken ill on holiday this could mean that you’re left to foot large foreign medical bill.
Hazardous Activities
A lot of people going on holiday may be going to enjoy a hobby, such as Kayaking, Go Karting and Mountain Biking, or may be trying something new, such as Bungee Jumping, Dog Sledging and Scuba Diving, however these activities, and many more, can be classified by the Insurer as ‘Hazardous Activities’. Many ‘free’ Travel Insurance policies won’t include cover for Hazardous Activities, which means that if you are injured whilst being involved in these activities then you may not be covered, again leaving you to foot a large foreign medical bill.
Your Holiday Destination
Before going on holiday it’s important to check that your holiday destination is included. For example if you’re going on a family holiday to Florida you may find that your policy only covers you for Europe. Also be sure to check that there are no exclusions for certain countries. Some countries that you may think are included in a certain category may not be. Going to a country that wasn’t included would mean that if you needed to cancel your trip, cut your holiday short or if you fell ill or were injured whilst away then you wouldn’t be covered at all and all the costs would fall to you to pay.
Holiday Length
This is particularly applicable to people who are going on extended holidays, once in a lifetime trips and gap years. It’s important to check how long your holiday Insurance lasts for. If it’s less than the time you’re away then it means that you won’t be covered for ANY of the holiday.
Optional Extras
There are many additional extras that you may need for your trip, such as winter sports, golf cover and business cover, however many ‘free’ policies don’t give you these extras and may not even allow you to add them on for an extra cost.
For higher risk activities, such as skiing and snowboarding, there is a greater possibility of injury, even for experienced skiers and snowboarders, and therefore a greater chance of an expensive trip to a foreign hospital; without the right cover it will be down to you to pay.
What should you do?
Kestrel Insurance recommends that you:
1. Think about where you’re going, how long you’re going for and what activities you’ll be doing.
2. Check your policy documentation to see that it gives you the cover you need.
3. If you’re unsure what cover you have in place you can ask your Local Broker for help in finding out what cover it really gives you.
4. If in doubt get additional cover specifically for your holiday. You can speak to your local broker or you can buy online at www.kestreltravelinsurance.com.
5. Look for value for money not just something that’s cheap or free because it could cost you more in the long run.
Alan Burrows, Managing Director for Kestrel Insurance commented “The best way to get good value for money on your Travel Insurance is to get a policy tailored to you and your holiday plans, that way you’re only paying for what you need and if you do have to claim on your policy then you can be confident that you will be adequately covered – that doesn’t mean that it has to be expensive. We’ve recently launched a dedicated Travel Insurance website, www.kestreltravelinsurance.com which is designed specifically for local people. We provide policies tailored for Manx people and they can even buy online.”
