Top 10 Reasons to buy Travel Insurance

There are hundreds of reasons that could force you to seek emergency medical treatment while travelling or that could cause you to cancel your trip or return home early.

To demonstrate the importance of purchasing travel insurance, here are some examples of what could go wrong during your trip:

1. You’re involved in an accident and adequate medical treatment is not available. Who will help arrange and pay for medical evacuation?
2. It’s your first visit to Europe, and your passport and wallet are stolen. Where do you turn to for emergency cash, and how will you get your passport replaced?
3. Your bag was lost with your medication inside. You need help locating your bag as soon as possible and having your emergency prescription filled.
4. You suffer from a leg fracture while skiing in Colorado. Who will pay for your $45,000 bill?
5. Your cruiseline, airline or tour operator goes bankrupt. Who will pay for your non-refundable expenses? Who will help get you to your destination?
6. You’re walking down a street in Prague and twist your ankle. Who can help you find an English-speaking physician?
7. If an immediate family member becomes seriously ill and you must interrup your trip, who will help you coordinate your return?
8. You arrive in Bermuda but your luggage doesn’t. If it’s lost, who will help you find it? If it’s delayed, who will pay for your necessities? If it’s stolen, who will pay to replace it?
9. You are retired and fall down the stairs in Florida and end up with a hip fracture. Who will pay for your medical bills and coordinate your air ambulance evacuation so you can be cared for in your province of residence?
10. Your baggage’s arrived at the airport but are severaly damaged. Who do you turn to for compensation? (or your bags are lost, like mine were!)

Have you ever been in any of these predicaments? I have! Thankfully when I was in the hospital in the US, I had purchased Travel Insurance. Same thing when the airline lost my bags!! I hear of all the horror stories how people just “popped” across the line for a quick trip, got injured or sick – ended up in a US hospital – and now have an astronomical bill outstanding. The average cost of a night in an American Hospital is between $5,000 – $10,000 A NIGHT!!!

My niece, who recently moved to the US, told me a story of a friend of hers, Canadians who were visiting friends in the US, she was pregnant and went into labour early. They had not purchased travel insurance prior to leaving Canada… the bill… was $165,000!! How in the world does a young couple in their early 20’s, just starting out in life with a new child, ever pay that back?!

It’s not worth traveling without insurance. It’s like playing Russian Roulette!!

Trust me, it’s not worth the risk!

walked in... wheeled out

Remember what this picture is from??….

This morning I emailed (because there is no number listed on their website) the hospital that I visited back in Pigeon Forge, TN way back in August 2008 to get this “outstanding bill” figured out.

They sent me back a reply quite quickly, impressed at how quick actually, the phone number to reach the company that the Doctor’s bill through.

So I called them.

Buffy told me that yes there was an outstanding bill but she can’t send it to my insurance company because they already submitted it to collections. She gave me the phone number for them.

So I called them.

I finally reached the revenue recovery organization (fancy word for collection agency) & the department that was “handling” my claim. This time I was as sweet as cherry pie!

It’s true that you can get more bees with honey than vinegar!

The lady on the other end took my insurance policy information and told me that she’d send them a bill and help me take care of this issue. So there it stands. Hopefully soon this $326.00US bill will be paid and my credit score will be fixed!

Lessons learned: Check to see if the hospital and the doctor you visit in the US bill separately or all together. Read the small print!! Second thing…. don’t snap at the collection agents when they call… they are just doing their jobs. I apologized for being a cranky pants the last time we “chatted”.

I was watching the news last night – in particular – the crazy weather that is happening around the world right now!

Snow in Dallas, Texas

Ice in Florida

Blizzards in England

What’s Global Warming!!

The other day a friend of mine from Fort Myers Beach in Florida emailed me to “brag” about their weather, “It’s 30 this morning,” she writes. I responded… “WOW, that’s hot, it’s minus 12 here!” It took me a day to realize that she was talking in Fahrenheit!

Being a Canadian, I think in Celsius.

It was then that I saw an image on the news with icicles dangling delicately from orange trees.

The CTV news correspondence in Washington, DC made me laugh. He finished off his story about all the strange, cold weather going on all over the US right now and says, “Canadians just call it, Winter”. Yup, that’s right. It’s just another normal winter up here. Maybe that’s why we have so many “Snowbirds“?! Just because we’re used to it… doesn’t mean we like it!

If you’re traveling this winter season to a location North of the 49th Parallel in particular… make sure you’re covered. I saw a whack of people sleeping in the airports in London, stuck there because they didn’t purchase the proper trip cancellation  / interruption insurance. That’s not how I’d like to spend my vacation!

Speaking of vacations… it’s been a great week at the cottage but it’s back to reality tomorrow. I hope you’re having a good start to 2010!

Ok, I’ll admit… I’ve been a bit consumed by travel insurance lately. Maybe because I’ve been bitten by the “you didn’t tell me you billed twice” thing with a US hospital. There’s something on my credit report, I’m waiting until Monday when things are open again to find out exactly what it is! I’m not impressed.

So I guess I’ve also been ranting at home about insurance and this whole ordeal because on Friday, my hubby gets a local business paper and the front page article is all about travel insurance, “Uninsured travel might sicken you.” Hubby throws it at me, “Here, add this to your blog!”.

I haven’t had time to read the full thing this weekend as there are only 5 days before Christmas and all throughout the house, all the creatures are stirring and even the mice! I have 4 kids, have I told you that yet?! 4 kids who are very very excited about Christmas Day. That’s to say it mildly!! lol

But here’s the gist,  it’s true, if you travel without travel insurance the costs could be enormous. Before you go away again, check with your insurance provider. If you have a credit card, you may and may not be covered. My sister went to Hawaii with her family and her husband got stung by a ton of jellyfish. They went off to the hospital and when she called the insurance part of her credit card company, she found out that they weren’t covered. Why? Because they didn’t inform the company about the trip before they left the country. So here they were, he’s burned all over his chest and arms and they have no money to cover the hospital bills.

That’s all I’m going to say about that for a while. haha yeah right!!

Single Trip or Annual Plan — which is best?

I used to work in a credit union and used to purchase out of country insurance through their cooperative insurance provider. Right before each trip, I’d take out a plan for that particular trip. It only took me a couple years to smarten up! Since I’m a frequent traveler to the US (3-4 trips to the US a year on average)… which plan do you think would have been best for me? It would have been nice if my co-workers would have suggested the annual family plan. Better yet, it would have been nice if I had put more thought into it myself…. think of the money I would have saved?!

An annual travel insurance policy or (multi trip annual plan) is the best option for frequent travelers.
If you made more than one trip this year, an annual plan offers comprehensive coverage at a reasonable cost. It protects you and your family for an unlimited number of trips during a period of twelve months. There is a wide choice of maximum number of days available on the market and an annual plan may be extended in case of longer absences. I typically purchases one that allows me to be in the US (or other nations) for at least 2 weeks and if the holiday is extended, I can simply phone up and pay for an extension.

In some cases, an annual plan may also include trip cancellation and trip interruption. The benefits of cancellation insurance are subject to a maximum of up to $3,000 per insured person per covered trips and $5,000 per year for trip interruption, subject to a maximum of $5,000 per insured person per trips. What if this amount is insufficient? You can simply request a higher amount of coverage for your trip cancellation and interruption.

What about baggage insurance? The basic rate includes basic coverage of $500. You can always increase it to properly protect your belongings. For example, if you are traveling with your golf bag (hubby’s happy he can finally do this since our kids are out of the stroller age) or other valuable items, you can increase your coverage for baggage insurance to protect it at its fair value and therefore for the trip.

A Multi trip annual plan is the most practical and economical travel insurance coverage. Benefits such as trip cancellation / trip interruption, baggage, can easily be adapted for every trip you make in the year. There are several products available to you, an expert in the field can recommend the best program adapted to your needs and your budget.

Not all insurance companies are alike. Shop around! The most expensive plan does not necessarily mean the best and likewise, the cheapest isn’t always the way to save money.

You put a lot of time and effort into getting the right life insurance policy right?!  You should put the same effort into getting the right travel insurance policy.

A little while ago, I posted a list of destinations that travel insurance companies like (outside of Canada). They discount the insurance costs for a few reasons, one being dependent upon the total cost of the trip and the other because they are safer locations to travel to. I asked my friend for another list, going on the other side of the coin…. what are the most expensive travel insurance destinations?

Many of the “most expensive travel locations” surveys rely on the Mercer’s cost of living study, which in 2009 revealed the most expensive cities in the world to be:

1)    Tokyo, Japan (I know first hand, I lived in Japan from 1990 – 1991)

2)    Osaka, Japan (My mom flew over to visit me, we traveled to Osaka in 1991. We had tea at the ANA Hotel and it cost us 1200 Yen nearly 10 yrs ago, close to $12 CDN!)

3)    Moscow, Russia

4)    Geneva, Switzerland

5)    Hong Kong, China

6)    Zurich, Switzerland (I know from experience again… traveled here with hubby back in 1999. We went for pizza and the bill came to over $100 US!!)

7)    Copenhagen, Denmark

By virtue of cost alone, travel to these cities may require a more expensive travel insurance policy.

The sorts of dangers one may face in the location will also affect the cost of the travel insurance policy. According to Forbes, in 2008 the most dangerous travel destinations in the world included:

1)    Somalia

2)    Iraq

3)    Afghanistan

4)    Haiti

5)    Pakistan

6)    Sudan

7)    The Congo

Other dangerous locations included Lebanon, Palestine and Zimbabwe.

I like to travel but I do not have a desire to visit these places any time soon!

The other reason travel insurance will cost you more is due to the time of the year you decide to travel in.  For example…. I’d make sure my policy included refunds for natural disasters and reimbursement for medical care and accidents if I were going to an area of the Caribbean or southern Florida during hurricane season!!

Did you know that the US, Belgium and New Zealand have the highest traffic fatality rates and so it may cost more to insure a rental car in those places?! Or that current CDC warnings can result in higher travel insurance rates?!

I didn’t know so many things played such a huge role in how cheap or expensive my travel insurance was!! We’ve purchased everywhere from the credit union I worked at to CAA but then I found one online that could get me a free trip! Click here to enter to win a Family Cruise for 4!!

Have you ever been injured while on vacation?

In 2008 we took the kids to spend 10 days in the Smoky Mountains. Nearing the end of our trip, the last day at Dollywood, I had an accident. Actually a couple….

When we first entered the park my hubby wanted to go hear a Gospel quartet, as we were waiting for it to start, my youngest child was wiggling like only a 2 year old can. In a matter of seconds of trying to get him to sit still, he flailed his arms and one of his hands made its way to my face and he scratched my left cornea. Man that stung!! I was a trooper though, I managed to make it to the first aid station and they patched my eye but I continued to walk the rest of the park with the family, to make sure they got to ride all the rides they had missed the 2 days before.

My superpowers were starting to wane later in the afternoon. When it started to rain, I drew the line and pulled rank that we were leaving the park. After we went for ice cream of course….

While we were sitting having ice cream I reached in for the camera and realized that I didn’t have it, after searching all over the place I decided to go to the lost and found and fill out a report.  As I was leaving the ice cream shoppe, I started to run (to keep dry from the downpour) when my flip flops went out from underneath me and I fell forward, directly onto my knees.  Who knew that when new asphalt with mega amounts of sealant spray on top of it gets slippery when wet??!!!

So here I am, a pirate patch over my left eye and I’m on all fours in the pouring rain in the middle of the amusement park.  I kept thinking to myself, “Don’t cry!” “Don’t cry!” and then I started to bawl, uncontrollable sobs! A man that was sitting at a table by the entrance to the ice cream shoppe quickly came to my aide and picked me up. My right knee was the size of a cantaloupe!! It had swelled up nicely.

Security was called – people wanted me to fill out accident reports… I just wanted to get home. They gave me an ice pack and put me in a wheelchair and wheeled me out of the park. A great last day at Dollywood.

By the time we got back to our resort, my eye was swollen almost shut and my knee was pounding. I decided the pain was too great for this super-mom to take so my hubby took me to the Emergency at the local community hospital. American hospitals are sooooo different than those in Canada (we were in and out within an hour)!!! But I’ll save that for another soapbox moment.

THANK GOODNESS I HAD TRAVEL INSURANCE!!

I am so thankful we decided to get out-of-country travel insurance at the last minute (thank goodness for the internet, we really leave things to the last minute!). With the particular insurance that we had, we didn’t have to pay a cent up front. When we got home, the hospital sent us a bill for our records and boy oh boy oh boy, thank goodness I had travel insurance!!! The tiny tube of eye cream was $80, this tube was smaller than the smallest sample tube of cream I have ever scene!! The rest of the charges equaled to what we paid to stay at our resort for two weeks!!!

So many times I’ve thought, “I never get hurt or sick on holidays”, “I never use the insurance I’ve paid for” and could have so easily decided not to purchase it this time. That would have been a huge financial mistake! I can’t imagine what people would do if they didn’t purchase travel insurance and got injured?? For me… it’s purchasing peace of mind!

So my travel tip to you today is…. take a few moments while planning your next holiday and purchase travel insurance.

Have you ever experienced that?

You’re finally on the ground, the feeling has returned to your legs and now you have to go get your bags. After walking what seems like miles, closely following the other hundred or so passengers like cattle down the long and narrow corridors… you come across this large oval shaped turnstile. I still have yet to be the lucky person who gets the spot that is the closest to the shoot where all the bags come out.

I also want to know why I’m usually in the first group of people to arrive at the baggage claim belt but the last one to get her luggage??? But that’s a side point and probably a mute one at that!

Have you noticed that all the bags rolling around that thing all look alike?!!

When I worked for Holland America (best summer job ever!), I vowed never to purchase black luggage because everyone has black so I bought navy. DOAH! That’s the 2nd favourite colour out there! Since luggage is not cheap to change every time you find that your colour is now “the” colour… I learned through my many years of sorting left over and lost luggage at the Vancouver Pier, the ones that were all taken… were ones with those tacky, flashy pom-pom’s or shiny, florescent duct tape or large brightly coloured ribbons streaming from the handle. The ones left behind… were the plain, boring, undescript, everyday looking bags.

So the first time my bags never showed up, I couldn’t understand why. My homage to everything Canadian was on the side of that bag, from Duct Tape to Large Canadian flags!! But it does happen from time to time – and as annoying and stressful as that can be, having baggage insurance so I could get compensation from it was awesome!

The inevitable is going to happen! Have you seen that youtube video about the air carrier who ruined the guys guitar?? Those people handle your bags…. keep that in mind!

I just remember now to always pack an extra pair of “you-know-what’s” & my travel insurance papers in my purse, cause you never know how long it’ll take before they find it… if they find it!

What’s your worst lost / damaged luggage story?