Most people opt out of the travel insurance every time they book a flight because they think it’s expensive. But the hard fact is, it's cheaper than paying out of your own pocket during emergencies.
It exists as a precautionary airbag when an unforeseen circumstance occurs. Did you know your ₱40,000-worth laptop can be replaced if it gets lost because you purchased an insurance worth ₱450? Yup. But this handy protection can do more than insure your baggage and belongings.
Travel insurance, simply put, is coverage or how much the insurer will pay or reimburse you in case you end up injured in a manhole in the middle of Cebu City or when you missed your flight to Palawan because you got sick, a family member got sick, or some other unfortunate event which is beyond your control like a strike in the middle of EDSA happens.
Travel insurance coverage
Travel insurance coverage can vary from one insurer to the other. Always look for features that are most important to you. Here are some features you might want to include, depending on the nature of your trip:
1. Will the insurer cover the costs of flight delay, flight cancellation, baggage loss or theft?
2. Will the insurer cover the costs of the hotel reservation I made in my destination in case of flight cancellation?
3. Will the insurer cover the cost for when I missed the flight because of a strike?
4. Will the insurer cover medical expenses I made because I was injured during my trip?
5. Will the insurer cover hospitalization in case I had an accident doing extreme sports during the trip?
Travel insurance premium
A travel insurance premium is the amount of money you need to pay the insurance company for taking the risk off your shoulders when an accident or unforeseen circumstance occurs. One of the cheapest travel insurance in the Philippines today costs ₱250, but in paying that small amount, you can claim up to ₱1 million in case of a personal accident.
Travel insurance deductible
A travel insurance deductible is the amount you need to pay out of your own pocket before the insurance coverage kicks in. To put it in context, HSBC and AIG offer up to ₱150,000 of insurance for an emergency trip termination but you need to shoulder the first ₱500 (deductible) when you make a claim.
Want to know which travel insurance plan suits you best? Compare travel insurance with GoBear, the only unbiased website that will help you find the best offers for your needs.