5 Tips on Choosing the Right Insurance

One-size-fits-all doesn’t apply to luggage – or travel insurance. Choosing the coverage that best matches your clients’ needs can help ensure they have a trip where their biggest worry is which level of sunscreen to use.

Here are five key considerations to keep in mind when choosing a plan.

1. Consider the most common claims. Did you know that more than half of travel insurance claims are related to trip cancellation? According to a recent article in Forbes Magazine, data shows the top claims are for:

- Trip cancellation
- Medical expenses for emergency illness and injury
- Reimbursement of certain trip costs if a trip is interrupted • Reimbursement of certain costs if a trip is delayed

It’s no surprise that trip cancellation tops the list. According to a recent travel survey, 88% of Americans who purchase travel insurance say that trip cancellation protection is the most valuable benefit they receive from these policies. Whether your client has a family emergency, a snowstorm grounds their plane, or they’re called for jury duty, trip cancellation and interruption insurance can potentially save your clients thousands of dollars.

2. Review the plans available. Depending on what type of trip your client is taking, how long they’re going for, and the people they may be travelling with, there is likely a plan that’s right for them. Manulife, for example, offers:

- Emergency Medical
- All-Inclusive
- Baggage Loss, Damage & Delay • Trip Cancellation & Interruption • And more

3. Review existing coverage. Even if your client has travel insurance with their credit cards or work group plan, there could be gaps. Have them review the details to spot any exclusions or restrictions that may require them to top up their coverage.

4. Read the contract. Once there’s a plan in place, have your client read the policy in full so they know exactly what’s covered – especially if they’re into adventure travel, like rock climbing or parachuting, which may not be covered. If they’re travelling somewhere remote, like the deep woods, mountains or rainforest, make sure the policy covers evacuation costs to find and move them to a medical facility, if necessary.

5. Get a substantial coverage limit. If your client gets a policy with a $20,000 coverage limit, that amount might cover $14,000 for an ankle fracture in Mexico, but not $28,000 for appendix surgery in Ireland, or $195,000 for a heart attack in the United States. So try to get the most coverage that fits within their travel budget.