Four strategies to minimize travel insurance expenditure:
Let's Get Travel Insurance Savvy
Listen up, mate! Travel insurance isn't a luxury, it's a necessity, yet it usually gets shafted to the backburner amid all the trip excitement. Well, we're here to change that. CHOICE travel insurance expert Jodi Bird drops some top-notch tips to help you save on your insurance, ensuring you get the best bang for your buck.
1. Compare Policies like a Pro
CHOICE has compiled travel insurance reviews for over 30 insurers, juxtaposing benefits, average policy costs, medical expense limits, and a slew of other criteria. We've plunged into heaps of product disclosure statements, recommending policies that offer Aussie globetrotters value beyond just price.
"The costs for the same level of coverage vary significantly," warns Jodi. "Broaden your search and don't settle for the cheapest option."
Pick the Right Policy for Your Destination
- Best for Bali
- Best for Fiji
- Best for Japan
- Best for New Zealand
- Best for Singapore
- Best for Thailand
- Best for USA
- Best for UK
2. Don't Shy Away from Compromises
While medical coverage is crucial, there are optional features you can probably ditch, lowering your premium. If you're not splurging on your trip or traveling with expensive gear, considering reducing coverage for cancellations, delays, and baggage.
"If you're hitting the backpacking trail in Vietnam instead of splurging on a luxury cruise, there's no need for maxed-out coverage," explains Jodi.
3. Check if Credit Card Offers Coverage
Several credit cards come with complimentary travel insurance, but these offerings might not be entirely free. Some cards require a minimum trip spend (say $500) to activate the insurance. Check the conditions to ensure you're covered.
4. Look for Discounts from Your Current Insurers
If you have existing home, car, or health insurance, your provider might offer travel insurance at a discount. In some cases, you could save up to 15%!
Bear in mind that travel policies from various providers are often the same but branded differently, so you might earn discounts as a Medibank member or a Qantas frequent flyer.
5. Don't Forget Your Annual Policy Review
Insurers tend to hike up renewal prices, so it's essential to review your policy each year, compare options, and negotiate for better deals to avoid hefty premium increases.
6. Ask Questions and Seek Clarifications
If you find terms or conditions blurry, don't hesitate to contact your insurer for a clear and understandable explanation. Being well-versed in your coverage helps avoid potential surprises.
Save, Secure, and Save Some More
CHOICE has been championing Australian consumers since the '60s. Unlike others, we're unfettered by ads, sponsorships, or self-interest, offering expert reviews, independent product testing, and unbiased advice.
Join CHOICE membership today to propel your travel decisions and gain valuable insights!
FACT-CHECKING AT CHOICE
The enrichment data includes tips about buying travel insurance early, understanding the coverage and exclusions, shopping around, avoiding the loyalty penalty, asking questions, and policy review.
- Before purchasing a travel insurance policy, it's recommended to read the privacy policy to understand how your personal data will be used and protected during the process.
- If you have a health insurance plan, one financial aspect to consider when choosing travel insurance is whether your health insurance covers you overseas, as this could potentially reduce the amount of health-related coverage needed from a standalone travel insurance policy.
- When evaluating travel insurance options, consider how the insurance might impact your lifestyle as well. For example, if you are a frequent traveler with a busy schedule, a policy that offers fast claim processing and online account management might be more beneficial to your lifestyle.
