What You Need to Know About Exclusions for Travel Insurance

Travel insurance is an essential safety net for anyone planning a trip, but understanding the fine print is key. One of the most important aspects to look at when purchasing travel insurance is the exclusions; or the situations where the insurance will not cover you.?

Whether you’re travelling abroad, going on an adventure, or simply taking a vacation, it’s crucial to understand what could be excluded from your coverage.

?We thought we would unpack what you need to know, to ensure you don’t get stuck in a foreign country without any cover. Here’s everything you need to know about exclusions, and what you should consider if you’re a higher-risk traveller.

General Exclusions: What You Should Expect

Travel insurance policies often come with common exclusions that can vary depending on the insurer. However, many exclusions include:

??Pre-Existing Medical Conditions

Insurance providers frequently exclude coverage for injuries or illnesses that arise from pre-existing medical conditions. If you have a chronic health issue, such as diabetes, heart disease, or a previous surgery, it's important to disclose this to your insurer upfront.

??Tip: If you have a pre-existing condition, inquire about options for "waiver of pre-existing condition exclusions". Some providers offer this with additional coverage or for an extra premium.

??High-Risk Activities

Certain activities are considered too risky for standard travel insurance. These may include extreme sports like skydiving, rock climbing, scuba diving, or skiing in unmarked areas. If you plan on engaging in these types of activities, make sure to check if the policy covers them.

??Tip: Look for travel insurance that offers specialised coverage for adventure sports or hazardous activities if you plan on engaging in high-risk activities.

??Acts of War or Terrorism

Most travel insurance policies do not cover expenses related to events like war, civil unrest, or terrorism. If your destination is affected by political instability or a natural disaster, you might find that your travel insurance doesn’t cover trip cancellation, delays, or evacuation costs.

??Tip: Some travel insurers offer additional coverage or “terrorism coverage”, but you need to ask specifically about it.

??Alcohol and Drugs

Travel insurance will typically not cover incidents that occur while under the influence of alcohol or drugs. If an injury or emergency happens while intoxicated, it’s unlikely that your insurance will cover the costs.

??Tip: Always check the terms of your policy regarding alcohol-related exclusions and avoid any activities that might jeopardise your coverage.

??Exclusions for Scooter and Motorcycle Rentals

In many cases, travel insurance policies exclude coverage for accidents involving scooters or motorcycles, especially if you’re not following local laws or guidelines. Some policies might cover you if you’re involved in an accident, but only if you meet certain conditions.

Common exclusions include:

·?No helmet: If you’re not wearing a helmet (which is required by law in many countries), your insurance claim could be denied.

·?Unlicensed driving: If you don’t have the proper licence for driving a scooter or motorcycle, most policies will not cover you in the event of an accident. Some countries may even require you to have an international driver’s permit (IDP).

·?Engaging in reckless driving or riding outside of standard road regulations: If you’re riding recklessly, intoxicated or off-road (outside of designated areas), your insurance may refuse to cover the incident.

??Tip: Always check if your travel insurance covers scooter accidents. If you're planning on renting a scooter, ensure that the policy specifically includes coverage for motorcycle or scooter rentals.

What to Consider when Travelling with Higher Risk Factors

If you’re considered a higher-risk traveller due to age, pre-existing conditions, or planned activities, there are specific things you need to take into account when purchasing travel insurance:

??Medical History and Age

Travellers over a certain age or with pre-existing medical conditions should carefully review their policy's coverage limits. Insurers may impose higher premiums, offer reduced coverage, or even exclude some conditions outright.

??Tip: Some insurers specialise in coverage for older travellers or those with pre-existing conditions, so shop around and find the best policy for your needs.

???Destination Considerations

Where you’re travelling matters when it comes to exclusions. Countries with unstable political climates, or areas known for high rates of natural disasters, may have exclusions or higher premiums.

??Tip: Always check the travel advisories and make sure your insurance covers any potential risks specific to your destination.

???Trip Cancellation and Interruption

If you’re travelling with a pre-existing condition, there could be exclusions around trip cancellation or interruption. For example, if you need to cancel due to a health issue that existed before you purchased the insurance, the claim may not be honoured.

??Tip: Consider “cancel for any reason” (CFAR) coverage for added protection in case your plans are disrupted by unforeseen circumstances.

??Risky Activities and Adventure Travel

If your travel plans include high-risk activities like hiking, skiing, or scuba diving, you’ll want to ensure your policy offers the appropriate coverage. Many standard policies exclude coverage for activities like these unless you purchase a rider or specialised policy.

??Tip: When booking travel insurance, explicitly mention any adventure activities you plan to do, and make sure those activities are covered under your policy.

Air Ambulance and Travel Insurance: What You Should Know

While it’s easy to focus on exclusions like pre-existing conditions or high-risk activities when choosing your travel insurance, one crucial aspect you shouldn’t overlook is emergency evacuation—particularly air ambulance services. If you’re travelling in a remote or challenging location, or if you’re engaging in risky activities, the need for rapid medical transportation could be a game-changer.?

Some travel insurance policies might not cover the full cost of an air ambulance, or may have strict requirements about where and when this service is available. Without proper coverage, you might find yourself stuck with a hefty bill for emergency evacuation – an expensive service that can easily reach tens of thousands of dollars.?

Before you leave, make sure you contact your insurer and ask about specific air ambulance provisions before your trip, especially if you have any health concerns or plan to visit areas with limited medical infrastructure.

How to Avoid Surprises: Tips for Choosing the Right Coverage

To avoid surprises and ensure you have adequate protection, here are some tips when reviewing your travel insurance policy:

· Read the fine print: Understanding exclusions is as important as understanding what’s covered.

·?Disclose all relevant health information: Being upfront about pre-existing conditions or any higher-risk activities is essential for ensuring you get the right coverage.

·?Compare policies: Not all travel insurance policies are the same. Compare the exclusions, coverage limits, and premiums to find the best option for your needs.

·?Consider a policy with comprehensive coverage: A comprehensive policy will offer more flexibility, including medical coverage, trip cancellation, and emergency evacuation, which could be especially important if you're at a higher risk.

The Bottom Line

Travel insurance is designed to protect you from the unexpected, but to make sure you’re fully protected, you need to be aware of the exclusions in your policy. By understanding these exclusions and considering your personal risk factors, you’ll be able to make more informed decisions about your coverage and enjoy your travels with peace of mind.