Among the numerous travel insurance options available for overseas trips, here's how to smartly choose the best one for you, whether you have encountered travel mishaps before or are currently worried about your upcoming trip:
1. Flight delays or cancellations
2. Delayed luggage causing late arrival at your accommodation
3. Accidentally shattering your phone screen
4. Falling victim to pickpocketing at crowded tourist spots
5. Contracting food poisoning from street food and requiring treatment at a foreign hospital
To prepare for unexpected incidents like these, many travelers opt for "travel insurance" to protect themselves. However, when looking into travel insurance policies, you may encounter an overwhelming number of options. So, how can you make a smart choice for the travel insurance that suits you best? Today, we will explain the process of finding the right travel insurance for your needs.
How are travel insurance policies categorized?
Travel insurance policies are generally divided into two categories based on the duration of your trip. For trips lasting less than three months, you have "short-term travel insurance," while trips lasting over three months fall under "long-term travel insurance." Within these categories, you'll find four types: standard, basic, economy, and premium.
What does travel insurance typically cover?
Travel insurance coverage is typically divided into three main areas:
1) Reimbursement for sudden accidents or illnesses, including medical expenses and death benefits.
2) Compensation for stolen or damaged belongings.
3) Coverage for unexpected expenses due to flight delays, trip interruptions, terrorism, etc.
How to choose the right travel insurance for your trip purpose?
Since each insurance plan has different coverage limits and conditions for each item, it's essential to compare different policies thoroughly before making a decision. For short trips, most policies offer similar coverage, so you should check if the policy includes the compensation you want and select the one with the most affordable premium. For long trips, where various situations are more likely to occur, carefully examine the coverage details.
For instance, if you are traveling to countries with high medical costs like the United States or Europe, it may be advantageous to choose a policy with higher coverage for medical expenses. If your destination is known for frequent theft, selecting a policy with higher coverage for lost belongings is a good idea.
Where should you purchase travel insurance?
In the past, travelers had to go through travel agencies to get travel insurance, but now, thanks to mobile apps and online platforms, you can easily compare various insurance policies from different providers at once. Some travel information providers and travel agencies offer discounted travel insurance plans in advance, allowing you to find more cost-effective options.
Additionally, since the introduction of "Simple Loss Insurance Agency" system in May 2018, getting travel insurance has become more convenient. When purchasing through a travel agency rather than an insurance company, you become the "insured party," and the travel agency acts as the "contractor," simplifying the process significantly.
What to do when filing an insurance claim during your trip?
If you use a foreign hospital's services, you will need prescriptions, medical certificates, medical bills, and receipts for medical expenses to claim reimbursement. If your smartphone or wallet is stolen, promptly report it to the local police and obtain a confirmation document to be eligible for compensation.
Since the required documents may vary depending on the insurance provider, it is advisable to contact them immediately after the incident occurs. Be sure to familiarize yourself with the dedicated overseas contact number or online claim procedures before departure to handle any emergencies promptly.
Traveling overseas has become increasingly popular among South Koreans, with the number of travelers approaching 30 million annually. However, the number of travel insurance policies taken out does not match this growth. Nowadays, with the convenience of mobile apps, you can purchase insurance for the price of a cup of coffee, making it easy and essential to get covered for any unexpected incidents during your trip. Before you go, remember these five important points for choosing and utilizing travel insurance effectively!