Are you willing to hit the road without travel insurance?
Most Canadians don’t think twice about the need for car insurance, but many are willing to take the risk of travelling uninsured, according to a survey from American Express Canada.
Only 59% plan to purchase travel insurance prior to taking off on their next trip, which isn't that surprising considering that 30% (42% of those 18 to 34) admit that they’ve actually never purchased such coverage.
What's holding them back? Well, they're not sure whether they're getting a good deal or not (72%), think there's too much jargon and don't understand what coverage includes (66%), and that it's just too complicated to compare one product to another (65%).
And, even when they do buy, it's tough to collect. At least that's what one Toronto man argues, even though he may not have been completely forthcoming during the application process.
Here's one experienced agent's suggestion on how to approach vacationers.
"It took me more than 20 years to figure out how to sell insurance. There were times I’d talk about the trip of a lifetime for 45 minutes and then spend an hour and a half discussing insurance. I got really tired of doing that, so I distilled it down."
He now asks clients simple questions such as whether everyone in their family is currently healthy and whether the clients are willing to take a financial risk, and then makes his recommendation. "It takes about three or four minutes now," he says -- hardly advanced financial planning.
Do you usually buy extra insurance when you travel? Have you ever had to make a claim? Were you satisfied with the result?
By Gordon Powers, MSN Money
Posted by: Doug | Jan 21, 2022 12:22:29 PM
My wife & I, being retired, are frequent vacation travellers and always carry travel Ins. However, we have been hearing so many horror stories about folks our age being denied large medical claims because of any small, nit-picking, honest mistake they made in the original policy application that I am wondering if the policy is worth it.
Posted by: barrie willis | Jan 23, 2022 8:11:18 AM
After a visit to a US emergency room and being billed for $5000. I now have yearly travel ins,we had just gone to the Us for the day and my wife only fainted ,still cost 5k to be checked out.
Posted by: Phil | Jan 23, 2022 10:56:32 AM
Not to get travel insurance is Russian roulette. Could lose your house, all your savings, ect. Also need to be totally honest when applying. The insurace company will check your medical history very, very carefully.
Posted by: Frank | Jan 23, 2022 4:41:51 PM
A lot of destinations now will not accept Canadian Travel Insurance because they have been screwed over so badly by the Canadian Insurance Companies. They want Cash and leave it to you to fight with the insurance company. There have actually been situations where people have been jailed or detained till payments were made. I am speaking from personal experience. The Canadian Insurance Industry needs to be investigated and overhauled but I doubt our government is willing or capable.There are still some reputable companies but do your homework. Safe Travels!
Posted by: Margaret | Jan 25, 2022 12:37:37 AM
We regularly travel all over the world and always take out travel cancellation and medical insurance.When we had to cancel a trip last fall for medical reasons 4 weeks before our departure and submitted our claim to the Royal Bank Insurance, a cheque for the full amount was issued in 3 days.
Posted by: Brian | Jan 25, 2022 5:06:11 PM
I travel to the USA about once a week and have always had travel insurance. However, I am so intimidated by the insurance companies and medical system that I would do anything not to claim. I once drove back from Florida because I had an ear infection and did not want to try the SYSTEM.
Many of the people I talk to either will not travel anymore or do not buy any insurance as the the cost is too high if you have any preexisting condition or are over 70 years old.
The medical system and associated insurance companies have managed to ruin the quality of life for many seniors.