The 6 most common travel mishaps, according to an insurance CCO
Travel doesn't always run smoothly. We asked PassportCard for the most common inurance claims they see.
| THIS ARTICLE WAS CREATED IN PARTNERSHIP WITH PassportCard |
There aren’t enough Excel spreadsheets in the world to prevent random incidents on holiday – they happen to the best of us. So it’s wise to prepare in other ways.
Matthew Murdoch has heard every travel story under the sun. As chief customer officer at PassportCard, he’s well versed in the trials and tribulations that can lead to travel insurance claims.
“We’re a new, innovative travel insurance company in Australia with the ability to support our customers when they’re travelling anywhere overseas,” says Matthew. “Our unique value proposition is the PassportCard, as it allows us to make instant payouts to customers for our most common types of claims when they’re overseas.
“We issue a physical debit card with a nil balance to our customers when they purchase a policy. Then, if they need any help when they’re overseas, they call the 24/7 team. If they experience one of those common claims, we can just put money onto the card in real time and they can use that to pay for the costs.”
This process is quite new to Australians, as most travel insurance companies work the other way around – you pay out of your own pocket first, then wait to see if you’re reimbursed. Instant cash to alleviate financial stress when you’re already panicking about a holiday hiccup? Sounds ideal.
So what are the most common forms of travel turmoil? We asked Matthew to break it down.
Matthew Murdoch, PassportCard Chief Customer Officer.
1. Unexpected illnesses and accidents
It’s practically impossible to anticipate a mystery illness when you’re travelling. And unfamiliar territory can lead to spontaneous decision making that’s dubious at best.
“Sickness overseas accounts for about 30 per cent of overall claims, particularly gastrointestinal issues or respiratory infections, so things like cold and flus,” Matthew explains. “We have a lot of claims data so we know how much it costs to see a doctor in New York, for example. We then put that amount of money onto the card and our customers can pay the doctor on the spot, without being out of pocket.”
While there’s no way to predict when and if you’ll get sick as you gallivant around the globe, having a backup plan for worst-case scenarios can offer a certain level of comfort.
You never know when accident or illness will arise. (Image: Andrei Mike)
2. Stolen items
Whether it’s happened to you or someone you know, frequent overseas travellers are no stranger to their possessions being targeted by sticky fingers.
“In cities where tourists kind of stand out, where there’s a lot of foot traffic, like Rome, Paris and Barcelona, we see a lot of pickpocketing,” says Matthew.
“Usually it’s luck of the draw; they’re pretty smart and pretty tricky, a lot of these pickpockets. We will usually ask our customers if they reported it to the police or authorities to get an idea of the circumstances, but as long as they’re keeping reasonable care of their items that’s totally fine.”
Again, ensuring you’ve sorted travel insurance prior to a trip can save many a headache, both literally and figuratively.
No matter where you are, things can be lost or stolen. (Image: Dino Reichmuth)
3. Damaged, delayed and lost luggage
Unfortunately for us, we can’t embark on a holiday with everything we own strapped to our bodies. There are times when we have to be separated from our luggage and possessions, which is exactly when they can get misplaced or damaged – primarily during transit.
Matthew says, “It could be lost by the airline, it could be that you’ve misplaced your items and are unable to retrace them, or it could be damaged items.
“We had one the other day we see quite frequently – this person put fish sauce in their luggage. And when that’s put in the check-in bag it tends to destroy the contents.”
Ideally, unless it’s some rare form of fish sauce that can’t be sourced anywhere else in the world, we should leave the condiments out of our bags.
“There are specific limits we have in our policy, so if you’re flying and your bags are delayed by the airline, we’ll put an immediate payment onto your PassportCard so you can go out and purchase some toiletries, replacement clothing – all the essentials you need to get by while your bags are delayed. Depending on the length of delay, those limits will increase over time,” Matthew says.
While that by no means insinuates a shopping spree in lieu of your luggage, it’s comforting to know that you won’t be sans toothbrush for too long.
It’s not always possible to avoid lost luggage. (Image: Yousef Alfuhigi)
4. Cancelled or delayed plans
There’s no way to prevent life from happening and, occasionally, that includes travel plans falling through. A good rule of thumb to minimise the fallout is to ensure the trip is completely decided on, and that no one involved is likely to have a change of heart.
“If it’s something that’s outside [a traveller’s] control and unforeseeable when they purchase their policy, then we’ll always look to consider that,” Matthew explains. “If they’ve just changed their mind or have a change of plans, then that’s not something we’d typically look at.
“We see most people take out a policy about two weeks before departure, and I think the important thing to keep in mind is that if something goes wrong before departure, you’ve got that in place to cover you if something unforeseen happens before you leave.”
This might be a sign to adopt the mannerisms of an organised holiday-maker who has considered every minor detail.
Sometimes, travel plans simply fall through. (Image: Jeshoots)
5. Dental work
No, this doesn’t include elective surgery for those seeking a straighter, whiter smile. It does, however, include unexpected problems that impact your teeth.
“If you’re overseas and you suffer a new condition that’s related to your teeth, we will cover the emergency costs to get that looked after,” Matthew says.
“We typically see people who are eating and a tooth might crack, or develop an infection that wasn’t chronic or ongoing beforehand. The policy will look to cover and support our customers for that treatment they need overseas.”
Be covered for dental emergencies. (Image: Benyamin Bohlouli)
6. Loss of income
Knock on wood, but if something happens while on vacation that prevents a traveller from returning to their place of employment – whether that’s an accident or an illness – PassportCard can cover the loss of income up to a certain amount.
To prevent or minimise the risk of any of these situations popping up, Matthew has some sage advice. “Research and research and keep researching. You want to make sure you look at the culture, the customs, the attractions and what the typical risks are in those areas.
“I also look at embracing technology, so if I’m travelling and I want to look at some offline maps or translations – things like phrases to get me by in some of these areas – then I feel it always helps manage the risk when travelling overseas.”
Travel doesn’t always run smoothly. (Image: Gerrievander Walt)
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