A recent study on summer travel by BMO Insurance found that while 83 per cent of Canadians plan to take a vacation this summer, only half of Canadians who travel will purchase medical insurance.
While the average spent by Canadians on vacations to popular destinations including United States, Europe and Central and South America will be $3,073, travellers are potentially leaving themselves and their families facing much higher costs should they get sick or have an accident while travelling.
Getting sick while out of the country can be very expensive. The cost of treating a broken leg in the United States, for example, can be up to $20,000, while an air ambulance from Florida to Ontario can run up to $15,000 (as reported by Global News). Even within the country, Canadians may not be covered for all required medical care when travelling to another province.
According to the Canadian Life and Health Insurance Association, group health insurance through your employer, union or professional association may cover out-of-country hospital or medical expenses, but people should always check to see what is covered and what is excluded before they leave for their vacation.
For example, check if policies cover the entire length of your absence from Canada or your home province and, if you extend your stay, can your policy be extended.
It’s also important to know what types of restrictions your policy has. Are there exclusions for specific activities or events such as sports, war, suicide or substance abuse? Know if your policy will pay for an emergency return home, and if you’re travelling with others, if each each person will need a separate policy. Are certain countries or locations not covered and does your policy provide for trip cancellation, baggage loss and other damages?
Some policies will not provide coverage for medical conditions that exist before your departure. This includes conditions for which you have seen a doctor or received other treatment recently. Other policies may provide coverage for these conditions but on a limited basis.
Look for a travel medical policy that includes medical and dental coverage, air ambulance, private duty nurse expenses and airfare and lodging for a family member to fly out to be by your side. As well, be sure you understand who pays. Some insurers pay the doctor directly while others require the traveller to pay up front and then get reimbursed later.
And read the fine print. Make sure your policy covers you for all trip activities and is valid for the duration of your trip.
“Unless you and your family are covered through other means, it’s critical to make sure you have travel medical insurance because emergencies can happen anytime, anywhere,” says Julie Barker-Merz, vice president and chief operating officer of BMO Insurance “Making sure you have travel medical insurance should be a high priority item on any traveller’s vacation to-do list.”
To learn about insurance training for Canadian insurance agents, visit ILScorp.com
Excerpted from Global News. To receive more daily news updates from the Canadian Insurance Industry, visit ILSTV.com
