It has been often expressed that it is worthwhile to take travel insurance to cover for medical treatment and emergency recovery while in international transit. A few credit cards do not cover for medical emergencies and treatment costs spent on the other side of the boundaries. Of course, international cost is not usually covered by ordinary health insurance.
Credit Card Travel Insurance vs. Ordinary Travel Insurance
Every other day, we get calls from different financial institutions offering credit cards. Credit cards are a preferred way for banks/NBFCs to make sales & revenue. These cards have the most significant part to play in the money-making process.
We understand how plastic cards can simplify your traveling. This is an experience in itself. In the older days, traveler cheques were used for traveling abroad and signed at multiple points. The plastic cards have completely revolutionized the world of international financing. Traveling abroad is way easier with handy plastic cards, creating a lifetime experience.
However, the travel insurance we are referring to entails an annual fee for usage.
The financial market is quite competitive and which is why the lenders pitch their product with attractive offers. Sometimes, they also offer complimentary travel insurance which has its own limitations. Standalone travel insurance does not come for free, which means it will have an annual fee attached. Complimentary insurance comes handy with a higher limit card (Gold or Silver cards) and excludes relevant provisions of single travel insurance.
Read More: Best Travel Credit Cards in India
What is Travel Insurance & who needs it?
You must have heard people saying how taxing it can get to travel without travel insurance. The travel insurance is way more important than the actual travel plan. However, this is no exaggeration, it’s a mere reality. The ones who’ve taken a trip without insurance will actually reveal their plight.
A lot can go wrong when you’re traveling insurance free. Not all the experience across the boundaries can be pleasant. Your associated companies can run down in a matter of minutes. Natural calamities can cause you damage, both physically and financially. You can be ripped off without intimation. It’s good to account for all the unfortunate incidents which can ruin your trip. In fact, your general health could become questionable during the trip.
All the above issues can cost you a huge sum of money, effort and time. This is especially true if you do not have a sanctioned travel insurance. So, whenever you hear from people that travel insurance is not required, they either haven’t been in a difficult situation before or haven’t researched enough.