Summer is around the corner! Are you fed up with your ticky-tacky daily life in this concrete jungle? Are you planning to spend a few days in an exotic country and catch your breath?

Singaporeans, according to the statistic in 2017, on average travel 5.2 times a year! It can also be translated to an overseas trip in almost every other month!

But do you know there is also an increasing number of flight disruptions since the first half year of 2018? Up to 4,494,000 passengers had experienced serious flight delays and cancellation in a mere half year. In many countries, the number of flight delays and cancellation had increased by 40% compared to 2017.

And for natural travelers like us, there’s nothing more frustrating than an unpredictable inconvenience during our overseas trip. Although the coverage provided by travel insurance agency cannot fix these inconvenience we encountered, it can at least compensate part of our loss.

Do I have to buy standalone travel insurance if I already have free credit card travel insurance?

Some of the credit card policies will include free travel insurance. You might wonder if an additional standalone travel insurance is needed in that case.

Well, It depends.

Technically, these so-called “free” travel insurance isn’t free either—-it’s just included in your credit card fees. However, they can still save you some money as on average cheaper than standalone travel insurance.

But is the cheaper the better? standalone travel insurance can provide a relatively broad range of benefits, including:

• a higher level of coverage
• higher claim limits
• cover journeys up to 12 months (while credit cards travel insurance usually cover only less than 1 month)
• cover valuable belongings
• personalized coverage is available (coverage of pre-existing conditions, risky activities……etc)

For your reference, you can also take a look at a comprehensive and detailed comparison of credit card travel insurance and standalone insurance here.

To sum up, if your trip is a short one and your destination provides developed but affordable healthcare system, credit card travel insurance with BASIC coverage should be enough.

On the other hand, if you are looking for travel insurance which is more than that, a standalone travel insurance should serve you better.

Now let’s take a look at what you should take note of while choosing your standalone travel insurance.

Does your insurance cover flight delay or cancellation?

Flight disruptions, I would say is the most annoying among all. Among all the countries, airports in Jakarta, Mumbai, and Hong Kong experienced the most frequent flight delays and cancellation. Are you traveling to these places? If yes, then better be prepared for a long wait at the airport!

fortunately, most travel insurance will cover this inconvenience. While flight cancellation coverage is around 5,000-15,000 SGD, you can only claim flight delay coverage when the delay is longer than 6 hours and you’re not the reason of the delay.

#2 How about baggage loss and/or damage?

Baggage loss and/or damage can be a huge loss if you bring expensive items such as camera gears, digital products, or sports equipment with you. You can claim baggage loss and damage if it’s caused by an accident during your overseas trip or by airline.

In order to have a successful insurance claim, you have to provide the original invoice of the lost item. Therefore it’s important not to throw the receipt of your valuables!

#3 Do you have special medical demand?

Do you have any pre-existing medical conditions? Are you pregnant or over 65 years old? If you are one of the types of people mentioned above, the insurance company WILL NOT pay you for your medical treatment incurred in overseas arising from your pregnancy or pre-existing illness.

Therefore, a specified insurance plan is required if you fall into this category.

#4 How much is overseas medical coverage

Another point you should also be aware of is the medical coverage provided by your travel insurance. While a standard claim of standalone travel insurance medical coverage could be up to 200,000 SGD, credit card travel insurance can restrict cover to less than 700 SGD. It’s also a point where you can think of whether you should buy standalone insurance or use your existing credit card insurance.

However, insurance companies usually won’t cover medical expenses from injuries caused by sports and activities. Is your trip consists of schedules like mountaineering, bungee-jumping, or skiing? If so, then you might want to choose a plan which covers that.

I’m already busy scheduling my trip! I don’t have enough time comparing different travel insurance!

Ordinary people are passive learners who can’t be bothered to put effort into achieving their goals.

Smart people are willing to learn and research before making the smartest decision.

Wise people, on the other hand, will find a simpler, easier, or faster way to achieve their goals.

This can also translate to harnessing the resources and people around you.

Are you the type of person who doesn’t have enough time going through every line of the insurance policies? Do you want to spend as much time on trip planning as possible instead of finding travel insurance that suits you? Are you the type of person who:

• Have little or no time researching for the best and affordable insurance plan
• Have limited financial and insurance expertise
• Had already done some research but require a piece of comprehensive advice before your final decision

If the description above sounds pretty like you, then the help from the professionals can be a WISE choice to save time and money. These professionals or so-called financial advisors are here to assist you through any confusing concepts or doubts.

The insightful advice from these professionals can provide you with valuable financial directions to the best of his or her ability, so you can focus more on your priorities: your trip planning, your work, and the time spending with your loved ones.

Book a consultation from your most trust-worthy adviser, and enjoy your upcoming overseas trip!

Share our infographic below now!

If you find this article useful, look out for our  InsurBites editions so you’ll always be at the forefront in all things financial planning! Alternatively, you can also:

1. right-click to the infographic below and save it to your device
2. Share it on social media or directly forward it to your friends who’re going to travel overseas this summer!