When is the best time to buy travel insurance?
Generally, the earlier you buy your travel insurance policy the better, for two main reasons:
1) To get the most out of your Cancellation Cover
One of the primary benefits of purchasing your travel insurance policy early is that you can have cancellation cover for a longer period of time.
The cancellation benefit provides cover for any deposits you’ve already made, so that if you experience an emergency and can no longer travel, you’re able to claim for those prepayments up to the maximum allowed by your policy.
The types of deposits you may be able to claim for are:
- Flights
- Accommodation
- Tours
- A cruise
- A rental car
- Tickets to sporting events
- Festival tickets
The types of emergencies that can lead to cancelling your holiday vary. You may need to make a claim for cancellation because:
- You become sick
- You injure yourself
- Your child, parent or another relative becomes sick or injured
- Your travelling companion becomes sick or injured and is no longer able to travel with you
- A natural disaster occurs which leads to your airline cancelling your flight
- You’re involved in a traffic accident on the way to the airport
Depending on your holiday plans, you could be left hundreds or thousands of dollars out of pocket if you unexpectedly have to cancel your trip and cannot get a refund.
If you have travel insurance that provides cover for cancellation, you can be confident that you have cover for the deposits you’ve made for your holiday.
2) To avoid unexpected expenses
Another key benefit of purchasing travel insurance earlier is you have cover for unexpected emergencies which can increase the likelihood of you spending more money than expected overseas.
For example, if a natural disaster occurs at your destination after you purchase your policy, you’ll likely have cover for cancellations or any additional costs incurred such as special event transport expenses.
