Working out which travel insurance is right for you can be a challenge, and when it comes to seniors travel insurance it gets even more complicated.

Older Australians are travelling more than ever before, but they have several extras to consider, with insurers setting different criteria depending on your age and pre-existing medical conditions.

If you are over a certain age, some travel insurance policies may only cover you for a particular length of time overseas – such as three months – so it’s a good idea to check the fine print.

It’s very important for seniors to compare travel insurance policies – especially those aged over 75 who don’t require any medication.

Travel insurance tips

NRMA Travel Insurance spokesman Maureen Mullins says seniors should buy travel insurance at the same time they book their trip so you are covered from day dot if you need to cancel.

Also be upfront about existing medical conditions.

“There are many conditions that are automatically included and some that need to be assessed,” she says.

Cruising is one of the most popular forms of travel for older Australians, but most on-board medical services are not covered by Medicare, so you will need travel insurance even if you are only cruising in Australian waters.

Ms Mullins also says you should leave a copy of your travel documents and itinerary with a friend or relative in Australia, and also keep a copy of your policy emergency numbers and travel documents with you.

It’s a good idea to visit your GP to discuss your travel plans before you book, and again for a general check-up before you leave to make sure regular vaccinations, such as the flu shot and tetanus, are up to date.

If you are taking medication with you, get a list from your doctor saying their generic names, dosages and how often you take them. Get a couple of copies and keep one separate from your main luggage.

Read your Product Disclosure Statement

The Insurance Council of Australia’s financial literacy program Understand Insurance says it’s important to compare products and features between companies, not just price.

“Most travel insurance policies have age limits or restrictions, but several travel insurers offer policies specially designed for retirees or senior travellers,” a spokesman says.

Make sure you let your insurer know if your health circumstances change before you head off on your holiday.

In certain countries, including the US, Japan and throughout Europe, it’s important to have unlimited hospital and medical cover.

It’s essential to read your Product Disclosure Statement and check you are covered for full medical evacuation in case you have to be flown home in an emergency.

Australia has reciprocal healthcare agreements for seniors with some countries, including the United Kingdom, New Zealand, Italy, the Netherlands, Sweden, Finland, Norway and the Republic of Ireland, which means emergency care is available.

But you still need to get travel insurance. It’s also a good idea to check with Medicare for the latest information on countries participating in reciprocal healthcare agreements

Traveling for pleasure or business, catastrophes can always arise; and while we all know the option for travelers insurance exists it’s not uncommon to still avoid it. For starters, there are always the horror stories, about how someone’s plan didn’t even pay out when it was needed, or it was only a waste of money (typically costing between 4-8% of the total trip cost) because nothing bad happened anyways! Yet the moment something does go wrong, having a good travelers insurance plan can make the whole ordeal much smoother, not to mention less expensive. Plus, picking your plan wisely can save you tons—granting you a suitable plan for a fraction of the cost.

1.     Types of Travelers Insurance

Travelers insurance is not a one-size-fits-all type deal; there are many different levels of coverage offered and depending on associated risks and circumstances, needs vary greatly.

Trip Cancellation, Interruption, Delay Insurance: This is the closest to all-inclusive travel insurance that you can get; if unable to go on the trip you will be refunded, and if calamity strikes while vacationing, you will have medical and evacuation coverage too.

Medical Insurance: Your health is of most importance, but most health insurance brands do not cover injuries or issues that occur overseas, therefore it can change your life, and future bills, to have medical travel coverage while you are vacationing.  Incredibly inexpensive, someone in their 50’s might pay $40 for 2-weeks of health coverage worth $50,000. One can also buy a separate policy for medical evacuation, such as an airlift home, which can cost $100,000+.

Baggage Insurance: Basic baggage insurance will protect your luggage in the instance it is lost or stolen, granting up to $2,5000 in reimbursements.

Before deciding on what type of coverage you need, check first with your priority insurance(s) to see which areas (if any) you are already covered on, that way you don’t double-pay for insurance.

2.     Look Out For Cancellation Waivers  

Look out for cancellation waivers, many of these sell for around only $50 but in the instance you have to cancel your trip at the last minute, say a few days before you are scheduled to leave, which is most often the case, it is unlikely you will be granted any money back. They also don’t return all pre-paid money; instead they simply stop any pending payments from going through and offer you a free trip voucher.

3. Don’t be Over-Insured 

Insurance plans offer a ‘cancel for any reason’ upgrade, allowing a traveler to cancel their trip at any time, for any reason, and still get their money back—this seems logical, if you’re going to pay for insurance might as well make sure you are covered for every reason there is—right? Think again; most comprehensive plans include cancelation insurance for nearly every reason you could think of, unless some very strange circumstances are suspected to arise it’s not worth the 50%-100% markup a ‘cancel for any reason’ plan comes with.

Often people pay too much for travel insurance by getting themselves over insured, prepared beyond what’s even necessary. For instance, the costs of medical aid or evacuation in an emergency might be high, but it’s unlikely to reach over $500,000; therefore having a plan that covers beyond that might only add unnecessary costs to your premiums.

4. Read, and Re-Read, Policy

Understand the policy in great detail before agreeing to anything. Going through third-party sights like Expedia might seem like the financially savvy thing to do but the policy details outlined on these sites tend to be vague, confusing, and presented in a way that turns people off from actually reading the terms. When buying insurance from an actual agency you are more likely to get what you need because it’s easier to understand the policies offered.

When reading over any policy, look carefully for loopholes and exclusions; if something doesn’t seem right, it probably isn’t. Being unable to cash out on insurance because of hidden exclusions one failed to notice is one of the worst, and most frustrating, realizations.  Also, make sure you actually need coverage on everything detailed within a policy, if it covers something you don’t need you can have the plan adjusted. Often, plans include car insurance but perhaps your regular auto insurance already covers you while traveling, or you don’t plan to be driving anyways, in which case, your premium will be reduced because you are decreasing your liability.

In the era of budget airlines and package tourism, getting a holiday through a high street provider like Thomas Cook is cheaper than ever – even with the current financial crisis. However, it’s the additional bits and pieces that you pay when you’re out there which can turn even cheap holidays to Tenerife into an extremely expensive spell of lying on a beach.

The biggest cost is usually money exchange. A lot of people decide to get cash – but this isn’t the safest, or the cheapest way of ensuring that you have spending money abroad. Some people decide to fall back on their debit cards which is an absolutely terrible choice and can cost £100s is repeatedly used.

The best option is to get a specialist card, these are often UK based credit cards that are great when used abroad offering really good exchange rates (important) and no withdrawal fees from ATMs. However, most people don’t want to get a credit card just to use it abroad, so a good alternative is to get a pre-paid travel card, these often charge per transaction, so it’s best to go an ATM once a day (at most) and get your money out for the day, however, they are safe, easy to top up, and have great exchange rates.

Transport is often also another expense and not just when you get to your destination. Simply getting to the airport can cost you a packet, so a good idea is to use a specialist service (if you’re driving to the airport) or look for other deals. Most airports have nearby pubs which rent out their car parks and save you up to 50% of the car parking cost.

When you get to your destination, in Europe public transport is usually the best and cheapest option, but there are cheap car hires if you’re going somewhere like Tenerife where you might want to explore by yourself, here a comparison website is the best option. Bear in mind, if you’re going island hopping renting a car is an expensive way to get around.

Another must is travel insurance, and you can end up paying over the odds for it. If you’re going for a long period, it’s better to get annual trip as this will save you more (in fact, if you’re likely to go on holiday more than once during the year, annual trip is a good idea). Or, if you’re going in a family, getting a group insurance deal can also be a good way of cutting back costs. The most important thing with travel insurance is the value of the deal, if you’re going backpacking and don’t know what activities you’re going to get up to, make sure that your insurance covers everything, that way you’ll never find yourself in too much trouble (at least not with the insurance company).

Travel companies generally cover most eventualities, and most of the major costs, but you can still find yourself spending more money than you had planned if you don’t do a little bit of quick preparation beforehand.

Travel Insurance for Peace of Mind

Often overlooked as an essential when travelling, having a good travel insurance policy that meets all your needs will really come into its own if something were to wrong, especially if you consider the relatively cheap cost of a policy compared to what you could be paying out if you don’t have any.

When you come to purchase a travel insurance policy the first decision you’re going to have to make is the type of policy that will best suit your requirements. A single trip policy will be suitable if you’re not a frequent traveller and just need cover for a short one off trip. If you’re lucky enough to be travelling a number of times in a year, then you’ll want to look into an annual multi-trip policy which will usually work out cheaper if you plan on travelling more than 3 times a year.

There are numerous specialist policies that cover everything outside the norm. These policies are aimed at those who don’t fit in with the requirements of a single or annual multi-trip policy. Travellers looking for a more adventurous or active trip can get cover which is very specific to their needs with policies for backpackers or winter sports cover.

Remember that travel insurance is there to give you peace of mind so you can relax on your trip and not have to worry about all the ‘what-ifs’. A specialist policy doesn’t always mean an expensive policy and by shopping around you’ll give yourself the best chance getting the best travel insurance for your needs at a good price. It’s certainly worth spending a few minutes getting to grips with the basics of travel insurance after all there is little point in purchasing a policy if it’s not going to cover you for what you need.

There are many things you can do yourself to minimise any hassle or stress and enjoy your trip. Be sure you declare any pre-existing medical conditions you may have as providers may not pay out if you come to make a claim. It’s a given but don’t do anything illegal as your guaranteed to void your policy. It also may not be a good idea to partake in any dangerous activities you may not be covered for.

If you have to make a claim the process will go a lot smoother if you report and obtain documentation for any losses or thefts to the local authorities as providers are likely to ask for this if your claim is for lost possessions. It’s also a good idea to keep a log of your conversations with your insurance provider noting time, dates and who you’ve spoken with.