Do you actually need travel insurance? Or is your free cover provided by your credit card enough? Surely if something went wrong, the local or NZ government would sort things out for you?

Travel insurance is one of those things some people see as an unnecessary evil when it comes to planning a holiday. We like to think of it as an essential part of any holiday package, just like your tickets, food or accommodation. Yes, it is an additional expense, and yes, you may not need it. But like all insurance policies, it’s there to give you peace of mind and help you financially if things hit the fan.

4 Reasons Why You Need Travel Insurance

We’re not on the fence about having insurance while on vacation, and you shouldn’t be either. Here are four reasons why it is essential:

1. Accidents happen – just like at home, you can trip over and break your arm, or you could get rear-ended by another car. Having insurance means your medical costs will be covered, and you’ll receive the help you need to arrive home safely.
2. Weather happens – if there’s a big storm and you miss your flight; your insurance can step in and help you out. Depending on your cover, this could mean accommodation, meals or a different form of transport.
3. Illness happens – you haven’t even left home, but you become too sick to travel, your travel insurance can help you obtain a refund for your holiday.
4. Loss happens – you’ve arrived in Africa, but your luggage is in Fiji. No problems, your insurance will take care of this problem for you.

Isn’t Credit Card Travel Insurance Enough?

If you’ve purchased your holiday on your credit card and it offers you automatic insurance, do you need another policy? Good question. This depends on the fine print for your credit card, as well as your planned holiday. While your credit card company may outsource the cover to a travel insurance provider, it’s going to be a generic policy. This means come claim time, you may not actually be covered for what you need. While it’s good to have, we think you’d be far safer having a customised travel insurance policy.

What Kind of Travel Insurance Cover Do I Need?

The basic policy will cover you for:

• Medical costs
• Loss or theft of luggage, passports and credit cards
• Costs if you injure someone or damage their property
• Costs for any disruptions to your flights or needing to reschedule tickets or accommodation
• Costs to get you back home in an emergency

When taking out a travel insurance policy, you'll be asked medical questions. Even if you have pre-existing conditions, most insurers will cover these for a small additional fee. You may even find that if your condition is stable, they’re not worried about it at all!

For personalised advice on obtaining travel insurance for your upcoming holiday, we’re here to help. Book a time to talk with one of our insurance advisers today.