Wise Up, Relax & Don't Worry (Backpacker Travel Insurance)

Member Name: doyoureally

Product:	Backpacker Travel Insurance
Date:	24/03/03 (568 review reads)
Rating:

Advantages: Specific Cover, Good prices available, Choice exists

Disadvantages: Time to find right policy, Maybe unsure what you need

Going on that much dreamed of longer trip?

You may be planning to throw a rucksack on your back or go round the world in a little more comfort. Whichever you will need the right insurance. The good news is that today's insurers offer policies specifically tailored to just that kind of trip.

Statistics reveal that it is not just students that take a break and live their dream seeing faraway destinations. An increasing number of us are seizing the opportunity to take a break from our increasingly hectic work lives. Certainly from the UK alone, hundred of thousands are off every year.

Whatever you are thinking of doing - if it involves leaving the shores of Blighty then you had better get yourself sorted with some dependable travel insurance. The risks associated with a longer trip are not so high as to put you off; but higher risk are associated with the longer time away, the variety of destinations you may visit and the varying levels of medical infrastructure and costs.

If there seems to be one sensible summary of advice - do NOT think of leaving without suitable insurance - you are going for long enough that you may well need it! If nothing else, having a good policy may costs you a few beers, but the peace of mind all the way round will be worth that.

Suitable policies can be labelled backpacker or adventurer or gap year.

This review is long because your trip is a long one and your policy needs careful choosing to save money and worry.


FACTORS TO CONSIDER
====================

Insurance is a dreaded necessity and often complex to understand. The truth is that it does depend on you how difficult that choice may be. I have detailed below most of the factors that can and should affect your choice of insurance.

If this level of detail mesmerises you or seems excessive - then consider the fact that medical costs abroad can be thousands a day. If you are confused or not sure ho

w a factor affects you - it is impossible to provide guidelines for everyone - just get in touch with an insurance advisor / broker. Use their experience to confirm the cover you need and any issues to be checked. You don't have to buy from them after all.

Consider these then:-

Where will you go?
________________
The way underwriters price things is often varied - whether you plan to head off round the world or just to head direct to a couple of destinations may mean one cover is cheaper. Some insurers offer different prices if you intend to go to just Australia and New Zealand with only brief stopovers en route.

If you don't know your final routing - then make sure you buy cover wide enough to handle all possible destinations - then you don't have to panic half-way that your plane is about to land somewhere you have no cover - or to upgrade via an international-rate telephone call.


What will you do?
_______________
Genuine backpacker covers will seek to address the fact that many of us expect to try our hands at something new. Common examples include that bungey jump, organised white-water rafting, canoeing, a hiking tour, jet skiing,

Different policies take different approaches. Perhaps the best will cover a wide range of activities - simply applying higher excesses for those activities considered more risky (typically £150-£300 pounds). So if you don't know what you will do these mean you can decide in situ with only a limited additional risk to your pocket.

Some benefits such as personal accident or public liability may be excluded entirely from some activities. Often you can supplement such cover locally when you pay for the activity. Just keep this in mind and take your policy wording with you so you can check and avoid any unnecessary expense.

If you are planning some more remote activities where you may be some way from nearest help or risk being strand
ed -
think about Search and Rescue cover. The amount you will need depends on what you do - some policies include around £5,000. If this is not enough, make sure you address this need (so your parent don't end up re-mortgaging to find you)


What will you take?
________________
Policies are typically offered with a choice of baggage and money cover. This is a personal choice based on what you will be taking with you.

Often cover is limited to a maximum "single article limit" of £200 and items such as mobiles phones and the like are not covered at all. So check what would be covered and if it is worth more than the limit.

You should note that most policies are tightly worded to make sure any loss is a truly fortuitous event. Leaving all your cash next to your towel on a beach is likely to be turned down flat.

This cover costs typically from 20-30% of the overall premium.

You should consider separate and specific insurance for any high value items in my opinion.

Oh and don't think this is an easy way to make a fraudulent claim - insurers are very wise to such ploys and you can get yourself blacklisted making future insurance impossible to get.


FINALLY - every policy wording is unique in some way. Take the time to read it so you are sure - you are away for a long time so should be worth that long hour!



What else can affect your choice of policy?
===============================

Your age
_______
Some insurers believe that no-one over the age of 35 can possibly be interested in going away in this style. Others are more generous and will allow up to 45 or so.

Your previous & current health
_________________________
This is the most critical and difficult to explain issue. The level of medical cover should be at least £2M and anything higher brings further peace of mind (although such high level have yet to breac
hed by any
claim)

BUT that cover will not be valid if you do not meet the "pre-existing" medical criteria stipulated in the policy. So if nothing else, you must must read this and determine that it fits you.

I cannot hope to guess at what you may have had wrong with you - but any trip to the doctors or prior illness can impact all your cover. So check this out before you buy.


Your past integrity
_______________
It is a sad fact but one reason premiums are higher than we would like is that some folks seek to defraud the insurance companies. Travel insurance like all types of cover suffers from this too. But it is the innocent folks that pay for these criminal activities. OK I'll jump down from my soap box - simply make sure that any past felonies do not exclude you from buying cover.


Other Insurance
_____________
Insurer have long been canny to try and recover or at least share the costs of claims with any other insurer who might be covering that same risk. If you have household insurance that cover items away from home - your travel insurer may attempt to recover some or all those costs from them in the event of a property loss. This might lose you a no-claims bonus!

Not much you can do about this one -except understand it before you buy.


Your attitude to risk?
++++++++++++++

Finally to help you get the cover that suits you - some insurer vary some of the following items to enable them to offer a price differential. The choice is yours:-

Claims Excess
____________
This is the amount of any loss that the insurer will not pay. If you do not have a claim - then this does not affect you. So premiums may vary depending on how much value you take for yourself.

In Europe - taking an E111 form can save you this excess with some insurers and may mean you do not have to claim at all. Check out the following for more on that www.doh.gov
.uk/traveladvic
e/forme111.htm


Benefits & Limits
_________________
Policies tend to have a variety of different covers.. Every one of your personal circumstances will dictate a different mix might be more suitable. In general though - the following are amongst the most important (in brackets I suggest a sensible minimum level to look for:-

Medical and repatriation (£2 million plus)
Cancellation and curtailment (£2000 but depend on your trip costs)
Public liability being (£1 million)
Personal Accident (£15,000)

There are many other benefits - often people consider mugging, hijack and the like important but they are rarely called on covers. It's your peace of mind so it's up to you.


Exclusions
_________

The dreaded exclusions are the nub of how a policy can look great but in reality offer less cover than you thought. You will find it impossible to buy a policy with no or a very few exclusions. Make sure none affect you and remember most are introduced to avoid fraudulent claims or things you might not reasonable expect to be covered.

Advice here is to read them.


Underwriter
_________
The quality of the insurer is perhaps a mixture of their experience and financial stability. In most cases you should have nothing to worry about as insurers are regulated, but recently the Independent went bust - not good if you are lying on Bondi Beach blissfully unaware.

A link to tell you about the underwriters always reassures and allows a quick check up.

Policies offered through Lloyds of London vary enormously - there are some that offer "bargain basement" premiums but with these consider what you are really getting with care.


Online & offline?
______________
Make sure the company has a bricks and mortar presence with land telephones. I don't care how much money someone has spent marketing themselves to m
e - I want to see th
at I can get in touch and that they have some longevity. A suitable head office location can help determine this.



24 Hour 365 day Emergency Assistance
________________________________
NEVER buy a policy that does not offer this service for medical situations.

And if you need medical care - make sure you get in touch as soon as you can (unless it is small beer and your policy tells you that you do not have to). Medical costs abroad can mount up quickly - and some policies excluded any costs above say £500 where they have not been informed / approved.

Oh and TAKE their contact details with you and your policy number wherever you go - your policy document may be unwieldy for your wallet - but these few details can prove invaluable when out for the day.


How Much to Pay?
++++++++++++++

Now eventually we get to the nitty gritty.

Premiums do change all the time, especially with events such as the Iraq war.

I include just a sample of the best rates I could find. I don't provide a quote for every possible trip as this would go on forever. If you find better -make sure the cover is good enough. If you find some more expensive -make sure you are getting something for that money. (these include baggage and money cover). Check more than one website/insurer!

Europe
3 months = £31
12 months = £108

Australia & NZ
9 months = £111
15 months = £179

Worldwide (including USA etc)
6 months = £99
12 months = £182

If you find cheaper - add a comment and I'll update my list.


Where to buy?
+++++++++++

As this is an online consumer forum - I am only recommending online choices. This is because the online deals I have found almost always offer:-

- CHEAPER PREMIUMS than offline
- Backed by secure and stable underwriters
- Equivalent if not superior covers and benefits to
those offline policies I
found.
- Instant cover and usually online documents too.
- Full policy information (some sites are clearer in presentation than others)
- Full offline contact details / methods (if required)

If anyone knows of any other offers that stack up against the following backpacker insurance - please add a comment to this review and, if I agree, with you I'll add them to the list. I have made a few comments against each listing - but remember to consider all of the above points carefully.

I found some insurers have many more than one site - but actually while the brands change - the underlying cover is the same (. A little irritating when you just want to see the different offers).


RECOMMENDED (IN ALPHABETICAL ORDER)
++++++++++++++++++++++++++++++++++++++

http://www.backpackinsurance.com - very competitive esp. as the length of trip goes up, good levels of benefit, instant, full policy information, pre-existing medical conditions made very clear, quoted premiums in 1click, up to age 44

http://www.insureandgo.com - competitive prices, good levels of benefit, instant, full policy information, offer some small and less common benefits, can be bought via john menzies using scratch card approach, up to age 35


http://www.endsleigh.co.uk/quotebuy/backpacker / - choice of cover levels, full policy information, offer some small and less common benefits, , up to age 35


Finally, remember that almost every insurer will allow you 14 days to decide if you need /suit the policy. usually you have to call them to cancel. so review it immediately just in case you need to take advantage.

Oh & have a great trip!

Summary: