For an egg-cellent Easter holiday, remember this one thing and you’ll be ready for a long weekend adventure.
Do you disregard travel insurance when travelling locally? You’re not alone.
In fact, 70% of Australians think it is unnecessary for domestic travel, according to a new study run by Comparetravelinsurance.com.au. However, experts warn that dismissing domestic insurance over the Easter break could amount to a frightening holiday bill.
Whether you’re flying to see family, attending a sporting match in another state or taking an Easter road trip up the coast, the benefits of domestic travel insurance may be far greater than you’d expect.
The recent natural disaster, Cyclone Debbie that ripped through Northern Queensland is a prime example of the important of domestic cover.
“After Cyclone Debbie hit, thousands of Australians were left stranded or unable to travel to Queensland with flights both to and from the region cancelled. Plenty of travel operators were unable to offer direct refunds to affected customers which is where travel insurance would have kicked in,” Director at Comparetravelinsurance, Natalie Ball said.
“Insured travellers would have been reimbursed for prepaid travel expenses along with any additional costs incurred as a result of the natural disaster. On the other hand, those uninsured would have been left with a rather large dent in their wallet.”
Domestic travel insurance: cause for cover
Often overlooked by consumers, domestic travel insurance may be a saving grace when travelling locally.
Natural disasters aside, tourists should take into account the hefty costs that could come along with a short trip away. A crash in your rental car, a stolen iPhone, or a delayed flight on route to a football match could wind up costing you far more than you’d bargained for.
Ball said a comprehensive domestic policy is an affordable way to cover you for these expenses, and a wide range of travel costs including rental car excess.
“Many holidays are hassle free but a reasonable domestic policy is a small price to pay to cover your personal belongings, cancellation costs and more.”
Rental car excess: the wheel benefit
Rental car excess cover is one of the lesser known but incredibly useful benefits of travel insurance. Typically, rental car companies will charge a hefty daily fee to reduce the standard excess you would be liable for in the event of an accident. The excess can range anywhere from $3,000-$5,000 for a standard vehicle and up to $8,000 for campervans and motorhomes.
Most rental car companies will offer a collision damage waiver fee of roughly $25- $35 per day. On the other hand, domestic travel insurance would cover this fee at a much cheaper rate. One week’s worth of domestic travel insurance including rental car excess cover may be as little as $35.50.
“While it may seem more convenient to pay to reduce the excess with the car hire company directly, quite often you’ll be paying 50% more than necessary without much payoff. Buying travel insurance will also cover a host of other scenarios such as trip cancellation and luggage cover simultaneously,” Ball added.
Cover for missed events
Booked flights to see your favourite popstar or sporting team perform? If you’re travelling interstate for that long-awaited sports match or show it’s highly recommended that you invest in travel insurance for your trip.
In the event that your flight to that big event is cancelled or delayed travel insurance will help you get there on time.
“A comprehensive policy will often pay for your alternative travel expenses to reach a planned event if your scheduled transport is delayed or cancelled,” Ball said.
“And if you’re unable to make it at all due to unforeseen circumstances, you may be able to seek reimbursement of your pre-paid event tickets and travel arrangements should you be unable to get compensation elsewhere.”
To avoid an egg-ressive holiday bill this Easter, investing in domestic travel insurance will be a small price to pay for a financial peace of mind.
