St Pete Beach, FL, Jun 28 2005 – Technically, for travel insurance, when you die matters also, however, as long as you die after you purchase your policy and before you return from your vacation, it’s very definitely where you die that’s going to make the difference.
Of course we’re not dealing with the most pleasant of subjects here but this tip is for the kids benefit! My job is to try to educate the traveler to allow them to get the most out of their travel insurance policy, even if it’s not them that’s going to get it.
Where you die is going to make all the difference to the amount payable. This coverage is usually split into three areas starting with least risk/ highest payout.
Air Flight Accident AD&D.
AD&D means accidental death and dismemberment. This allows for a payment if you happen to die or lose a couple of limbs as a result of a flight accident. Despite what you may hear on the news, this is always the lowest risk for an insurer hence they pay the most for this benefit, up to $1,000,000 per person.
The next step down is
This coverage pays in the event of death or dismemberment while you are traveling on any form of public transport. It is a much lower payment as the risk to the insurer is greater, usually, $50,000 per person.
The third death benefit you will find on travel insurance policies is
Accidental Death (duration of trip)
This means the insurer will pay if you die or bits drop off you anywhere during your vacation. This coverage is of course the highest risk and lowest payment, usually in the region of $10,000 to $50,000 per person.
So if you are about to shuffle off your mortal coil while walking down the high street in Grand Cayman and you have enough strength left, struggle on to a passing bus with your last breath, your kids will thank you for it!
When you buy travel insurance, make sure you leave a copy of the policy with your next of kin or whoever is named as the benefactor. Doing this will ensure a claim in the event of your untimely demise.
The Author, Chris Harvey has spent many years in the insurance business, has lived in Scotland, England and now the USA. He has traveled extensively and is the founder of Squaremouth, a website that specializes in comparing all the major travel insurance plans. The site has unique research capabilities as well as providing instant quotes, coverage and immediate confirmation.