Protect your wallet: how to pick the right travel insurance

Nobody likes to think accidents happen while on vacation, but they do. That's why you must know how to pick the right travel insurance to protect you and your wallet.

Forking over a bit more money for travel insurance can be a big lump to swallow, especially after you’ve just paid for plane tickets. It’s easy to dismiss the need for insurance, because the chances are nothing will go wrong, right? And yet, forewarned is forearmed. If you choose the right travel insurance, you’ll prevent the kind of costly misfortunes that can make a holiday swirl straight down the hotel drain.

Breaking an ankle, getting robbed or falling ill does happen. It’s a mistake to play with Lady Luck just because your vacation budget is tight or you think bad things only happen to other people.

• As soon as you leave Canada, the various complications that can arise during your travels will cost a lot more money than you ever imagined. But if you take the time to choose the right travel insurance, you’ll have moral support and financial help to deal with potential disasters.

Your workplace group insurance plan may provide coverage for travel outside the country. Check, too, with your financial institution to see if they have a travel insurance package that offers basic health coverage and credit card protection.

• You can usually add on additional coverage for flight cancellations and lost luggage if you need it. Keep in mind that some high-risk activities, such as extreme sports, are not covered by travel insurance.

The type of insurance package you take depends on the following: the length of your trip, destination, reason for your stay, number of family members you’re travelling with and your health.

• If you have pre-existing health problems, some companies may recommend heavier medical insurance protection.

It goes without saying that travelling to a war-torn country entails higher risks than a business trip to a cosmopolitan European city. As such:

• You’ll have to buy travel insurance that reflects those differences.
• Similarly, you won’t need the same level of protection for a trip to the United States as for travel to Asia.
• Don’t forget to ask your Canadian vehicle insurer if you’ll be covered while driving a rental car abroad.

Nobody likes to dwell on it, but accidents happen during vacations. For that reason it's always better to spend a little bit more to cover all the eventualities.

• With the right travel insurance you’ll be better able to cope with almost anything that comes along and get the care that you need—without having to worry if you're covered.