All you need to know about travel accident insurance


What is travel accident insurance?

Travel accident insurance falls under the category of accident insurance. As the name suggests, it provides coverage for various unforeseen accidents that may occur during travel — incidents that are sudden, external, and unrelated to diseases. It is short-term compensatory insurance that travelers voluntarily purchase, focusing on protecting the travelers rather than the travel agency.

In contrast, travel agency liability insurance is legally mandated insurance that travel agencies must purchase. It primarily covers personal and property losses resulting from negligence or fault on the part of the travel agency. Damages caused by the traveler's own actions are not covered. Therefore, it's important to note that travel agency liability insurance is distinct from travel accident insurance and cannot serve as a substitute.


What are the primary coverage responsibilities of travel accident insurance?

Travel accident insurance

(1) Accidental death and medical treatment

- Coverage for accidental death and disability

- Reimbursement for travel medical expenses

- Compensation for death or treatment resulting from sudden illness

(2) Accidental loss compensation

- Compensation for flight and luggage delays

-Reimbursement for loss of personal belongings (such as mobile phones and wallets)

- Coverage for loss of certificates

(3) Accidental emergency rescue services

- Emergency medical transportation (including round trip if necessary)

- Reimbursement for overseas ambulance services

- Transportation of deceased bodies

- Arrangements for family consolation and visits

- Provisions for overstay of minor offspring

- Arrangements for the return of minor offspring

(4) Coverage for high-risk sports

(5) Coverage for death or disability resulting from self-driving


Why should travel accident insurance be purchased?

Overseas medical coverage:

Medical expenses abroad are typically costly and regular insurance policies often do not cover them. Travel accident insurance is essential for reimbursing these expenses.

Emergency rescue services:

Travel accident insurance usually includes emergency rescue services, such as emergency medical transportation (round-trip), repatriation of mortal remains, reimbursement for overseas ambulance services, reimbursement for family visitation expenses, and more. In the event of an accident during the trip, simply call the emergency rescue service hotline, and emergency rescue agencies will promptly assist in arranging local medical services.

Coverage for high-risk sports:

Many high-risk activities, such as snorkeling, hot air ballooning, mountaineering, skiing, rock climbing, paragliding, and parachuting, are often excluded from standard accident insurance policies. Only specific travel accident or outdoor sports accident policies provide coverage for death, disability, or medical expenses resulting from these activities. When purchasing, it is essential to pay attention to the types of sports covered and the exemption clauses.

Increase in coverage amount:

The coverage for death and disability under travel accident insurance operates on a payment basis, and purchasing multiple policies can stack the compensation. Although accidental medical expense reimbursement cannot be duplicated, it can be supplemented to increase the maximum reimbursement limit.


How to choose travel accident insurance?

There are numerous travel accident insurance products available in the market and most insurance companies offer comprehensive composite policies with multiple protection features, covering a wide range of risks. You can choose the appropriate product based on your travel plans and intended activities. When making a purchase, pay attention to the following features:

Reimbursement of travel medical expenses:

This is the most critical basic function, covering medical expenses incurred during the trip due to accidents and illnesses. It is even more advantageous if there is a provision for direct medical payment, wherein the insurance company settles the fees directly with the medical institution, which is particularly beneficial abroad.

Emergency assistance service features:

It is preferable to choose insurance companies that have their own rescue organizations, such as American International Group, AXA, Allianz, and Starr Insurance. Companies that collaborate with third-party rescue organizations may experience delays in service and communication coordination.

Other features:

Coverage features such as compensation for flight delays and loss of property and certificates are not essential, but if they are included in the purchased travel accident insurance, they can be a valuable addition.


Source: Ministry of Culture and Tourism of the People's Republic of China