How Travel Insurance Financially Protects You
Going on a getaway soon? Don’t forget about travel insurance.
Unexpected events could derail your travel plans and cost you your vacation investment and even more financially.
Would you be prepared to pay for hospitalization, medication and transportation back to Canada without travel insurance?
No matter how long you are on vacation, even if it’s just for a day on a cross-border trip, travel insurance is strongly recommended for Canadians.
It’s important to know that your provincial or territorial health plan may cover none, or only a small part, of the costs of your medical care abroad. It will never pay your bills up front. Your Canadian health insurance may not pay your medical fees while you are outside Canada.
Make sure to choose a travel insurance policy that covers your needs and your level of comfort during your trip.
What should your travel insurance cover?
Your travel insurance policy should always include these types of coverage:
Pre-existing medical conditions
Make sure your pre-existing medical conditions, including pregnancy and mental health, are covered by your travel insurance. Many policies exclude pre-existing conditions. Find out how your insurer defines a pre-existing medical condition and what limits your medical history puts on your coverage.
Medical evacuation
Your travel insurance policy needs to include the cost of medical evacuation to Canada or the nearest location where the required medical care is available. It should include a medical escort.
Getting back home
Make sure your travel insurance policy includes this standard type of coverage which covers the costs of bringing you home if you pass away while abroad.
Travel period
If you are traveling outside Canada, be sure to understand how long your policy will cover you and whether you can renew or extend it. You will not be covered if your trip lasts longer than your coverage.
What is medical travel insurance?
Travel medical insurance covers medical expenses you may have while you are travelling outside Canada or Manitoba. Medical insurance for travel can include doctor visits, hospital stays, and emergency medical treatment.
Medical insurance for travel specifically covers medical expenses, while travel insurance covers a wider range of issues and also includes medical expenses. Medical travel insurance is also called travel health insurance or medical insurance for travel.
What does travel insurance usually cover?
Travel insurance typically has a broad range of coverages:
- Hospitalization and treatment of medical emergencies
- Emergency medical evacuation
- Trip cancellation
- Air travel delay expenses
- An accident in a rental car
- Accidental death
What’s all-inclusive travel insurance?
Depending on your travel insurer, an all-inclusive travel insurance plan could include emergency travel medical coverage, trip cancellation and interruption, and more for multiple covered trips up to the maximum trip duration selected within one year.
What would happen if I didn’t buy travel insurance?
If you get injured and do not have travel insurance, it can result in significant financial, legal, and logistical challenges.
Without travel insurance, you'll likely be responsible for covering all medical expenses out of pocket. These costs can add up quickly, especially if hospitalization, surgeries, or specialized treatments are required.
Some countries may require upfront payment for medical services, and the quality of care may vary, impacting the treatment you receive.
If your injury is severe and requires transportation back home for more treatment, arranging and covering the costs can be steep without travel insurance.
Do I need travel insurance in Canada?
Not all medical expenses may be covered by your provincial health insurance plan when you are outside Manitoba. You may end up paying for:
- Prescription drugs
- Ambulance
- Air ambulance
- Transportation back to your home province/territory
- Accidental dental care
Most Canadian provinces – with the exception of Quebec – have reciprocal interprovincial health insurance agreements. That means if you need emergency medical treatment while in another province, the host province usually will cover the cost of any medically necessary healthcare services you receive and then bill your home province for reimbursement.
Note that there can be a requirement for patients to pay up front and get reimbursed from their home provincial or territorial health insurance plan.
Travel insurance is recommended for travelling within Canada because there are some gaps and limits as to what’s covered under these interprovincial agreements, which could leave you on the hook for out-of-pocket expenses.
Final thoughts
Travel insurance is a good way to protect yourself and your family from the unexpected on a vacation. It’s always better to be safe than sorry!