For most travellers, a $100,000 travel insurance plan is better than a $50,000 plan because it offers better financial protection for only a minor increase in premium. This is especially important when visiting places with high medical costs, such as the US or Canada.
When choosing a high-coverage travel insurance plan, the difference in cost between $50,000 and $100,000 is usually small. However, the extra coverage can be very important in case of a medical emergency, hospitalisation, or a major trip disruption.
Read more to know which high coverage international travel insurance plan would be appropriate for you.
Key Factors Determining Your Choice Between $50,000 or $1,00,000 Sum Insured
Several factors, including your destination, itinerary, health condition, and duration of stay, influence the choice of high-coverage travel insurance in India. Here are the key aspects to consider:
1. Cost of Healthcare At Your Destination
Medical treatment costs vary from one location to another. For example, medical care is cheaper in Mexico compared to the US. Hence, if you are visiting Southeast Asian countries like Thailand, Malaysia, and Mexico, you can opt for a $50,000 sum insured.
However, if you are visiting the United States, you can choose a sum insured of $100,000 or more to cover your entire trip.
2. Your Age and Health Condition
Older travellers face a higher risk of medical complications, especially on long-haul or extended trips, while younger individuals are generally less prone to illness.
Therefore, senior travellers should ideally opt for at least a $100,000 high-coverage travel insurance plan, whereas younger travellers may consider a travel insurance of 50,000 USD, depending on their destination and trip duration.
3. Emergency Medical Evacuation Cost
Medical evacuation costs depend heavily on your travel location. Evacuations from remote, hilly, or forested areas can be extremely expensive due to limited medical infrastructure and long-distance transport requirements. Higher coverage ensures you are protected against such unforeseen expenses.
4. Duration of Stay
Longer trips increase the risk of catching multiple diseases and medical complications due to constant changes in the surrounding climate and fatigue. Hence, buying a high coverage sum insured or more can help assure complete financial safety.
5. Activities You Are Planning To Do
If your itinerary includes only low-risk sightseeing activities, a $50,000 sum insured may suffice. However, trips involving adventure activities or physically demanding experiences make a $100,000 or higher sum insured a safer choice.
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What Amount of Sum Insured Should Be Enough For You?
No matter how carefully you plan your trip, a single medical emergency can make a $50,000 sum insured insufficient. Here is how to decide:
- $50,000: If you are a young person going on a small and safe trip to a place where the climate is not very harsh. You can opt for a $50,000 sum insured in your travel insurance.
- $1,00,000: If you are going on an adventurous trip that includes fun adventures. It is recommended to opt for a travel plan $100k insurance coverage.
- $250,000 or More: In case you are thinking about an open-ended adventure that includes fun activities and adventure sports. Choosing a high coverage travel insurance of $250,000 sum insured or above is the right choice.
How Do Insurers Provide Travel Insurance Policies With Different Sum Insured Values?
There are many ways in which insurance companies might offer different high coverage travel insurance policies to you. Here is a detailed list of a few of them.
- Tiered Plans: Insurers offer different high coverage insurance policies and offer them as pre-set packages with different sum insured levels for their customers’ safety. For example, ACKO provides a Basic and a Comfort tier package in travel insurance.
- Customisable Plans: Some plans allow you to choose a base policy and enhance coverage through add-ons or higher limits for specific benefits such as medical expenses or baggage protection.
The Bottom Line
Choosing the right amount of travel medical insurance coverage can be a critical decision. If you have a risk appetite and can handle financial losses from a trip, you can get the $50,000 sum insured. However, for greater peace of mind and protection against high medical costs, a $100,000 high-coverage travel insurance plan is a safer option. Always read the policy terms carefully before purchasing.
