To avoid the emotional and financial stress that the refusal of your travel insurance claim can cause, it is important to understand why and how this may occur:
Opting for the Wrong Coverage:
Usually, travel insurance policies are a combination of five main categories, namely, trip cancellation, trip interruption, flights, baggage, evacuation and basic medical issues. Thus, when purchasing a claim, you should have an in-depth understanding of what contingencies are actually being covered by the policy.
For instance, if your luggage is lost or stolen in transit and you have failed to purchase baggage insurance, then it is impossible to get the insurance company to reimburse the value of your missing belongings.
Alcohol or Drug Consumption:
Letting your hair down and having a very good time on a vacation is natural. Unfortunately, travel insurance companies would be unlikely to accept your claim if it is found that you were under the influence of alcohol or drugs when an accident occurred. This is because one’s regular faculties are affected when one is inebriated or intoxicated in any way.
Failure to Disclose Medical Conditions:
While applying for a travel insurance policy, it is critical to disclose your medical history. If you were to meet with an accident or fall sick while in transit, your claim for reimbursement of your medical expenses is very likely to get rejected, especially if such a medical condition is found to be undeclared while applying for the policy.
Related: Travel insurance exclusions in India
A majority of policies are unclear regarding which sports are categorized as adventurous and a risk to life, and which are not. If you happen to injure yourself while indulging in a dangerous sport, your claim might be rejected as it falls outside the purview of the policy. You must, therefore, make it a point to ask your agent about the coverage of adventure sports and risky outdoor activities.
Time is of Essence:
Usually you have a 24-hour window to file a police report or seek medical assistance for your claim to be viewed as valid. Therefore, in case of any incident during your travel, make sure to get an official report recorded on paper at the earliest, so that you can be reimbursed for your loss without any hassles.
Travelling against the advice of the FCO and WHO:
Most insurance companies will reject your claim if you travel to locations that are considered risky by Foreign and Commonwealth Offices (FCO) and World Health Organization (WHO). Checking if your intended travel destination falls in the high-risk category should be one of the first things you do while planning your itinerary.
As strange as it may sound, some insurance policies consider motorbikes and mopeds a risk to health, and therefore do not provide coverage for the same. Hence, when choosing your mode of transportation at your travel destination, do be wary of the options covered by your insurer.
Being forewarned is being forearmed! If you are aware of the various grounds on which your claim can get rejected, it can help you plan better to avoid such situations, so always make it a point to go through your insurance policy with a fine toothed comb!
"Knowing yourself is the beginning of all wisdom"- Aristotle -
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