Some clients won’t understand the value of travel insurance the first time you offer it. As their travel advisor, you have the opportunity to educate them on the benefits, help them see through common misperceptions, and present real scenarios in which travel protection can save their trip. Here are five common objections paired with responses to better inform your clients why travel insurance is a smart choice.
1. “My credit card includes travel insurance.”
Response: Most credit card benefits offer only limited coverage that varies, and you may not be covered at all depending on the circumstances.
Travel insurance plans offer more extensive benefits like trip interruption, higher reimbursement limits, and typically more than 25 covered reasons for trip cancellation on plans with pre-departure benefits. An insurance plan can reimburse you for additional travel expenses due to some common travel disruptions, such as a covered travel delay or lost/delayed baggage.
2. “I’m young and healthy, so I don’t need it.”
Response: What if your spouse, child or traveling companion gets sick or injured, or your destination is impacted by a natural disaster?
Travel insurance is designed to protect you from unexpected circumstances that are out of your control. Some of the covered reasons typically include sickness or death of an immediate family member, jury duty, employee transfer, and if your home or destination becomes uninhabitable due to a natural disaster. Even if young and healthy, nearly one-third of Millennials plan to buy travel protection in the next year.1
3. “I’m covered by my health insurance plan.”
Response: Many domestic health insurance plans don’t cover medical expenses abroad.
“Foreign medical facilities and providers require cash payment up front and do not accept U.S. insurance plans. Medicare does not provide coverage outside of the United States,” the U.S. State Department warns.2 And that includes cruises, where you’re traveling in international waters. Even if your plan includes some coverage outside your home state, you’re likely to pay significant out-of-network expenses. And if you require an emergency medical evacuation outside the country, your out-of-pocket expenses without travel insurance can range from $25,000 to $100,000 or more, depending on the location.
4. “It’s just added cost with no benefit.”
Response: Travel insurance can more than pay for itself with reimbursement of expenses, in cases like covered travel delays, lost luggage, unexpected trip cancellations, and medical emergencies.
You hope you never have to use it, but when you need it, insurance can save you up to thousands of dollars in non-refundable trip expenses or additional travel expenses for covered events. With Allianz Travel Insurance, you get access to Frommers city guides, the TravelSmart app with emergency contacts and maps to locate nearby medical clinics worldwide, SmartBenefits that can proactively pay you after a covered travel delay, 24/7 global assistance, and more. Insurance plans are affordable, costing only 5-10% of your total trip.
5. “Nothing ever happens to me.”
Response: You can’t predict severe weather, a family illness, or a medical emergency.
Travel insurance can be a wise investment to protect your health and financial wellbeing against unforeseen circumstances that wreak havoc on your travel plans. Flight delays and lost/delayed baggage are common, everyday occurrences, in which travel insurance can put money back in your pocket. Most of all, travel protection can give you peace of mind, knowing that whatever life throws your way, Allianz Travel Insurance is there to help.
1. “Portrait of American Travelers,” MMGY Global, 2017.