When confronted with the idea of getting travel insurance for their holiday in Australia, many would respond, “Why would I need insurance to explore my own backyard?!”
It’s because surprises lurk wherever you go. Have you ever been on a beach holiday on the Gold Coast and lost your wallet? Would you dread to miss the kickoff of a State of Origin decider due to circumstances you couldn’t control (e.g. medical emergency)?
Here are the top reasons why travel insurance is a smart idea for any Aussie on-the-go.
Lost or damaged belongings
In 2014, 24.1 million bags were mishandled worldwide – that’s more than one bag for every person living in Australia! Of this 24 million, 80.2% were simply delivered late, 14.3% were damaged, and 5.5% were stolen.1 Sure, it may not happen to you…but it could happen to you. Travel cover may mean the difference of you having to shoulder the cost to replace your belongings, and you being reimbursed in short order.
Is Australia a safe place to travel around? Apparently so, as the ABS reports we experienced a five year low for homicide, robbery, and motor vehicle thefts between 2013-14. In particular, robbery decreased by a significant 16%.2
The odds are quite low for you to experience theft during your trip. However, any holiday demands you explore your new surroundings, and sometimes that leads you to places you didn’t expect to go. It’s at least comforting to know that your belongings are covered no matter what.
Cancellation fees / the cost of delays
According to the Bureau of Infrastructure, Transport, and Regional Economics, you have an
- 2% chance of arriving to your destination on time when flying,
- 8% chance of departing on time, and
- 3% chance of your flight being cancelled.
55,570 Aussies flew domestically in July 2015’.3 If those above stats are accurate, 722 of them would have had a cancelled flight.
Your travel insurance policy may not cover everything, but it could potentially reimburse you for any cancellation fees you’re forced to pay (depending on the policy you hold), if the circumstances of your cancelling were out of your control.
Hire car excess
When you hire a car, you’ll be offered insurance from the rental company in case your car is crashed into, or you bump it into something. If this happens, you may owe an excess to the insurer. However, travel insurance should pay for that excess in full, which means one less thing for you to worry about during an already stressful time. This may come as an optional extra that you pay a little more for.
If you have a Medicare card, you have access to subsidised healthcare all over Australia, meaning its inclusion on your policy is somewhat irrelevant. For emergency transport cover though, this will depend on where you live. We detail the cost of those expenses on our ambulance cover page.
In any case, it’s clear that – no matter what problems you face during your trip – a bit of travel insurance could go a long way to protecting you from some steep costs.
Setting your sights on a trip overseas? We look at cover for different countries too!