Things to Know About Travel Insurance

A lot of people are aware of health insurance, life insurance, and auto insurance. However, travel insurance is something that’s often overlooked, even though it has its benefits.


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Travel insurance can be highly useful when traveling to a foreign country. However, when traveling within India itself, then the Indian Railways provides the most economical and simple insurance. Some of its key features include:

  • The scheme is optional but can be easily availed when booking your tickets online.
  • The premium for each passenger is about Rs. 1, which is negligible.
  • Under the scheme, the government provides a compensation of Rs. 10 lakhs in an event of death or permanent disability, Rs. 7.5 lakhs for partial disability, Rs. 2 lakhs for injuries, and Rs. 10,000 for the transportation of mortal remaining.

For overseas traveling, the travel insurance can be broadly classified into two categories:


As the name suggests, this insurance cover is available for only one trip. So, if you take few trips in a year, then single-trip insurance can be more economical.

Usually, a single trip insurance providers a cover for about 3 months.


A multi-trip insurance is a better option for those who travel frequently, such as businessmen or individuals working in the travel industry, etc. Not only it’s cheaper than buying multiple single-trip insurance covers, it’s also more convenient.

A multi-trip insurance provides cover for an entire year i.e. 365 days but the traveler is required not to stay at the same place for more than 3 months.

Whether you choose single-trip or multi-trip insurance cover, you will get medical coverage as well travel-related coverage (flight delays, etc.). However, in some cases, you may need to pay extra for extra coverage such as dental treatment, baggage loss, and adventurous sports like biking, paragliding, etc.

There are many companies and banks that provide travel insurance in India. Thus, just like with most types of policies, it’s best to compare rates before making a decision.