Your Domestic Policy: The First Place to Look
Before you purchase any new insurance, your first step should be to thoroughly review your existing health insurance policy from India. Most standard health plans are designed primarily for hospitalisation expenses within the country. However, some higher-end
policies or specific corporate plans might offer limited international coverage, usually for emergencies. Don't assume this is the case. Look for a section in your policy document titled “International Cover,” “Overseas Benefit,” or similar wording. If you can't find your physical policy, check your insurer’s website or mobile app, where you can often access your documents digitally. When in doubt, the most direct approach is to call your insurer’s customer service line.
Understanding the Gaps in Domestic Cover
Even if your Indian policy offers some form of international protection, it's crucial to understand its limitations. Most domestic policies, if they offer overseas cover at all, restrict it to emergency medical situations only. Planned treatments are almost always excluded. Furthermore, they often don't include benefits that are standard in dedicated travel insurance plans. These critical gaps typically include medical evacuation (transportation to a better-equipped hospital or back to India), repatriation of remains, trip cancellation, loss of checked-in baggage, and passport loss. Medical evacuation alone can cost lakhs of rupees, making this a significant gap you need to fill.
Key Questions to Ask Your Health Insurer
When you contact your domestic health insurance provider, being prepared with specific questions will yield the clearest answers. Don't just ask, "Am I covered abroad?" Instead, ask a series of targeted questions to understand the fine print. Enquire about the coverage limit for international claims, as it might be much lower than your domestic sum insured. Ask if the coverage applies worldwide or only in specific regions. Crucially, find out if they offer a cashless facility in your destination country or if you'll have to pay upfront and file for reimbursement later. Also, ask about the claims process from a foreign country and if they have an international assistance partner you can contact 24/7.
Choosing Travel Insurance to Fill the Void
Once you have a clear picture of what your domestic policy lacks, you can shop for a travel insurance plan that fills those specific gaps without significant overlap. A good international travel insurance policy is designed for trip-related risks. Its primary function is to provide short-term, comprehensive protection against both medical and non-medical emergencies while you are away. Key features to look for include a high sum insured (especially for countries with expensive healthcare like the USA), robust medical evacuation and repatriation benefits, cover for pre-existing conditions if needed, and non-medical benefits like trip interruption and baggage loss protection. Many countries, including those in the Schengen Area, even make having valid travel insurance a mandatory requirement for visa approval.
The Problem with 'Double' Insurance
It might seem like having two policies is a good thing, but it rarely translates to a double payout and often leads to complications. Insurers have a 'contribution clause', which means if two policies cover the same event, the companies will decide amongst themselves how to split the bill. You won't get paid twice for the same medical expense. This can slow down the claims process and may even require you to pay two separate excess amounts. The goal isn't to be doubly insured, but to be correctly insured. By identifying the gaps in your domestic plan, you can buy a travel policy that complements it, ensuring comprehensive protection without wasting money on redundant cover.
