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Corporate vs. Credit Card Travel Insurance

It was a remote surf break in the Solomon Islands where my friend went face first into a coral head and a long drama unfolded resulting in emergency evacuation and ongoing treatment. He hadn’t taken travel insurance but it was a good thing he was travelling with an insurance broker mate who had covered both of them.

Recent, real incident

Travel insurance can be the greatest thing backing you on a trip. The injured man recovered and without impact to his finances thanks to the Travel insurance policy, something that could save you, hopefully, in less dramatic circumstances.

Our banks and credit unions are now offering travel benefits under their credit cards, but can you feel secure if you have this kind of cover and
something unpleasant occurs?

The major drawcard of credit card travel insurance is that it plays upon the need these days to make things convenient and to solve problems quickly. It does that but the extent and quality of cover could be better utilised with a Corporate Travel policy, available to an individual or business with an ABN.

There are other travel policies available but in this case, we’ll look at Corporate Travel insurance vs. Credit Card Travel insurance.

There are now many credit cards that include travel cover. These are usually reserved for premium cardholders and while too numerous to focus on as details vary from brand to brand, the main issues to be aware of are these:

  • The card must be used to pay for the total travel fares for the cover to be validated
  • Restricted cancellation cover
  • Pre-existing conditions may be excluded
  • The cost of the travel benefits may involve higher credit card fees Corporate Travel insurance is competitively priced and tax deductible.

The benefits are usually higher allowing for leisure travel extensions that include family members. Importantly, death cover and kidnap and political
evacuation cover are included.

This may seem unnecessary to some, but consider favourite holiday destinations that have been targeted by terror acts; New York, London, Bali,  Thailand and India.

If a staff member was involved in an incident, it certainly helps any communication with family and fellow concerned workers when you know what the cover includes and what policy benefits are available to get them home safe.

Having cover as soon as you book the ticket is also important in case of cancellations or delay costs are incurred – all covered by your Corporate Travel cover.

There are varying types of travel cover and the business should consider this product. If not, make sure you have some personal travel cover in some shape or form to be able to enjoy your holiday and business trips. Volcanic ash clouds do happen!