Is there a deductible to pay with my travel insurance?

Do you want to subscribe to travel insurance to avoid unforeseen events? Avoid another, the franchise!

When you subscribe travel insurance, as is the case for various insurances, it is quite possible to have to pay a deductible. An important detail, which can avoid some disappointments. Being aware of this detail of the contract is thus indispensable. What will be the amount of this one? Is it possible to find a free travel insurance contract?

Wanderlix thinks about you and answers all your questions!

Insurance Franchise: definition

Before going further in this guide, it seems necessary to remember what the franchise is. The deductible is an amount, a lump sum or a percentage, of which you must pay in compensation by your travel insurance. But it can also be a floor amount for compensation.

Simple or relative franchise

This travel insurance premium represents a floor below which you cannot claim any compensation. If the costs incurred are higher, the care is total.

Take an example to better understand. Your insurance contract determined a simple or relative deductible of 50€ for medical care during your stay abroad. If the amount of your health expenses is €40, you do not get any support. On the other hand, if your fees are 80€, then you will be refunded to your actual costs, or 80€.

The absolute franchise

This is the most common practice in the insurance industry, travel insurance is no exception. This time, it is not a question of determining a floor amount, but it reimbursement fees that you will need to pay.

Let's find an example: in case of illness, your contract imposes a deductible of €100. If your expense is less than €1,000, everything is at your expense. If the expense amounts to €200, the travel insurance will only refund you €100, the franchise being always at your expense. You are only reimbursed for the difference between the amount paid and that of the franchise.

If the franchise can be indicated in euros, it can also be a percentage. For example, in case of cancellation of travel , the franchise may be 10%. If the compensation is €1,000, €1,000 will remain at your expense. However, to avoid excessively large dependants, insurance companies generally apply a deductible limit.

For example, your franchise is 10% and the ceiling is 300€. If the compensation is €5,000, you will not pay €50.00 in deductible, but also €30.00.

Franchise, lack: what difference?

Many times, you are advised to take insurance to be well protected, and some terms escape you. Thus, there is a frequent confusion between deficiency and franchise. The deductible, we have seen, is the minimum amount to get a refund or the portion you will take. The deficiency, on the other hand, represents deadline .

For example, you think you have taken good travel insurance without looking at the conditions and you see that you have a 2-month deficiency for hospitalization. This means that during the first two months of your contract, in case of hospitalization, you cannot be reimbursed for this specific expense.

Other types of travel insurance premiums

If the deductible can be expressed in euros, there are other types of deductibles as part of your foreign medical expenses.

Daily franchise

It looks like the deficiency and yet it is nothing. The day-to-day franchise allows travel insurance to compensate you only from a certain period of time for specific benefits. For example, it may be established that in the event of a stay in the hospital abroad, the care will only take place on the third day. It's kind of like the time limit for deficiency Social security in case of illness.

The kilometric franchise

This time, the franchise applies depending on a kilometric radius . For example, to take care of your insurance and get an early return, it is necessary that a natural disaster, an attack or any other major event that took place less than 50 km from your place of stay.

What benefits can the franchise apply?

Depending on insurance contracts, this deductible may apply to various benefits. Your insurance company is totally free to determine its own conditions. Chapka Insurance, Europ Assistance, Global Assistance (now Allianz Partners France), each of these companies offers different tariff conditions.

On the other hand, it is the level of guarantees that you have chosen that will impact the amount of your franchise.

For example, the deductible of travel insurance or assistance may include the following benefits:

• Medical expenses;
• Hospitality expenses;
• Medical rehabilitation;
• Research costs;
• Baggage insurance;
• Cancellation guarantee;
• The flight guarantee.

Well read the terms of his contract

No matter what type of travel you are considering (for study abroad, working holidays , etc.), the duration of your stay ( long-term travel , short stay) and even the destination (travel in Peru or anywhere else in South America, travel to Sri Lanka or Australia), you must read the conditions.

It is an essential passage to ensure you enjoy a real blanket and, above all, not to be surprised. Check whether your contract is subject to a general deductible or to specific acts (e.g. cancellation insurance, health insurance, repatriation insurance or other claims).

If you have less doubt , ask to the insurance company before signing anything.

Travel insurance free of charge: is it possible?

We discussed benefits that can be subject to deductibles. It is rare that this occurs in the context of medical and repatriation costs. However, you should consult the general terms and conditions of your contract.

It is possible to find free travel insurance, but it remains uncommon. If guarantees such as civil liability or legal assistance are generally not subject to a deductible, hospitalization is often concerned. To make a comparison of travel insurances is necessary. This is the solution to determine the conditions of each company. Note that it is possible, with an additional payment, to make a redemption of franchise. Of course, you pay your premium more, but you have no surprise during your trip.

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