Understanding Travel Insurance Terminology

Medical Emergency Benefits are what are paid to insured travellers to cover the costs of eligible expenses incurred as a result of a medical emergency. Different plans may offer different kinds of emergency benefits. Please check your plan to understand your emergency benefit amount, what's covered and what's not covered.

An exclusion is anything that is not covered under your policy based on the terms and conditions. Be sure to understand any exclusions that apply to the plan you are considering before you make your purchase.

Pre-existing conditions refer to any disease, illness, or injury that exists prior to the application date or the date your insurance coverage takes effect. Having a pre-existing condition doesn’t necessarily disqualify you from getting travel insurance but may limit or be considered an exclusion if you make a claim related to that condition. Your pre-existing condition may have to be considered “stable” for a specified period of time before your effective coverage date in order to be eligible for coverage.

Hazardous Sports/Activities refer to the potentially high-risk activities that may not be covered by your insurance plan. If you plan to engage in any such activity during your trip, it's a good idea to check with the insurance provider beforehand and understand the list of activities that will be considered hazardous as per the plan coverage.

A deductible is the dollar amount you'll be required to pay if you end up making a claim. Think of it as the portion of the eligible costs that you’re responsible for paying, with the insurance company covering the rest, subject to certain maximums, limitations and exclusions. For example, if you were to make a claim for an eligible emergency medical expense amounting to $1,000 with your deductible being $100, you will be required to pay $100 while the insurance company will pay $900 once your claim is approved. It's always a good idea to carefully go through your policy document or check with your insurance provider to understand the details of your coverage, eligibility, and limitations.

Trip cancellation and trip interruption insurance provides a separate kind of coverage from travel medical insurance. Trip cancellation and trip interruption insurance covers non-medical costs incurred if you have to cancel your trip or if your trip is interrupted due to a cause covered under your insurance plan.

The benefits provided by trip cancellation and trip interruption can vary from insurer to insurer. It is important to review your plan to understand what is covered. Some examples of benefits this insurance coverage could include are:

• Coverage for eligible non-refundable travel expenses like trip deposits and flight change fees; and
• Reimbursement for meals, accommodations, transportation, and other expenses

Baggage and personal effects insurance could repair or replace lost, damaged, or stolen baggage and personal items up to a pre-defined maximum dollar limit.

In the context of travel insurance, accidental death and dismemberment insurance provides coverage in the unfortunate scenario of an insured person losing their life or limbs up to a maximum amount as described in your policy.

Purchasing travel insurance before your trip is a smart way to help yourself and your family against unexpected eligible expenses.

Learn about the travel insurance plans offered by TD Insurance.
Disclaimer - The content on this page is for general information purposes only and does not constitute legal, financial or insurance advice. Speak to an insurance professional advisor regarding your specific situation. The information contained herein, is subject to change without notice.