Comparing health and dental insurance can be overwhelming. There are a ton of plan options out there, each with different coverage inclusions, limitations, and eligibility requirements. To find the best plan for you, it's important to look beyond the cost, and learn how to evaluate insurance options based on what they offer and your unique needs. 

To help you choose the plan that's right for you, here are several questions for your prospective insurer. Before you ask these questions, make sure to ask yourself what matter most to you. What do you want from your coverage? Are you looking for a low-cost plan, extensive coverage for peace of mind, or a plan that will cover a pre-existing condition? In general, plans with better coverage and plans that don't ask medical questions cost more. The best options available to you will depend on your personal health history, needs, and budget. 

After you've narrowed the field a little, try to answer these questions to help decide what's best for you. 

1. Can I qualify for a better plan?

Guaranteed acceptance plans (plans that don't ask health questions) are easy to apply for, which can make them seem like a good choice if you're strapped for time and just want to get coverage in place. However, if you're healthy, they are almost never the best option, costing more and covering less. Similarly, ultra low-cost options only include very limited coverage and low maximums. This could mean you pay more out-of-pocket in the long run if you need to access heatlhcare not covered by your plan. These plans are better than nothing, but if you're purchasing health insurance to protect against future health expenses, a low-cost, low-coverage option is a big risk. It's a good idea to compare multiple comprehensive plans before deciding on one for the best long-term value. 

2. Are there any lifetime limits, per-visit limits, or waiting periods that will affect my coverage?

Different types of limits are common in insurance. To evaluate health coverage properly, make sure you look closely at the details. Are seemingly high maximums limited by low combined maximums? Will low per-visit limits mean you have to pay more out of pocket when you need treatment? Here's a brief overview of some of the limits than can affect your coverage.

Combined Maximums - This is the maximum for multiple services combined. It often applies in addition to the maximums that apply to each individual service, and it's typically lower than the total of the individual maximums. For example, the individual limit might be $500 for each of massage, physio, chiropractor, naturopath, psychologist, etc., while the combined maximum might be $1000. 

Per-Visit Limits - In addition to overall maximums, some services may have per-visit limits or a limit for each session of a covered service. This means you will only be reimbursed up to a certain dollar amount for a service, regardless of what you paid. For many plans per-visit limits are lower than the going market rate of a service, which can lead to paying more out-of-pocket. 

Lifetime Maximums - In addition to annual maximums, plan may apply a lifetime maximum for a particular service or item. Once the lifetime maximum is reached, the service is no longer covered under your plan. 

3. Will my plan have any exclusions?

Most medically underwritten plans (plans that ask health questions) either exclude pre-existing conditions from coverage or charge an additional premium to cover the additional risk. Plans may also exclude certain categories of medication or treatment. Common exclusions include weight loss medications, fertility treatment, and smoking cessation medications. Plans with exclusions may still be the best option for you because they can offer enough additional coverage to provide value. However, it's important to evaluate plans based on what you will actually be eligible for given your health history rather than standard coverage. Exclusions may extend beyond a particular medication to any current and future treatment for the condition or any related health issues. Your advisor will be able to confirm if the plan you're considering will be subject to any exclusions. 

4. Will my rates go up?

Once you get a quote for coverage, you'll want to know how long the rates are good for. Just like other products and services, health insurance premiums may go up over time due to increasing healthcare costs and inflation. Some plans also increase rates automatically with age, typically starting at age 45. It's impossible to gauge all future increases. However, you can ask about age-related increases you will face in the future, the amount of the most recent general increase, any rate guarantees, or if there is an already scheduled rate increase coming soon. 

5. Will I have access to a personal advisor or claims support?

You want to be confident there is someone to contact if you have any questions about your coverage or how to claim, need to change or cancel coverage, or want additional insurance. Most large insurance companies have extensive support departments to help with any questions or issues, but you are unlikely to have a personal advisor to contact. If you work with a smaller company or independent broker, you may have a dedicated advisor who will handle your requests and can help with all your insurance needs. 

You can decide which is most important to you, large 24/7 call centre access, or direct contact with a smaller team of dedicated, expert advisors. 

Other factors you may want to consider ...

Insurance is an important decision. Remember, what's right for somebody else may not be what's best for you. It pays to take the time to ask the right questions. 

Our advisors are always here to help.

Why do insurance companies ask health questions?

If you've looked into health insurance you've likely noticed plan options with 'no medical questions asked'. These plans are often heavily promoted by insurance companies. It's simple to apply and coverage is guaranteed. Sounds pretty good, right? Well, maybe. If you're healthy, a medically underwritten plan - a plan that asks health questions - is almost always better for you. Read on to learn which plans ask health questions and why it matters to you. 

What is 'medically underwritten'?

A medically underwritten insurance plan is one that asks health questions when you apply. An underwriter reviews your answers to these questions to determine eligibility, premium (your costs), or if there will be any exclusions from your coverage based on your health. Because the insurance company can review you health history to assess potential future healthcare needs prior to acceptance, these plans can offer better coverage for less. In contrast, a guaranteed acceptance plan does not ask health questions.  

Why do insurance companies ask health questions?

What type of questions are asked?

Health insurance applications ask about your current and past health, whether you have been diagnosed with or sought treatment for any health conditions, whether you are taking any prescription medications, or expect to receive treatment in the future. Questions generally cover both physical and mental health. 

Do you need to get a medical exam?

No. Medical exams are not typically required for health and dental insurance. Some life insurance policies do require a medical exam prior to approval, but many do not.

Who should apply for a medically underwritten plan?

Anyone in general good health should apply for a medically underwritten plan instead of a guaranteed acceptance plan. Medically underwritten plans are far better value than plans with no medical questions because they offer more coverage for less money. If it turns out you don't qualify for the underwritten plan your advisor can help you find an alternate option. 

Who should apply for a guaranteed acceptance plan?

Guaranteed acceptance plans are a good choice if you have existing health expenses and are not eligible for a medically underwritten plan. While coverage maximums are lower, these plans can still cover a portion of your current expenses and offer additional protection for other health needs that arise. Unfortunately, many insurance companies push guaranteed acceptance plans to people who don't need them to help protect their bottom line. When healthy people without costly current health expenses join a plan, it keep claims lower and boosts insurer profits. 

Why didn't I have to answer health questions to join my workplace plan?

Group insurance plans offered through an employer have different rules than individual plans. All full-time employees must be allowed to participate regardless of their health history. The risk of high claims cost is taken on by the employer who is responsible for any increased rates the insurance company charges. 

Shouldn't health insurance be available to everyone regardless of health?

Health insurance is available to most residents of Canada through the provincial government. Private health insurance is meant to supplement the limited coverage provided by these government plans and guaranteed acceptance plans are available to everyone regardless of health history. 

Will my health information stay private?

Yes, When you complete an application, you release your information to the insurance company for the purposes of determining your eligibility and administering your policy. Your personal information is not shared with third parties not directly involved in the administration of your insurance. 

What if I leave out some health details when I apply? Will I get better coverage?

When you complete an insurance application, it is important to answer all questions honestly and completely. Not doing so could constitute insurance fraud and may result in coverage limitations, termination of your coverage, or even legal consequences. It's also important to remember, your insurance advisor wants to see you covered. The information you provide helps the advisor find the best plan that matches your needs. 

Are Health Plus PRIORITY and OPTIMUM plans medically underwritten?

Yes. Health Plus plans require a health questionnaire to apply. However, Health Plus treats pre-existing conditions differently than other providers. In many cases, people with pre-existing conditions qualify for coverage at an adjusted rate that covers existing medication and treatment. Other plans typically exclude the pre-existing condition and any related treatment entirely. Plus, if you're self-employed, the extra premium is also tax deductible. The best way to know if you qualify is to apply. There is no commitment on your part until we confirm your coverage and rate with you, and you give us the go-ahead to enroll you in the plan. 

5 Good Reasons for Freelancers to Have Business Insurance Coverage (Guest Post)

Freelancers in Canada play a vital role in the national economy. Whether you're a freelance writer, independent consultant, or a solo entrepreneur, you are exposed to various risks in the course of your work. That's why it's crucial for freelancers to seriously consider having business insurance coverage in Canada. In this article, we will explore five compelling reasons why freelancers should consider purchasing business insurance.

1. Protection in Case of Disputes

One of the primary benefits of business insurance for freelancers is protection in case of disputes. If a client is dissatisfied with your work or if a third party suffers harm due to your professional activities, you could potentially face costly legal proceedings. Professional liability insurance can shield you by covering legal fees, settlements, and potential judgments. This allows you to work with peace of mind, knowing you have protection in place for such situations.

2. Financial Security in Case of Illness or Injury

Freelancers in Canada do not have the same benefits when it comes to sick leave or disability benefits as full-time employees. If you fall ill or are involved in an accident that prevents you from working, you could find yourself in a financially challenging situation. Business disability insurance can provide a safety net by disbursing benefits to offset a portion of your lost income in cases of temporary or permanent disability. This can help you maintain your standard of living and meet your financial needs during a difficult period.

3. Protection for Your Business and Equipment

If you use expensive equipment or tools in your freelance work, it's essential to safeguard them. Commercial property insurance can assist in covering the costs of replacing or repairing your equipment in case of theft, accidental damage, or natural disasters. Moreover, if your business heavily relies on your physical presence to generate income, disability insurance tied to loss of income due to illness or injury can help keep your business afloat in the event of your inability to work.

4. Managing Contract-Related Risks

As a freelancer, you may enter into contracts with your clients. These contracts might include liability clauses, delivery deadlines, and other commitments. In case of contract breaches or disputes arising from contractual obligations, you could be exposed to claims from clients. Professional liability insurance can aid in managing these risks by providing financial protection in case of contract-related litigation. This allows you to negotiate contracts with confidence, knowing you have coverage in place in case of issues.

5. Enhancing Credibility and Client Trust

Lastly, having business insurance can enhance your credibility as a freelancer in the eyes of your clients. Clients often seek professionals who take their business seriously and are willing to invest in protective measures. Having business insurance can set you apart from the competition and reassure your clients about your commitment to delivering quality and reliable work. It can also help you establish long-term trust-based relationships with clients, which can be invaluable for the long-term success of your business.

Conclusion

In conclusion, business insurance is a crucial element of risk management for freelancers in Canada. It provides protection in disputes, financial security in case of illness or injury, safeguards your business and equipment, helps manage contract-related risks, and enhances credibility with clients. While it may represent an additional cost, the benefits of business insurance far outweigh the drawbacks. By investing in appropriate insurance coverage, you can protect your business and financial future while strengthening your position in the market as a trustworthy and competent professional. Therefore, it is advisable for all freelancers in Canada to carefully assess their business insurance needs and select coverage that suits their specific circumstances.

With an increasing number of Canadians starting their own business, working freelance, or entering the ‘gig economy’, many workers do not have health and dental benefits. If you’re one of the millions of Canadians on their own for health insurance, you’ve likely asked yourself, ‘Is private health insurance worth it?’.

While not a requirement, private health insurance is generally a good idea to cover what’s not included in provincial coverage. Private plans can cover both routine expenses and protect you against the impact of large unexpected or ongoing health bills. As insurance advisors, we’ve seen the reality of medical bills, and always recommend a good plan. To come to your own conclusion about health insurance, here are a few questions to ask.

Do you already have coverage?

How much are you currently spending?

What you spend now on healthcare has a big impact on the insurance plan that is right for you. However, if you have few expenses now, don’t make the big mistake of only considering current spending. If you have no large health expenses, it can be hard to gauge the value of insurance. But the risk of future health issues and the expenses that come with them is very real. Understanding potential future costs should factor into your decision.

Medically underwritten vs. guaranteed acceptance

The insurance that will be right for you is closely related to your current health expenses. If you have an existing chronic or serious health condition and corresponding expenses, a guaranteed acceptance plan is likely your best option. These plans don’t ask medical questions and will pay for existing costs, which makes them a no-brainer for many people. However, if you have no or low health expenses, you will likely want a medically underwritten plan. After filling in a medical questionnaire you will save money on premiums and get better coverage. It’s important to know that these better value plans are typically only available to enrol in when you’re healthy. Learn more about what’s right for you.

What is your risk tolerance?

Insurance is all about managing risk and being prepared for the unexpected. Unfortunately, the risk of developing a chronic health issue or needing other expensive healthcare is very real. 44% of Canadian adults have a chronic health condition, with many specialty medications costing upwards of $10,000 per year. Will you be financially able to pay for large, unexpected health costs out of pocket?

Of course, an emergency fund is always a good idea, but are you comfortable with the risk that it may not cover the bills for necessary healthcare? In contrast, health insurance provides a manageable monthly expense you can budget for.  

If you'd like to get covered check out Health Plus plan options or get in touch to learn more and compare. 

5 Common Small Business Employee Benefit Myths

The employee benefit plan is a staple of large corporations. But as a small business owner, you may feel you have no good options. Traditional group insurance is not cost-effective for groups of fewer than 10 people. This leaves owners with smaller teams with poor coverage options for astronomical rates. When you care about your team, even if that's just you and one other person doing the jobs of 5 people, are you out of luck? Short answer, no. 

Let's break down some common misconceptions about health insurance for small business. 

Myth #1: You need a minimum number of employees to offer benefits

Many small business owners assume only big companies can offer their people great benefits. That's not true. Whether you're a business or 1 or 5000, there are great insurance options. However, when it comes to insurance, one size does not fit all. A plan specifically designed for small business will give you the benefits you want and include measures to keep your costs reasonable. Individual insurance plans can also be great options that offer flexibility for small or growing businesses, or businesses with a lot of contract, part-time, or freelance workers who would otherwise not qualify for a traditional group plan. These plans are tax-deductible too. 

Myth #2: There are no options for part-time or contract workers

Part-time and contract workers tend to get the shaft when it comes to traditional group insurance programs. Group insurance rules stipulate that very small plans must cover all full-time employees. Part-time employees generally don't qualify at all. There are options available that include all workers regardless of full or part-time status. These plans can be portable, which means workers have the option to carry a plan with them between contracts, or if they change jobs. Health Spending Accounts (HSA) can also help provide benefits to a diverse group of employees. But keep in mind an HSA is not a replacement for insurance. 

Myth #3: Employee benefit plans aren't affordable for small business

Insurance rates are determined based on claims made by plan members, the employees in a traditional group plan. Due to size, a small business is at much larger risk for steep rate increases when employees use their insurance. We know, it doesn't seem fair. The good news is options such as Health Plus PRIORITY and OPTIMUM plans offer excellent coverage and keep rates low. They also give owners flexibility on who to cover and how much to contribute to the cost. The risk of high claims is dispersed across all the businesses who are members of the plans. This keeps rates stable. If you do opt for a group plan, a dedicated small business advisor can also help you keep costs down with a plan design that will work for you and your team. 

Myth #4: The administration of employee benefit plans is a lot of work

This can be true. Traditional group insurance plans require a fair amount of paperwork and it's your responsibility to make sure your employees enrol. However, if you choose to go the non-traditional route, you can get quality benefits and leave the administration to the insurance experts. 

Myth #5: Health insurance isn't that important anymore because employees want new perks such as remote work

While it's definitely true that today's workers care about holistic benefits, not just a pay cheque and a dental plan, health insurance is still incredibly valued. In fact, 8 in 10 Canadians value health insurance above other insurance included in benefits packages. As well, some plans already come with or can be designed to include additional health and wellness benefits, such as an Employee Assistance Plan (EAP), your team will appreciate.

Your business is unique. What works for someone else might not work for you. The best way to figure out what's right for you is do your research, talk with your team, and work with a qualified small business advisor. On top of offering exclusive health plans you won't find anywhere else, Health Plus is a licensed broker and expert in small business benefits.  

When is the best time to buy health insurance?

If you’ve had health benefits through an employer in the past, you may never have had to think about buying health insurance. It’s just been there. But if you’re on your own for benefits now you may be wondering, is it really the right time to sign up?  

Here’s the reality: the best time to buy health insurance is as soon as possible. There is a common misunderstanding that insurance is something you don’t need while you’re healthy. If you have minimal health expenses now why pay for someone else to cover your health bills? The answer lies in risk and what health insurance is actually meant for.

What is health insurance for?

At its most basic, insurance is financial protection against the possibility of illness or injury. Your insurance plan is an agreement the insurer will pay a portion of both your current and, most importantly, future health expenses.   

What does health insurance cover?

The specifics of what’s covered under a health insurance plan depend on the plan itself. Generally, plans include some combination of coverage for prescription drugs, health (such as medical supplies), dental, and paramedical which refers to professional practitioners such as massage and physiotherapists. These are all services not included in provincial health coverage. Plans may also include vision, travel emergency health coverage, semi-private hospital, and some extras. Some of these covered expenses are for routine care and some are for unexpected emergent or ongoing expenses. 

See what's included in Health Plus PRIORITY and OPTIMUM plans here. 

What if I don't spend that much money now?

It’s natural to not want to spend money on insurance premiums if you don’t see an equal or greater return. But you’re missing part of the equation, the risk of developing health issues in the future, either acute or chronic. 44% of Canadians aged 20+ have at least one of ten common chronic conditions, a number that rises to 73% for those 65+. Do you have an adequate emergency fund to deal with ongoing health expenses in the event of illness or injury? 

Plus, some plans such as Health Plus PRIORITY and OPTIMUM come with extras you can use now. Like LifeWorks, which offers professional counselling, financial and health resources, and more. These plans offer both future protection and present-day value.  

Because health insurance rates are determined based on a presumption of risk, if you’re young and healthy, your rates will be lower. If you already have health issues, plans with ‘no medical questions’ do exist, but they have lower coverage limits and tend to cost more. The best time to sign up for health insurance is when you’re healthy. It’s the only time you’re guaranteed to have the best plan options for the lowest rates, and know you’re covered for whatever the future holds. 

How credit card insurance works

Have you ever wondered about credit card insurance? Financial expert Barry Choi of Money We Have explains how it works and what to look out for.

When used responsibly, credit cards can be a great tool to help you manage your money. While everyone knows you can use them to make interest free payments, what you may not realize is that many cards come with insurance policies that can be quite useful. 

Generally speaking, these types of insurance are broken into two types: travel and purchase insurance. Like any other insurance policy, you never hope to use it. However, if you do need to make a claim, you'll be glad to have it. Although the insurance policies are automatically included with your credit card, there's still specific criteria that needs to be met before it becomes valid. Additionally, what you're covered for isn't always clear, that's why you need to know how credit card insurance works. 

Types of travel insurance

Every insurance policy included with credit cards is different, so you always need to read the terms and conditions. That said, the following are the most common types of insurance policies included. It's worth noting that not every credit card includes all of the insurance policies: 

Travel medical insurance 

Travel medical insurance is arguably the most important type of travel insurance. As the name implies, it'll cover you if you need to seek medical attention whenever you leave the province where you reside. What many people don't realize is that the cost of health care can be extremely high in some countries, but if you have travel medical insurance, you should be covered. 

It's worth noting that most credit card travel insurance policies require you to contact them before you seek medical attention (if possible). They'll then open up a claim and direct you to the nearest clinic or hospital. 

Premium travel insurance

Premium travel insurance covers travel claims that aren't medical related. Things such as trip cancellation, trip interruption, delayed baggage, hotel/motel burglary, and rental car insurance would all fall under premium travel insurance. 

Many of the best travel credit cards in Canada including the American Express Platinum Card come with both travel medical and premium travel insurance. That said, you do need to read your policy details as not every type of premium travel insurance may be included. there are also maximum limits for each type of insurance to be aware of when making a claim. 

Mobile device insurance

In recent years, mobile device insurance has become more popular with credit card providers. If you have the insurance, your mobile devices which include mobile phones and tablets are insured. In most cased, there's a cap of $100 - $1500 in insurance coverage. There's also depreciation and a deductible to factor in when making a claim. That may annoy some people, but it's a handy insurance policy to have if you every need to make a claim. 

Purchase protection

Many credit cards include purchase protection, but not many people make claims. With this insurance, your purchases are usually protected from theft, loss and damage for 90 days from your purchase date. 

Extended warranty 

Extended warranty policies are another form of insurance that can be incredibly handy. Under this policy, your manufacturer's warranty is usually doubled up to one additional year. For example, if your purchases have a one year warranty policy, it gets doubled if you have extended warranty through your credit card. If you have to make a claim between years 1 and 2, you would make it through your credit card provider.  

How to ensure your credit card insurance is valid

As mentioned, you really need to pay attention to the details of your credit card insurance policies. With travel medical insurance, you're covered no matter what, but with all the other insurance policies you usually need to charge the full amount of your purchases to your card with the insurance for it to be valid. 

Pay special attention to your premium travel insurance details. For example, some policies say you need to charge the full amount of your travel purchases to your card for the insurance to be valid, while other cards might say 75%. If you're using points to offset your costs, your insurance policy may no longer be valid since you're not paying the full amount. 

With purchase insurance policies, you need to make sure you hang onto the receipts of your purchases. Additionally, you'll need to provide the statement when the purchase was made if you need to make a claim. Without both items, your insurance claim will likely be denied. 

When it comes to mobile device insurance., you need to pay for the entire device with your credit card. If you're getting your hardware subsidized, then you need to pay your monthly bills with your credit card with the mobile device insurance. 

Is credit card insurance worth it?

Having insurance is never a bad thing, you just need to make sure you understand the policy details. There's absolutely no reason why you shouldn't make a claim if you have the insurance. 

That said, the devil really is in the details. For example, credit card travel medical insurance for seniors typically only last 3 days. That's obviously not enough for most people, so you'd be better off buying a separate policy that provides you enough coverage for your needs

About the author

Barry Choi is an award-winning consumer and travel expert. his specialty is making tough financial topics easy to understand. You can read more of his articles at moneywehave.com 

Health Insurance vs. Emergency Funds

Just to put it out there at the outset, we believe everyone should have health insurance. We're insurers, which means we're not huge risk takers, at least in this area. We've seen the trends in health spending over the years. We want people to be protected. That said, you should have the knowledge to make your own decision. So we'll break it down for you. Can you "self-insure" with your own medical emergency fund or should you sign up for health insurance?

What is an emergency fund?

An emergency fund is money set aside for, you guessed it, emergencies or situations when you need quick access to money to deal with something unexpected, such as job loss. A medical emergency fund is savings specifically reserved for medical emergencies, such as illness or a serious accident. These savings can be integrated into your regular emergency fund or separate. 

What specifically are you saving for?

With any good savings goal there are a couple of important questions to answer. What are you saving for? And how much do you need? We'll get to the second question in a minute but first, let's consider what you actually need to save for. Routine health expenses such as annual dental exams, contact lenses, or occasional professional therapy are not emergencies and can be built into your regular budget. Unexpected costs due to illness or injury are what you should prepare for. They may include ongoing expensive prescription medication costs, medical equipment, extensive physiotherapy or nursing care. These costs could also include related expenses such as time off work to recover, non-medical assistance in your business or household, or home modifications. 

How much do you need in your health emergency fund?

In a typical emergency fund, financial experts advise saving between 3-6 months living expenses. If you choose to go without any insurance, you should consider having additional money saved so that in the event of an emergency, you don't have to dip into money earmarked for routine living expenses. This is particularly important as medical emergencies often impact your ability to work. But how much is the right amount to save? There is no one answer; everyone's access to outside support and risk of developing chronic illness or sustaining a serious injury are different. In part due to the optimism bias, we tend to underestimate this risk for ourselves. Looking at some actual numbers can help. The average cost of specialty drugs in Canada is almost $20 000 / year. These drugs treat chronic inflammatory conditions such as rheumatoid arthritis, Crohn’s disease, and severe psoriasis, as well as cancers and other conditions. 1 in 5 Canadians experience a mental health problem or illness in any given year. With a gap in mental health services in public healthcare, Canadians spend an estimate of $950 million per year on psychologists.

What is health insurance?

Health insurance provides protection against the possibility of financial loss by paying for some or all of your medical bills. Provincial plans alone do not cover all routine healthcare or unexpected costs. Private health insurance for which you pay a fee, usually monthly, provides coverage for many health expenses not covered by provincial insurance. 

While coverage for routine medical expenses is good, the true benefit of insurance is protection against the risk of facing large, unexpected, ongoing expenses that could entirely drain a typical emergency fund. Disability insurance is also important to consider. It replaces some of your income should you become unable to work due to illness or injury. 

Why you should have both an emergency fund and health insurance

If the past two years have taught us anything it's that life is unpredictable. A serious health issue can wipe out a typical emergency fund quite quickly. While you can build up a larger safety net, through your own savings, your money can work better for you. Insurance, including health and disability provides a regular, budget-able, tax-deductible expense. After building up a modest emergency fund, you can focus on growing your money through investing, or using it for personal or professional projects, guilt and worry free. While it's true there's always a risk you won't "need" all your insurance, that means you'll have been lucky enough to lead a healthy life. Both insurance and an emergency fund provide peace of mind. Both help you build a healthy, resilient financial future.

It’s safe to say many of us are dreaming of travelling once again, whether near or far. In those dreams, our trips are flawless, with great sites, great food, great people. If all your past trips have gone smoothly, or even if you’ve had a minor health issue in a destination with accessible, affordable healthcare, you may be questioning whether you can get away without travel insurance.

While chances are your future travels will be just as smooth, seasoned travellers know not everything always goes according to plan. And as insurers, we’ve seen the costs of an accident or illness on vacation.

To help you prepare for your next trip, let’s break down what travel insurance can offer.

Emergency Health Coverage

This is the most important type of coverage you should have when travelling. Emergency out-of-country medical coverage will pay if you have an accident or unexpected illness during your trip. Healthcare costs in some countries can be staggering, including our southern neighbour where a hospital stay can be thousands of dollars per day. Another benefit that is often overlooked is support in navigating the health system in a foreign country and finding quality care quickly. This can make the difference to your health and potentially salvage your trip.  

Health Plus plans include emergency health coverage for up to 60 days per trip. Coverage includes:

• 24/7 access to a travel assistance hotline, for help accessing safe, local medical care
• Medical costs such as exams and hospitalization
• Emergency medical transportation or repatriation, if necessary
• Certain out-of-pocket expenses in the event of hospitalization (e.g.child care)

What about COVID?

At the beginning of the pandemic, many insurers limited coverage for COVID-19 related expenses in accordance with travel restrictions. Most of those limitations have since been lifted, although specific coverage will vary by insurer. Cooperators, who provide the travel insurance included in Health Plus plans cover COVID-19 while travelling. Tests required for travel purposes such as border crossing are not covered.   If you have a pre-existing condition or any chronic health issue, make sure you check your policy for any exclusions related to travel.  

Trip Cancellation, Interruption & Lost Baggage

Many people focus on these areas of coverage, because let’s face it, having to cancel or reschedule a trip or losing your belongings is disappointing, stressful, and expensive. Others take the approach, don’t travel with anything you can’t afford to lose. After all, your belongings can be replaced, your health cannot. If you do choose to purchase this type of travel insurance (it’s not included in Health Plus plans), it is important to read your policy as many have restrictions and limitations.

It’s always up to you to determine how much risk you’re willing to take. But when it comes to your health, we advise you to protect yourself when travelling. The risk to your wallet, health, and trip just isn’t worth it. Check your existing coverage to determine exactly what you’re already covered for and work with a qualified advisor to fill in any gaps.