Travelers are” strongly encouraged” to understand the policy terms and conditions, exclusions, and benefits of the travel insurance they purchase before their trip, according to a spokesperson from the General Insurance Association of Singapore( GIA ).
A standard travel insurance policy does not cover higher risk activities, which is why this is especially true. According to the voice, these activities might require the purchase of an extended protect, depending on the employer.
According to the spokesperson, insurers even cover a different variety and type of daring or sporting activities. & nbsp;
For instance, insurer A may pay for scuba diving up to 30 meters below the surface, while insurer B & nbsp; does have a degree of up to 20 meters.
According to the director,” each insurance company may specify the activities covered and its exclusions, and individuals are encouraged to examine policies to buy one that meets their needs.” The spokesperson also added that each insurer makes business decisions regarding the type and scope of coverage as well as the terms of the policies it covers and excludes. & nbsp;
According to the GIA voice, travelers who want to participate in activities with a higher risk should evaluate their insurance to make sure that these activities are covered by medical costs, unintentional death, and permanent disability.
According to the interpreter, they are also urged to buy insurance policies that cover individual liability for these higher risk activities in the event of any harm or damage done to others, as these could also add up to sizable sums. & nbsp;
Personal injury insurance may be added to the benefits of travel insurance for those who need more protection.
However, given that the field of adventure commerce is” still more new ,” noted Assoc Prof Lau, there are spaces that need to be filled.
There are still restrictions on the kinds of activities that can be covered, he claimed.
According to Assoc Prof. Lau, these include the kinds of pre-existing health conditions that preclude cover, the types of adventure gear and equipment that must be certified, and geographic coverage.
He continued,” Some insurers are reluctant to support activities like high-altitude checking( beyond a certain height) or independent travel without an experienced( and licensed ) guide.
According to this concept, insurance companies must be creative and keep up with consumer demand as well as shifts in travel trends. “”
According to Associate Professor Chen Renbao from NUS, there are restrictions on the kinds of activities covered by insurance policy in order to lower the company’s responsibility and make the premium economical for the majority of travelers.
According to Assoc Prof. Chen, a professor in the department of finance,” if the traveler engages in dangerous activities during the course of the trip, the policyholders typically need to pay an additional advanced, and this coverage only covers the activities specified in it, or those activities typically excluded from it.” & nbsp;
He continued by saying that travel insurance typically simply covers risks associated with travel, such as mishaps, delayed flights, or lost baggage. According to him, the majority of travelers avoid engaging in risky activities while traveling and maintain lower prices. & nbsp;
But, Assoc Prof. Chen noted that as individuals become more interested in these kinds of activities, the need for underwriting that cover exciting hobbies will rise. & nbsp;
Assoc Prof. Chen argued that insurance companies may develop such policies to meet people’s needs in order to determine whether this necessitates a specialized travel healthcare plan targeted at exciting activities.
In order to accurately reflect the underlying lost supply, insurers must also use the data at their disposal, he added. In order to estimate the likelihood of an incident occurring and the typical amount of loss that would result from one, data from previous years must be used.
What potential advantages might there be to having such a plan? In the event of accidents or even death, a well-designed travel insurance policy will offer travelers the necessary protection against taking dangerous activities.
The economic burden on the insured and his or her recipient may be lessened as a result. Carriers will also have the required business and business benefits, according to Assoc Prof. Chen.
Assoc Prof Lau from SUSS concurred that insurance companies may begin researching specialized exciting activities to get covered.
In this way, users might gain from paying lower rates than with insurance that covers a variety of high-risk activities that one might not want to take part in, he continued. & nbsp;
According to Assoc Prof Lau,” This will lower the cost for the customers, make the products more appealing, and even improve the take-up level by potential experience tourists.”
As more people are willing to engage( on) for tourism choices with the knowledge that they are protected, to some extent, with specialized insurance, this will in the long run more encourage the adventure tourism industry to grow faster. ”