If you're planning a cruise, you might be contemplating whether travel insurance is necessary. Drawing from my experiences on numerous cruises, I consistently opt for travel insurance for the reasons outlined in this post.
In this post, we'll delve into insurance for cruising, although it is also relevant for all trips. We will look at :
The importance of travel insurance for a cruise
Essential inclusions for your travel insurance policy
Recommended insurance for Australia, USA and UK, with considerations for pre-existing health.
Do You Need Travel Insurance For a Cruise?
It is mandatory for all cruise guests to procure a travel insurance policy prior to embarking on their journey. Numerous cruise lines enforce this requirement, refusing embarkation to guests without a valid policy. This policy mandate applies universally, irrespective of nationality, cruise destination, or any other considerations.
Travel insurance policies come with a wide range of prices and coverage options, so it's essential to choose the policy that fits your needs and budget.
Why do You Need Travel Insurance for a Cruise?
If you're considering a cruise close to home—for instance, if you're from the US embarking on a Caribbean cruise or from Australia setting sail around the Great Barrier Reef—you might question the necessity of travel insurance.
The primary reason for requiring travel insurance on a cruise is due to the high costs associated with medical care onboard and the potential need for evacuation to land in case of an emergency. Should an accident occur at sea, the medical expenses can quickly become exorbitant and are not covered by land based medical programs like Medicare or Private Health Insurance.
If a cruise ship must be redirected or a helicopter deployed for a guest's evacuation to land, costs can easily soar into the hundreds of thousands of pounds. Without travel insurance, individuals would bear the full liability for these expenses, which could easily lead to financial hardship or bankruptcy for a family.
What Happens if You Don’t Have Travel Insurance For a Cruise?
Embarking on a cruise without travel insurance entails the risk of forfeiting your cruise fare, facing immense medical bills, being stranded in a foreign country, and more potential challenges.
In certain instances, it can be argued that the presence of travel insurance might have altered the outcome of a tragic event. One such case is that of Bruce, who suffered a fatal heart attack on a Carnival cruise in 2019, unable to return to the United States.
To delve into Bruce's story. Watch the video below from La Lido Loca
What does Cruise Travel Insurance Cover?
Cruise travel insurance encompasses coverage for medical expenses, repatriation, and costs stemming from cancellations. Additionally, cabin confinement and missed port cover can be included in cruise travel insurance for an added fee.
Here are some of the most crucial inclusions:
Cancellations:
Most travel insurance policies include coverage for cancellations. If your cruise is canceled by the cruise line, they would typically refund your fare. However, other expenses such as travel costs, hotel reservations, car parking, and similar expenses would not be covered. Travel insurance allows you to claim refunds for these types of expenses.
This coverage has become especially crucial during the coronavirus outbreak, as cruise cancellations have become more frequent.
Lost or Damaged Luggage:
Should your luggage become damaged while on the ship or during your journey, numerous travel insurance policies offer coverage for replacement items or reimbursement of costs.
Additionally, this coverage can be beneficial if you lose your passport, incurring expenses as a result.
Cabin Confinement:
A number of travel insurance policies offer "cabin confinement" cover. This means that guests would receive a predetermined amount of money per day if they were confined to their cabins due to illness.
The illness must be recognized and documented by the onboard medical center, and this coverage is designed to compensate for any loss of enjoyment.
While most guests undoubtedly prefer to be out enjoying their cruise activities, this can be a welcomed benefit for those unfortunate enough to fall ill during their voyage.
Port Cancellation:
Port cancellation coverage is typically an optional add-on to the policy, available for an additional cost. If you have port cancellation cover in your policy and a scheduled port stop is canceled for any reason, you may be eligible to claim a fixed amount per port.
While having a port canceled is never ideal, it is unfortunately a relatively common occurrence. I would estimate that around a quarter of the cruises I have been on have experienced some sort of itinerary change or cancellation.
Common reasons for these changes include:
Weather conditions (such as bad weather leading to a skipped port or substitution)
Political unrest in the area
Ports at capacity (surprisingly, this can happen)
Medical Expenses:
All travel insurance policies include coverage for medical expenses. Each policy typically specifies a maximum amount for medical coverage, often reaching into the millions of pounds.
Your travel insurance will cover your medical expenses, but in some situations, guests may need to initially pay the expenses and then seek reimbursement after the cruise.
This process commonly occurs with minor injuries, while major injury claims are usually handled directly with the travel insurer.
Cruise ships are equipped with medical centres and onboard doctors. It is a good Idea to make sure you are well stocked with your medication, first aid products and over the counter remedies.
Take a look at must have essentials from Life Well Cruised
What Are The Main Types of Cruise Travel Insurance?
Annual Policies:
For guests who frequently embark on cruises, an annual policy is often the preferred choice. This is my personal go-to option since I travel multiple times per year.
It's crucial to remember that when opting for this policy, you must select the countries you will visit for ALL your cruises at the time of purchase.
I recommend choosing worldwide coverage with no exclusions, as you might not always know in advance where your travels will take you. For instance, if you purchased an annual policy for Europe but later booked a trip to Australia, you would not be covered.
One-Trip Policies:
One-trip policies are typically best suited for guests who embark on a cruise once or twice a year.
When purchasing a one-trip policy, you will need to provide your travel dates, some personal information, and the countries you will be visiting.
This is the most commonly chosen form of travel insurance.
Things to Remember When Buying Cruise Travel Insurance
Always Purchase 'Cruise Cover':
The most crucial aspect to remember is to buy a policy that includes cruise cover. This is typically an add-on or a checkbox that you need to select when purchasing travel insurance. Without this inclusion, you would not be covered for any expenses incurred during your cruise.
Many websites will prompt you to indicate if you need cruise cover at the beginning of the quoting process. Be sure not to overlook this step!
The details of this process are elaborated further in the instructions provided later in this post.
Declare Existing Medical Conditions:
Undeclared medical conditions are a common reason for insurance claims being denied. It is imperative to disclose all illnesses, ongoing treatments, and past medical conditions when purchasing travel insurance.
It is generally better to err on the side of caution and disclose more rather than less. If you are unsure whether a medication or medical issue is relevant, it is recommended to mention it.
Some travel insurance policies may have a list of 'allowed' medical conditions that do not need to be declared, such as high blood pressure. However, this varies by insurance company.
Ensuring full disclosure of your medical history helps to avoid any potential issues with your insurance coverage. This step is crucial to ensure that you are adequately protected during your cruise.
Jill wasn't covered for a pre-existing codition:
In 2010, a couple from the UK embarked on a Princess cruise to Mexico. During the voyage, Jill experienced a heart attack and required hospitalization in Mexico.
Although the couple had travel insurance provided by their bank, it was discovered that Jill's pre-existing medical condition rendered this insurance invalid.
Many banks offer travel insurance policies; however, these policies are often general and assume that the individuals covered have no pre-existing medical conditions. Anyone with a pre-existing health issue should secure separate insurance coverage.
At 67 years old, the cost of an air ambulance to transport Jill back to the UK amounted to approximately £62,000 ($86,000).
The bank informed Jill before the cruise that she would not be covered under their policy due to her pre-existing medical condition, highlighting the importance of carefully reviewing insurance coverage details, especially when dealing with pre-existing conditions.
“We spoke to her on the telephone regarding the exclusions on her policy and actually advised her to speak to the British Heart Foundation to see if they could help her find cover.”
Jill's bank
When Should You Buy Travel Insurance For a Cruise?
Travel insurance for a cruise should be purchased immediately after booking the cruise. The coverage begins as soon as the insurance is bought. This means that if the cruise is canceled, it would be covered by the travel insurance.
The cost of travel insurance does not decrease as the sailing date approaches. Therefore, there is no reason to delay purchasing insurance. It is best to secure coverage early to ensure protection in case of unforeseen circumstances or cancellations.
How to Buy Travel Insurance For a Cruise
When purchasing travel insurance, I always recommend using a price comparison website. This allows you to enter your details once and receive multiple quotes from different companies.
Without using a comparison website, you would have to enter your details on multiple websites to compare quotes. This process can be time-consuming, and I doubt many people would want to try as many sites as a comparison site can do instantly.
US Recommendation:
Aardy (Both Pre-Existing and No Pre-Existing Conditions)
UK Recommendations:
MoneySupermarket (No Pre-Existing Conditions)
AllClear (Pre-Existing Medical Conditions)
AUS Recommendations:
Insureandgo (Pre-Existing Medical Conditions)
By using the websites mentioned above, you can also save your quotes for future reference or repurchase cover at a later date. It's completely free to use and only takes a couple of minutes.
What to Look Out For in Travel Insurance Quotes
Ensure the Policy Matches the Minimum Requirements of The Cruise Line:
Many cruise lines have their own minimum travel insurance requirements. For instance, P&O Cruises currently mandate coverage of at least £2 million for medical expenses and repatriation.
When booking a cruise, the cruise line will typically inform you of these requirements.
Upon reviewing the quotes provided to me, as shown below, most policies included the £2 million medical cover needed for a P&O cruise. However, one policy offered by Boots only had £1 million worth of medical cover.
This falls below P&O's mandatory minimum, and consequently, you would not be permitted to board the cruise with this coverage.
Ensure You're Comfortable with the Excess Amounts:
Every travel insurance policy comes with an excess amount attached. This represents the sum you must pay before the insurance coverage activates and pays the remainder. Policies with lower excesses usually come at a slightly higher cost.
For example, the three policies below have a £50 excess compared to the cheaper policies with a higher excess.
Check the Rating:
The rating provides a review of the quality of a product on a 1 to 5-star basis.
When selecting a travel insurance policy, I typically recommend looking for the most affordable policy with a 4-star rating, meeting all the cruise line's minimum requirements, and featuring an excess amount that you find acceptable.
Purchasing Travel Insurance from The Cruise Line or a Travel Agent
The majority of cruise lines and travel agents typically offer travel insurance directly. They often partner with a specific insurance company and provide quotes based on this partnership.
While this is a convenient way to obtain travel insurance, it can often be more expensive compared to doing a thorough comparison. However, booking through a cruise line ensures that the selected cover meets all the requirements specified by the cruise line.
When booking a cruise, you will usually be asked by the cruise line if you would like to add travel insurance at the point of booking.
Personally, I prefer using a comparison website, as mentioned earlier, because it offers me control and allows me to find a policy that fits both my needs and my budget. I typically opt for an annual policy, and this is easily done through a comparison website.
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