FAQ - Travel Insurance

Q.
What is meant by Daily Allowance?
Ans

Daily allowance is a per day compensation paid to the insured in the event of an incidence such as hospitalization, hijack, etc. 

Let us understand the different incidence in which the insured will get Daily Compensation:

Hospital Daily Allowance:

In the event the insured is hospitalised due to illness/ sickness/ diseases or injury, the company shall pay a compensation for each continuous and completed period of 24hrs of hospitalization. However, the liability to make the payment will commence after the insured person is hospitalised beyond a specified number of days as mentioned in the Policy Schedule.

Exclusion:

The company shall not make any payment for any claims under the below circumstances:

  1. Any absence from India which is for the purpose of obtaining medical treatment.
  2. Pre-Existing condition
  3. Any medical treatment which was not medically necessary or could reasonably have been delayed until the Insured Person returns to India. 

Hijack Daily Allowance/ Hijack Distress Allowance:

In the event if the aircraft in which the insured is travelling as a fare-paying passenger to or from a foreign country during the risk period is hijacked then the insurance company shall pay a compensation as specified in the schedule. However, the company is liable to pay if the journey is interrupted for a continuous and completed period of more than 12hrs. 

Exclusion:

The company shall not make any payment for any claims under the below circumstances:

    1. First 12 hrs of Hijacking
    2. Any claim where the insured person is considered as the principal or accessory or is in any way involved with the Hijacking
    3. Any claim as a consequence of a change in the direction of the route of the aircraft due to traffic, weather, fuel shortage, technical snag or security reasons.  

The allowance amount could vary from company to company. Please refer the company brochure & policy wordings for further information. 

Comments powered by Disqus