There are two areas where pre-existing conditions and stability periods can affect you with your travel insurance policy. Policies do differ, and I find that one may be better than other for a given set of circumstances. This is an important part of your contract to understand, as it can make the difference between whether or not a claim is paid.
Under the emergency medical and hospitalization, you may be covered for a pre-existing condition, but it must be stable for a specified period of time prior to the day of travel. The stability period will vary by carrier and by age of the traveller. There may be specifics relating to certain illness as well. I have seen 60, 90, 180, and 365 days. There is also a policy with a 7 day period if under age 60 and traveling for less than 36 days, and there is one that is available to business owners and their employees that has no stability period. Here is the bottom line. If you have a medical emergency while traveling that relates to a pre-exisiting condition that is not stable for the required time, do not expect your expenses to be covered. This can be significant. Of course, while you should avoid being in that situation, a claim could be made to allow the insurer to assess whether or not it can be covered. If in doubt about the stability period before the trip, you are encouraged to consult with your physician.
If you purchase trip cancellation and interruption coverage, you need to be aware of the exclusions here. Let’s start with when you have to purchase the coverage. You may be required to purchase the insurance at the time of ticketing or within so many hours or days after purchase. After that time, you may not be able to purchase it from a particular company, while another may add a condition. That condition could be, for example, any condition arising within the 72 hours following purchase of the insurance will not be covered. You can also expect to see an exclusion for conditions that were not stable in a specified period prior to purchasing the ticket or prior to deposits being non-refundable.
The best advice I leave you with is to read and understand your travel insurance policy, particularly relating to pre-existing conditions. If the seller of your policy has only one plan to offer, you may need to make enquiries to ensure it is the best for your situation.
I should also point out the option of a medically underwritten plan. At older ages (55 and 60 as examples), there may be a medical questionnaire to answer. If you cannot qualify based on your answers to the questions, or if you are definitely not stable for the required time, you may be eligible for a medically underwritten plan through at least one insurer. Further consideration is given to your personal situation, and a premium is quoted if coverage can be provided.
Does this sound a little more complicated than you expected? It is!
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This is the blog of Antony (Tony) Ratcliffe of Ratcliffe Wealth & Risk Management, operating in Edmonton, Alberta, Canada. Tony is an independent Life and Accident & Sickness Insurance Agent and Broker. Blog entries are an expression of the author’s personal opinions, and the insurance companies represented will not be held liable in any way for the opinions expressed herein.
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