Fact or fiction? 9 popular travel insurance myths debunked

Choosing travel insurance can feel confusing. When should you buy it? Which policy fits your trip? Will it cover that helicopter tour you've already booked?

Many travellers don't realize they should have travel insurance whenever they leave Ontario, even for a trip within Canada. Others are surprised to learn that some activities, like hot-air ballooning, may need extra coverage.

We recently asked CAA Members about some common travel insurance myths, and the answers were revealing. See if you know fact from fiction.

See if you know fact from fiction.

Myth 1: I can wait to buy travel insurance until right before my trip

Almost 40 per cent of CAA Members think you don't need travel insurance until a few days before you go. But it's best not to wait until you're zipping up your suitcase to get coverage.

For some policies, like trip cancellation and interruption insurance, you'll need to buy as soon as you book. Buying early gives you more plan options and a longer window for trip cancellation benefits. If your flight gets rescheduled and you can't make it, you'll be protected, even if the change happens months in advance.

Buying early also helps you qualify for time-sensitive benefits like Cancel For Any Reason. You typically must buy this benefit within 72 hours of your initial trip deposit or booking. Wait too long, and you could miss out on the chance to add it. The simple rule: book your trip, then book your coverage.

Trip interruption benefits can also come in handy once you're on your way. Some plans include flight delay benefits, which can help cover eligible costs when travel delays unexpectedly affect your trip. Think of a missed connection or an unplanned overnight stay.

Myth 2: Travel insurance won't cover me if I have a pre-existing medical condition

Don't let a pre-existing health condition keep you from travelling protected. Some 55 per cent of CAA Members know you can purchase a Pre-Existing Conditions rider¹ through CAA Travel Insurance. It helps protect you if your health conditions are stable before you go.

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If you're under 70, we cover pre-existing conditions if your health has remained stable for three months before you travel. If you're 70 or older, you'll need stable health conditions for six months before travelling.

Myth 3: I don't need travel insurance when travelling in Canada, because I'm covered under OHIP

Most CAA Members (82 per cent, to be exact) know travel insurance is an important purchase whenever you travel outside of Ontario. Even if you're travelling within Canada, OHIP doesn't cover all medical expenses. Ambulance services and prescription drugs supplied outside a hospital are two common gaps.

That's why it's smart to have travel insurance that covers:

Hospital stays, lab tests, nursing and ground ambulance, emergency dental expenses, and reimbursements for vision care, hearing aids, pet care and kennel stays.

Myth 4: Travel insurance only covers medical emergencies

Among our Members, 22 per cent think travel insurance only protects against medical emergencies. In fact, CAA Travel Insurance offers much more, including coverage for:

Trip cancellation and interruption, travel accidents, baggage loss, and more.

Trip interruption coverage can also extend to flight delay benefits on some plans. These help cover eligible costs, like meals or accommodations, when a delay unexpectedly throws off your travel plans. Our comprehensive coverage exceeds the benefits offered through group or credit card plans.

Myth 5: If I go on a helicopter tour, getting added coverage is unnecessary

A basic travel insurance plan might not cover activities like helicopter tours or hot-air balloon rides. CAA Members are split on this myth, with 47 per cent believing added coverage isn't necessary. But you really do need it.

If one of these activities is on your itinerary, add an Adventurous Air Activities rider to your CAA Travel Insurance policy. It gives you peace of mind and medical coverage while you're parasailing, hot-air ballooning or taking in the view from a helicopter.

You can add an Adventurous Air Activities rider to all emergency medical and vacation package plans. It includes optional medical coverage up to $5,000,000 CAD for death or injury sustained.

Myth 6: It's cheaper to buy a single-trip insurance plan if I'm a frequent traveller

Only 15 per cent of CAA Members don't realize a multi-trip insurance plan² can save frequent travellers time and money. This plan protects against the cost of unexpected medical emergencies for multiple individual trips throughout the year, up to 4, 8, 15, 30 or 60 days each. The more you travel with a multi-trip plan, the more you save.

A few things to know:

Coverage starts each time you leave Canada. If your trip runs longer than the days included in your plan, you can purchase a top-up. And if you're travelling within Canada, your travel days are unlimited — no top-up needed.

Myth 7: My credit card or group benefits plan has all the coverage I need

While 23 per cent of CAA Members believe credit cards and group benefits have everything they need, not all credit card companies include travel insurance. You may also need to top up your group benefits plan before your trip.

Not sure where you stand? Ask a CAA Travel Agent to review your policy and travel plans. We'll make sure you've got the coverage you need.

Whatever policy you choose, the most important thing is that it fits your individual needs.

Myth 8: There are no insurance plans that cover car rentals

Only 19 per cent of CAA Members believe travel insurance won't cover car rentals. The good news: you can keep all your insurance in one place with CAA. CAA Travel Insurance now offers Rental Vehicle Damage Insurance, so if you get in an accident, it won't count against your personal auto policy.

Myth 9: It's difficult to buy travel insurance online

Most CAA Members (80 per cent) know it's easy to get coverage online. In just a few simple steps, you can get your quote and CAA Member savings (up to 20 per cent off³) without waiting.

We've listened to feedback from our Members and simplified the online process, making it easier than ever to travel safely.

Travel Smarter with the right coverage

Travel insurance isn't something to grab at the last minute or assume you already have. Buying early unlocks benefits like Cancel For Any Reason, and the right plan can cover far more than medical emergencies, from flight delays to rental car damage.

The steps are simple: buy coverage when you book so you don't miss time-sensitive benefits, check your existing plans for gaps in credit card or group coverage, add riders for pre-existing conditions or adventurous air activities if you need them, and consider a multi-trip plan if you travel often.

Have questions? Get a quote online or chat with a CAA Travel Agent who can help you find the coverage that fits your trip.

CAA Travel Insurance, an Orion Travel Insurance product, is underwritten by Echelon Insurance. Certain exclusions, limitations and restrictions apply. A Medical Questionnaire may be required if you are 60 years of age and older.

1. All pre-existing medical conditions must be stable within 7 days prior to departure. Certain exclusions, limitations and restrictions apply.

2. Medical Multi-Trip Plans cover 4, 8, 15, 30 or 60 days per trip depending on the plan you purchased. Top-Up coverage is available for longer trips. Coverage cannot extend beyond 365 days from departure date or effective date.

3. Applies to CAA Members in good standing (CAA Membership dues paid in full by Membership expiry date). Up to twenty percent (20%) savings applies to the total premium excluding applicable taxes. Minimum premium applies. Subject to change without notice. Excludes Visitors to Canada Insurance. CAA Everyday, Classic®, and Plus® Members save 10%. CAA Premier® Members save 20% at CAA Stores or by calling 1-800-705-1803. CAA Premier Members save 10% and earn 10% in CAA Dollars® when booking online.

®CAA trademarks are owned by, and use is authorized by, the Canadian Automobile Association.