A resolution company has reported that they are dealing with five times the number of complaints.
A dispute resolution company called Financial Services Complaints has reported in its travel insurance news that there has been a massive increase in the number of travel insurance issues that have arisen over the last year.
For this reason, the company is cautioning consumers to understand their coverage before they buy.
The company reported that they have been dealing with travel insurance complaint levels that are five times higher than they were at the same time last year. They also stated that the majority of the disputes were due to a misunderstanding of the wording of the policy, or that the terms of the coverage were not written in a way that was entirely clear.
Many customers are unaware of the restrictions that are involved in standard travel insurance.
According to Susan Taylor, the chief executive of the company, there are many limitations and exceptions involved in travel insurance coverage, and many customers are not always familiar with what they are before they head off on their vacations. She stated that it is vital for travelers to be “absolutely certain” that they understand their coverage. Taylor pointed out that this is especially important when they intend to rely on free coverage that is often offered through banks and credit card issuers when their services or accounts are used for the booking.
She stated that “People often think, ‘well, I’m covered’. But in actual fact there are a number of restrictions with these policies, as we’re finding.” And added that “My advice would be to make sure you fully understand exactly what you’re covered for before you leave the country, and make sure that you’ve got sufficient cover for the length of your travel, and any other circumstances that you think you might need to claim on it.”
Last year, the company managed 47 complaints against insurers. Nearly two thirds of those involved travel insurance policies that had been declined. Most of those were turned down because the customer had failed to adhere to the wording of the policy and therefore it was not possible to uphold the complaint.