Travel Insurance for a Family with Kids: A Complete Guide

What is Family Travel Insurance?

A family travel insurance plan protects you and your family from several medical and non-medical emergencies under one policy, so that you do not have to buy separate policies for everyone. It covers several expenses, such as lost passports, missed flights, trip delays, and foreign medical expenditure. The sum insured is shared by all insured family members. Typically, it includes you, your spouse (up to 60 years old), and up to two dependent children under 21 or 25 years old. You can buy a single or multi-trip travel insurance plan, depending on how frequently you travel.

Why Do You Need Travel Insurance for a Family With Kids?

Here are some important reasons why getting travel insurance for your family holidays is a smart and caring decision:

• One Policy for All: A family travel insurance plan covers everyone under a single policy, eliminating the need to buy individual policies for each family member.
• Budget-friendly: The cost of buying one family travel insurance plan is often lower than the cost of buying separate coverage for everyone, as everyone in the family shares the coverage amount.
• Visa Requirements: Many countries, right from Australia to Schengen countries and the United Arab Emirates, require travel insurance for tourist visas. This policy assists you in complying with visa rules easily for the whole family together.
• Multi-trip Coverage Option: You can buy a multi-trip travel insurance policy covering short and long trips for up to 180 days, and can get it extended as well, as per requirements.
• 24/7 Assistance: Many insurers offer a 24/7 global helpline for policy-related assistance, which is helpful during emergencies abroad.

What is Covered Under Family Travel Insurance?

Travel insurance for a family with kids is designed to protect against common travel risks. From health issues to cancelled flights, here is what your policy usually covers:

1. Medical Treatment

   Family travel insurance helps cover different medical expenses, such as:

   • Hospitalisation costs
   • OPD treatment charges
   • Ambulance costs
   • Medical evacuation
   • Repatriation of mortal remains in case of death

2. Dental Treatments

   Your travel insurance may cover dental issues, including acute anaesthetic therapies that require urgent treatment.

3. Accidents Abroad

   An international family travel insurance policy provides a lump sum payment in case an insured family member suffers an accidental death or disability abroad.

4. Trip Cancellation

   Your travel insurance can cover non-refundable costs like flights and hotel bookings for the covered family members. It is especially helpful in situations where you may have to cancel your trip due to personal issues or natural disasters.

5. Trip Disruptions

   Family travel insurance also covers non-refundable expenses and pre-booked activities if your trip is cut short or delayed due to unavoidable circumstances.

6. Flight Issues

   Travel insurance provides compensation for unexpected expenses that occur due to flight-related issues, such as light cancellations, missed connecting flights, and delayed flights

7. Airplane Hijack

   If your flight gets hijacked, you get a pre-determined distress allowance for your family under overseas travel insurance.

8. Emergency Hotel Stays

   If you and your family need to extend your hotel stay for a few days (due to a covered event, like an earthquake or flood), family travel insurance can compensate for the additional expenses.

9. Third-party Liabilities

   Travel insurance can pay for compensation if any covered family member inadvertently causes third-party damage abroad.

10. Baggage Problems

    If the airlines lose your checked-in baggage, you can get compensated for the essential items. Additionally, delayed delivery of baggage and theft are also covered under some policies.

11. Loss of Passport

    If any family member loses their passport while travelling abroad, your insurance policy can help in arranging an emergency travel document and covers the cost of obtaining a new one.

What is Not Covered by Travel Insurance for a Family With Kids?

While a family travel insurance policy provides extensive benefits, knowing what is not included is equally important. Here are some common exclusions: 

• Non-essential Treatments: The policy does not cover cosmetic treatments, obesity treatments, and other non-urgent medical care.
• Unlawful Activities: Claims arising due to breach of the law, such as driving without a valid licence, driving while intoxicated, etc., are not covered.
• Self-injury: Medical costs for treating self-inflicted injuries or suicide attempts are excluded from travel insurance coverage.
• Adventure Sports: If you or your family members engage in any risky activity like paragliding, skydiving, or bungee jumping, the related medical costs will not be covered unless a separate add-on cover is purchased.
• Pre-existing Diseases (PEDs): The illnesses you or your family members have had prior to purchasing the policy are not covered. However, you can buy an add-on cover with your policy to insure your PEDs.
• Intoxicants or Banned Substances: Family travel insurance does not cover claims involving alcohol, drugs, intoxicants, or prohibited substances.

Tips to Choose the Right Travel Insurance for Your Family

With countless plans available, finding the right travel insurance for your family can be tricky. Follow these tips to make finding a suitable policy easier:

• Check Legal Rules: Check the pre-requisites depending upon the country you are visiting as some countries require you to have a specific minimum coverage amount. For example, to get a Schengen visa, you need a travel insurance of at least 30,000 euros.
• Compare Multiple Policies: Compare the cost and coverage of multiple family travel insurance policies to find the best option.
• Purchase Add-on Covers: You can buy add-ons for better and extended coverage. For example, purchasing an adventure sports cover is helpful if you plan to try adventurous activities.
• Buy a Policy Online: Consider buying travel insurance online to save the hassle of visiting an agent and submitting the documents physically for the whole family.