Thanks for your comments. My Sun Life medical insurance policy with travel benefits is not bad, but, because of my age (74) limits the length of each trip (30 days and the frequency of trips. The multi-trip insurance plans that you mention sound like a good idea, but I suspect there will be similar restrictions on frequency of travel etc., which negates its usefulness. A travel insurance broker’s service, as you suggest, will probably help.

Ken

I don’t know what kind of coverage limits your existing retiree policy has. These differ a lot from company to company. But I will tell you the minumum out-of- country coverage you should have: $1 million per incident for out-of-country medical emergencies, guarantees of direct payment by the insurer to foreign hospitals and doctors (you don’t want to be stuck with a $150,000 bill to be put on your credit card), and air ambulance repatriation to a hospital at home if medically necessary. I don’t know if your existing plan has that extent of coverage. Many do not. You also need to know if the medical limits are per incident or per lifetime. As you may know, your OHIP covers only a minuscule share of out-of-country medical costs, so it is up to your supplemental insurance to do the rest. The complaint I hear often about company employer or benefits plans is that the administrators of those plans are not always knowledgeable about the out-of-country emergency medical benefits and it is often difficult for beneficiaries to get a look at clear cut contracts specifying not only the benefits but the exclusions–and that’s what you need to know. If you travel a lot, the best option for you may be an annual multi-trip plan which allows you to take as many trips of a given duration (eg 30 days, 60, 90, etc) over the course of a year and you apply and pay only once. This is also a lot cheaper than buying three or four single trip plans per year. The only reliable way to make sure you meet the minimal standards I have outlined without having a lot of nasty loopholes is to check out your existing plan with a broker or insurance company that specializes in health travel coverage and especially in who offers several products and specializes in “topping up” company plans such as yours.

About your U.S. Medicare: you are correct that as a Medicare beneficiary you are entitled to hospital benefits up to the extent of Medicare coverage.
But since you don’t have Medicare Part B, you will not be covered for doctors services, phamaceuticals, specialists. And because many doctors–especially specialists–do not accept Medicare rates–you will either have to pay for their services out-of-pocket (which can be staggering) or you’ll have to wait and get the best service you can by whoever is available and prepared to do the job. Also, if you need to be rehabilitated to a hospital at home, or a specialty centre somewhere else in the U.S. neither Medicare nor OHIP will pay for that.

As for baggage loss, trip interruption or cancellation benefits, your existing insurance may cover some of that–check it out. Certainly some Homeowner’s policies cover baggage loss. But all out-of-country travel insurers routinely include such coverages in their medical plans too. I agree with you that the major item is health coverage. That’s what can cripple you financially. You won’t lose sleep over a lost bag full of a lot of stuff you probably didn ‘t need.

Milan

The travel insurance sponsored by CARP is a good plan as are many travel health insurance policies sold across Canada. The fact that
both you and your husband are in your seventies suggests one or both of you may have some medical conditions, take some medications, or see a doctor occasionally for some health concerns. Finding a plan that fits those needs is your first priority. Only then should you start comparing prices. If your health is not perfect, you may need a medically-underwritten plan which is based on your health status as determined from a medical questionnaire. Most Canadian single-trip or annual multi-trip plans carry comparable benefits, but you also need to look at their exclusions (what they don’t cover.) They also have different requirements about pre-existing conditions and you need to know how they apply to you. Premiums will differ according ot your age, health and the length of your trip. The CARP plan may very well fit all of your needs at a premium you are happy with. Ask a lot of questions and if you need some help go to a broker who specializes in travel insurance. Many of them carry different products and they can help you make reasonable comparisons.This is not a product you should buy off a shelf–not a your ages.

Milan

While medical coverage is the principal concern for the Canadian-resident traveller, other coverage usually packaged with the medical insurance, such as lost luggage, delayed flights, etc. are also of importance (but not so financially devastating as a medical event); this was brought home to us on a Caribbean cruise in January when our travelling companions’ bags were lost by the airline and the emergency allowance for immediate travel needs (eg. clothes) was very helpful. But, yes, medical coverage is the prime concern, and I would like to know how to go about getting “tailored” insurance for my specific situation. I wiil be 74 in March, 2010.

Your question is a good one. I just didn’t have the space to cover that issue in my Moneysense column. The bottom line is that the advice you were given is not adequate for your purposes. You need to see the terms of your out-of-country coveraqe and not take an administrator’s word that you are, in fact, covered as you need to be. Most employer/pension plan administrators are not experts in travel insurance and so you need better advice. Employer plans differ.
They have different covereage periods: 30 days, 60, 90, 180. Most say they cover pre-existing conditions, but there are limitations on what qualifies as a pre-ex: Is it stable or unstable? Has it required treatment within a certain period before travel? Are you taking medications for it? etc. etc. You need to know what those qaualifiers are and how they apply to your own health status. You also need to know if your insurer will pay your out-of-country hospitals and doctors directly or will you have to pay and then wait for reimbursement? Are you prepared for that if you wind up with a $70,000 bill for a five day confinement? Will they repatriate you to a hospital at home at their expense if necessary?

Also, I know of plans that offer, say, $100,000 of coverage, which is totally inadequate. And even if it’s more, is that meant to be lifetime cover or is it per incident? You need to know. I consider any plan that covers less than $1 million per incident, that does not pay foreign hospitals dfirectly, and does not offer air amublance repatriation if necessary, inadequate. The trouble is that many employer/pension plan administrators cannot answer those questions and even if they can, you need to see them in print. A contract is still a contract. Your best bet is to ask a broker specializing in travel insurance to have a look at your plan, to point ourt the questions you need to ask, and to top it up, if necessary, so that it does meet your requirements. I’ll try to deal with this issue in more depth in a future column.

Milan

Milan Korcok
Editor & Publisher
http://www.travelinsurancefile.com

I am really impressed with the Travel Insurance File make-over for 2010!

The new site really has a nice look and feel and is easy to navigate and of course great content for the travelling public.

Congratulations — keep up the good work.

Cheers

Mark Anevich
CanAm Insurance

Milan