The travel insurance industry in the UK has a new player. Top firms RAC and ACE Group have collaborated to launch a new travel insurance product to be sold under the RAC brand.
The travel insurance product will offer a range of service from Basic cover to a comprehensive Executive level. It features several bespoke features such as the Driving product aimed at those driving into Europe from the UK. This feature covers items such as SatNavs, safety and awareness kits, carjacking, emergency overseas vet bills and golf equipment.
Along with a team of RAC European breakdown specialists, the new insurance product will also be sold through a dedicated online insurance channel.
Chris Price, ACE regional director of travel in EMEA, commented on the collaboration: “We are delighted to partner with RAC. At ACE we are keen to form long-term relationships with established, loyal and exciting brands.”
“As organisations, we share many of the same values, including a clear focus on developing the right products to meet customer needs, providing choice to serve individual requirements, and delivering high quality service all of the time.”
Kerry Michael, RAC commercial director, added: “We chose ACE over the competition due to their expertise in the travel arena. We are looking forward to a successful partnership and being able to offer well-constructed and competitively priced products to our members with an easy purchase process, supported by ACE.”
RAC boasts seven million private and corporate members in the UK to whom it provides a vast array of motor-related services. This new venture is sure to enhance the company’s portfolio and expand it into newer areas of commerce.
Up to 19% of Brits are risking travel without appropriate cover, new research from the insurer Hiscox has revealed. The results of the recent survey are especially worrying as the coming months are the most popular time for overseas travel as Brits jet off on their annual summer holidays.
According to the results of the Hiscox survey, 19% of respondents admitted they didn’t bother to take out travel insurance, or they wrongly assume they are already covered by a health card, while a portion of the 19% revealed they simply hadn’t considered their travel cover.
Out of those who had taken out a travel insurance policy, 1 in 10 are unsure, or do not check what is, and what isn’t covered as part of their policy including if their valuables are covered.
18% of those who took part in the poll said they assumed that their travel agent or airline would offer compensation in the event of a flight cancellation, while 21% believed that a travel industry body would automatically cover them in this situation.
Worryingly, 10% of respondents were unsure as to whether their policy would cover them if they suffered a medical emergency while abroad, something which could prove extremely costly and stressful if they were to be hospitalised while on holiday with no insurance to cover their treatment.
Insurance experts say the complacency amongst some groups of British travellers is worrying and they are advising that everyone who’s planning a trip outside of the UK over the coming months, double check what is covered as part of their policy to avoid any confusion should they need to make a claim.
Consumer watchdog, Which? have uncovered a travel insurance loophole which could leave travellers without adequate cover when they jet off on their summer holiday this year. A little known clause which is found in 10 out 12 of the leading traveller insurers in the UK, the “ongoing medical warranty”, means that policyholders who fall ill before travel may not be covered by their travel insurance.
While it’s a well established fact that policyholders need to notify their insurer of any pre existing medical conditions before applying for a travel insurance policy, what happens if a consumer develops a medical condition after the policy has been taken out but before they travel is something of a grey area.
Following an investigation by the consumer watchdog, Which? it found that 10 out of 12 of the largest travel insurance providers in the UK do carry a ongoing medical warranty in their terms and conditions. However, the way in which each insurer deals with the issue varies from company to company. Some will continue to offer the insurance, although they may request an additional payment once the policyholder has disclosed their condition. Other insurers may refuse to insure the person altogether and will refund the policy while others may advise you to put a cancellation claim in on your holiday.
The advice from the consumer watchdog for travellers who may be concerned about this issue is to use an insurer that doesn’t have an ongoing medical warranty clause such as Axa and Age UK.
The cost of travel insurance for selected policies for the over 60’s with medical conditions could rise by as much as 90%, a new report has suggested. Those with specific pre-existing medical conditions are likely to be hit by the hike on travel insurance for OAPs.
In a recent newspaper report, it’s claimed that the increased cost of medical care in the US and also in selected European countries is the reason travellers are experiencing a rise in their travel insurance premiums. In the space of just one year, the cost of travel insurance for certain individuals with specified medical conditions has risen by 90%, with insurance companies explaining that the increase in the cost of cover reflects the rising cost of medical care in certain overseas hospitals.
Elderly travellers planning a trip to America or parts of Europe will be worst hit. In one example given, a 79-year-old with angina travelling to the US for a two week holiday would face a premium of £576, an increase of 90% compared to the £303 the same travel insurance would have cost last year.
While the cost of travel insurance has rocketed for specific groups of OAPs, for some the picture is even bleaker as many have reported being unable to obtain any type of cover whatsoever.
However it isn’t all bad news for the over 60’s as insurance experts have found that the price of travel insurance for those without any pre-existing medical conditions has actually gone down.
A recent study has revealed that your star sign could determine how likely you are to claim on your travel insurance. The research was conducted by Mondial Assistance and appeared to establish a link between a person’s astrological sign and the average cost of their travel insurance claim, including how frequently they are likely to process a claim.
According to the results of the study, travellers who fall under the star sign of Taurus make the most expensive claims out of all the signs in the zodiac, on average 8.5% higher, however they only came in third place for the frequency with which they make claims.
While Virgos have a reputation for making order out of chaos, when it comes to accidents while on holiday, they’re up in second place right behind Taurus, for making costly claims on their policy, however they don’t claim as often as other signs.
The sign which is most likely to make a claim was found to be Capricorn, however they’re not all bad as they were also found to claim the least on average. Gemini came in second place for the frequency with which they make claims.
While the group behind the study insisted that astrological signs are not one of the factors taken into account when calculating a premium for travel insurance, Mondial Assistance said they hoped their survey would help to raise awareness of the importance of having a travel insurance policy in place before we head off on our summer holidays.
TomTom and insurance broker Motaquote have joined forces to offer a brand new type of car insurance policy with the aim of reducing the cost of annual cover for many drivers. The two providers have come together to the new Fair Pay Policy, which rewards safe and careful drivers with reduced premiums.
The new style telematics insurance policy will utilise a TomTom device designed to monitor the policyholder’s driving, the information from which will be used to calculate the cost of the premium. TomTom believe their new style insurance policy will put drivers back in control of their car insurance as the cost of the premium is determined by their driving ability rather than factors outside of a driver’s control such as their gender, address or profession.
Those who sign up to the new policy offered by Motaquote wll be given a TomTom Pro 3100 sat nav which will provide active driver feedback while at the same time recording vital date about the driver’s on the road performance. The device will also alert the driver to any accident black spots or which will hopefully help to reduce the risk of accidents further.
The LINK tracking device will allow the insurer and the driver to check the date collected by the device at any time. The driver can check this information in-car with the use of a dashboard which is supplied along with the TomTom, or they can access the information online. In addition, email bulletins will also be received at regular intervals containing information on journey details and driver behaviour.