Australians travelling abroad may be jeopardising their eligibility for crucial insurance payouts, according to a legal expert. While many Australians secure travel insurance prior to their trips, the need to scrutinise policy fine print is emphasised. Peter Carter from Carter Capner Law cautions that insurers frequently embed obscure exclusions in their terms, which often go unnoticed by consumers.
These policy intricacies mean that insurers may deny claims based on activities categorised as “high-risk,” such as consuming alcohol or engaging in motorcycle and jet ski rides. Carter points out that the insurance industry partially relies on claim denial as a business strategy.
To mitigate potential issues before departure, Carter suggests a proactive approach: travellers should seek legal advice on potential claims, especially if they anticipate needing substantial compensation for injuries incurred abroad. This is particularly advantageous when dealing with Australian-based insurers, as pursuing claims through smaller, local businesses in foreign countries can be more challenging.
Carter warns that neglecting to thoroughly review insurance documents can have lasting repercussions. Returning home after an injury may drastically alter an individual’s life, impacting their employment and overall quality of life. Thus, it’s crucial for travellers to perform due diligence on their insurance coverage before embarking on their journeys to safeguard their well-being and financial security.