Travel Insurance Jargon - Mini Dictionary

Helping consumers understand some of the jargon used in travel insurance policies assists in gaining the most benefit from interactions with insurance providers. Below are some definitions explained.

1. Child / Adult: Definition
   In many insurance contracts the line drawn between the legal definition of an adult occurs at and above age 19. Don't tell the kids that though... Watch out for a reduction (e.g. 50% in pay-out values for children) which is a cheeky clause by insurers who assume children's prices for items needing replacement are somehow cheaper. Perhaps clothes and shoes, but certainly not PSP's and cash!
   
    
2. Hospital Sundries
   A sum which covers the costs of being a patient in a hospital, per 24 hours. This is typically a significant sum like one thousand or so, but will likely have a daily limit much lower than that, so the entire allowance cannot all be claimed in one day and requires prolonged durations in hospital to attain the upper limits of an allowable claim for these sundry expenses.
   
    
3. Curtailment
   This is when for some reason the full duration of the trip is cut short and those insured have to return home early. This could be due to illness or injury, or even severe weather like hurricanes or floods.
   
    
4. Repatriation
   After suffering an unfortunate incident such as illness or injury and having to be transported back to the country of residence.
   
    
5. Home Country
   The location where the insured reside and will be the destination for any repatriation. This is key for determining which laws will apply to the insurance contract.
   
    
6. Territorial Limits
   These define geographically the extent of where an insured traveller is and is not covered during their travels of the world. These typically match up with pre-drawn international boundaries, and may also include other markers such as maritime borders.
   
    
7. Claims Handler
   This is a named person or company featured in the policy contract. Their role is to discuss liability, identify negligence, and adjust the value of loss they deem to be correct.
   
    
8. Personal Liability
   This refers to liability for accidentally injuring a third party, and can also include incidence of accidental damage to somebody else's property. The third party can recover these costs and even sue for damages. Personal liability cover of travel insurance is a hugely valuable benefit if called upon.

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