YOU ASK:

Why is travel insurance expensive for those over 65s?

WE ANSWER:

As our age increases, the insurance company considers the level of risk we present to also increase. Yes, no matter how strong, healthy and fit you are, insurance companies still put a large stock on our age.

The "magic" age is not even 65, premiums can increase even when you are as "young" as 50 years old.

One major reason why travel insurance premium rates increase drastically for over 65s is that the potential for incurring health-related expenses also increases considerably. And since health expenses (especially those incurred while you are in a foreign country) can reach sky-high. Even though there is a maximum limit to each of the benefits being provided, the premiums are still high because of the increased possibility of the insurance company having to pay this out to those over 65.

But really, even if the premiums you will be paying for travel insurance for over 65s may seem high, when you consider this side by side with the potential expenses you may incur during your travels, the premiums will still come out as a reasonable amount.

Now, if you want to lower your premiums, you can opt to exclude medical cover. This means that the insurance company will not pay for hospitalization and doctor's fees, as well as emergency medical evacuation and emergency treatment. Standard travel insurance policies also exclude pre-existing conditions in a bid to lower premiums.

What is important here is that when you apply you should provide all the necessary medical information. You should tell the insurance company about any pre-existing medical conditions you have. There will be no payouts if you get sick with something you already have (i.e. hypertension or asthma) and that you have failed to tell the insurance company about.

The good news, though, is that barring the health factor, those over 65 are usually considered as "safer" risks when compared to those who are younger. This is because seniors are not given to acting recklessly and are not likely to indulge in activities that are considered risky, like skydiving or bungee jumping. In consideration of this, the premiums have also been adjusted.

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