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Travel Insurance Definitions - 2020 Review

The Travel Insurance Definitions of our AARDY partners vary from one Insurance Carrier to another.

Travel Insurance Definitions | AARDY.com

There are also some differences state to state, but these are less pronounced.

However, the vast majority of the Travel Insurance Definitions that we come across are very similar. Read below a good synopsis, but do remember to check your own policy carefully.

Travel Insurance Definitions

Accident

Means a sudden, unexpected unusual specific event that occurs at an identifiable time and place, and shall also include exposure resulting from a mishap to a conveyance in which You are traveling.

Actual Cash Value

Means current replacement cost for items of like kind and quality.

Additional Transportation Cost

Means the actual cost incurred for one-way Economy Transportation by Common Carrier reduced by the value of an unused travel ticket.

Air Carrier

Means any air conveyance operating under a valid license for the transportation of passengers for hire.

Baggage and Personal Effects

Means luggage, personal possessions and travel documents taken by You on Your Trip.

Bankruptcy or Default

Means the total cessation of operations due to insolvency, with or without the filing of a bankruptcy petition by an airline, or cruise line, tour operator or other travel provider provided the Bankruptcy or Default occurs more than 14 days following Your Effective Date for the Trip Cancellation Benefits. There is no coverage for the Bankruptcy or Default of any person, organization, agency or firm from whom You purchased Travel Arrangements supplied by others.

Business Partner

Means an individual who (a) is involved in a legal general partnership with You and (b) is actively involved in the day to day management of Your business.

Common Carrier

Means any land, sea, or air conveyance operating under a valid license for the transportation of passengers for hire, not including taxicabs or rented, leased or privately owned motor vehicles.

Complications of Pregnancy

Means conditions (when the pregnancy is not terminated) whose diagnoses are distinct from pregnancy but are adversely affected by pregnancy or are caused by pregnancy. These conditions include acute nephritis, nephrosis, cardiac decompensation, missed abortion and similar medical and surgical conditions of comparable severity. Complications of Pregnancy also include non-elective cesarean section, ectopic pregnancy which is terminated and spontaneous termination of pregnancy, which occurs during a period of gestation in which a viable birth is not possible.

Complications of Pregnancy does not include false labor, occasional spotting, Physician-prescribed rest during the period of pregnancy, morning sickness, hyperemesis gravidarum, preeclampsia and similar conditions associated with the management of a difficult pregnancy not constituting a nosologically distinct complication of pregnancy.

Confirmation of Benefits

Means a written confirmation specifying the coverages and amounts purchased. It is delivered following purchase.

Covered Accident

Means an Accident that occurs while cover is in force and results in a loss for which benefits are payable.

Domestic Partner

Means an opposite or same sex partner who, for at least 10 consecutive months, has resided with You and shared financial assets/obligations with You. Both You and the Domestic Partner must: (1) intend to be life partners; (2) be at least the age of consent in the state in which You both reside; and (3) be mentally competent to contract. Neither You nor the Domestic Partner can be related by blood to a degree of closeness that would prohibit a legal marriage, be married to anyone else, or have any other Domestic Partner. The Company may require proof of the Domestic Partner relationship in the form of a signed and completed affidavit of domestic partnership.

Economy Transportation

Means the lowest published available transportation rate for a ticket on a Common Carrier matching the original class of transportation that You purchased for Your Trip.

Elective Treatment and Procedures

Means any medical treatment or surgical procedure that is not medically necessary, including any service, treatment, or supplies that are deemed by the federal, or a state or local government authority, or by Us to be research or experimental or that is not recognized as a generally accepted medical practice.

Excluded Country

Means one of the following countries from which Non-Medical Emergency Evacuations are not available such as Afghanistan, Chechnya, Democratic Republic of the Congo, Iran, Iraq, Israel West Bank, Israel Gaza Strip, Ivory Coast, Lebanon, Libya, North Korea, Somalia, Sudan, Syria, or any country subject to the administration and enforcement of U.S. economic embargoes and trade sanctions by the OFFICE OF FOREIGN ASSET CONTROLS (OFAC).

Family Member

Means any of the following: Your or Your Traveling Companion’s legal spouse (or common-law spouse where legal), legal guardian or ward, son or daughter (adopted, foster, step or in-law), brother or sister (includes step or in-law), parent (includes step or in-law), grandparent (includes in-law), grandchild, aunt, uncle, niece or nephew or Domestic Partner.

Home

Means Your primary place of residence.

Hospital

Means (a) a place which is licensed or recognized as a general hospital by the proper authority of the state in which it is located: (b) a place operated for the care and treatment of resident inpatients with a registered graduate nurse (RN) always on duty and with a laboratory and X-ray facility: (c) a place recognized as a general hospital by the Joint Commission on the Accreditation of Hospitals; (d) other than a residence, a place where treatment in a Hyperbaric chamber can be received. Not included is a hospital or institution licensed or used principally: (1) for the treatment or care of drug addicts or alcoholics: or (2) as a clinic continued or extended care facility, skilled nursing facility, convalescent home, rest home, nursing home or home for the aged.

Inclement Weather

Means any weather condition that delays the scheduled arrival or departure of a Common Carrier.

Injury or Injuries

Means bodily harm caused by an Accident which: 1) occurs while Your coverage is in effect under the Policy; and 2) requires examination and treatment by a Legally Qualified Physician. The Injury must be the direct cause of loss and must be independent of all other causes and must not be caused by, or result from, Sickness.

Insured

Means a person(s) who is booked to travel on a Trip, and for whom the required premium is paid, also referred to as You and Your.

Intoxicated

Means a blood alcohol level that equals or exceeds the legal limit for operating a motor vehicle in the state or jurisdiction where You are located at the time of an incident.

Legally Qualified Physician

Means a physician: (a) other than You, a Traveling Companion or a Family Member; (b) practicing within the scope of his or her license; and (c) recognized as a physician in the place where the services are rendered.

Maximum Benefit Amount

Means the maximum amount payable for coverage provided to You as shown in the Schedule.

Medically Necessary Means a service which is appropriate and consistent with the treatment of the condition in accordance with accepted standards of community practice.

Medical Treatment

Examination and treatment by a Legally Qualified Physician for a condition which first manifested itself, worsened or became acute or had symptoms which would have prompted a reasonable person to seek diagnosis, care or treatment.

Natural Disaster

Means a flood, hurricane, tornado, earthquake, mudslide, tsunami, avalanche, landslide, volcanic eruption, fire, wildfire or blizzard that is due to natural causes.

Pre-Existing Condition

Means an illness, disease, or other condition during the 60 day period immediately prior to the date Your coverage is effective for which You or Your Traveling Companion, Business Partner or a Family Member: 1) received or received a recommendation for a test, examination, or medical treatment for a condition which first manifested itself, worsened or became acute or had symptoms which would have prompted a reasonable person to seek diagnosis, care or treatment; or 2) took or received a prescription for drugs or medicine. Item (2) of this definition does not apply to a condition which is treated or controlled solely through the taking of prescription drugs or medicine and remains treated or controlled without any adjustment or change in the required prescription throughout the 60 day period before coverage is effective under this Policy.

Published Penalties

Means any published cancellation penalties levied by Your travel agency or travel supplier that apply to all clients of the travel agency or travel supplier and can be documented at time of Your purchase of Travel Arrangements from Your travel agency.

Scheduled Departure Date

Means the date on which You are originally scheduled to leave on Your Trip.

Scheduled Return Date

Means the date on which You are originally scheduled to return to the point of origin or the original final destination of Your Trip.

Sickness

Means an illness or disease of the body which: 1) requires examination and treatment by a Legally Qualified Physician, and 2) commences while Your coverage is in effect.

Strike

Means any organized and legally sanctioned labor disagreement resulting in a stoppage of work: (a) as a result of a combined effort of workers which was unannounced and unpublished at the time travel services were purchased; and (b) which interferes with the normal departure and arrival of a Common Carrier.

Terrorist Incident

Means an act of violence, that is deemed terrorism by the United States Government other than civil disorder or riot (that is not an act of war, declared or undeclared) that results in loss of life or major damage to property, by any person acting alone or in association with other persons on behalf of or in connection with any organization which is generally recognized as having the intent to overthrow or influence the control of any other government.

Third Party

Means a person or entity other than You or the Company.

Transportation Expense

Means the cost of Medically Necessary conveyance, personnel, services or supplies.

Travel Arrangements

Means: (a) transportation; (b) accommodations; and (c) other specified services arranged by the Travel Supplier for Your Trip. Air arrangements covered by this definition also include any direct round trip air flights booked by others, to and from Your Scheduled Trip Departure and return cities, provided the dates of travel for the air flights are within 7 total days of Your scheduled Trip dates.

Traveling Companion

Means a person or persons whose names appear with Yours on the same Travel Arrangements and who, during Your Trip, will accompany You.

Travel Supplier

Means any entity or organization that coordinates or supplies travel services for You.

Trip

Means a scheduled trip for which coverage for Travel Arrangements is requested and the premium is paid prior to Your actual or Scheduled Departure Date of Your Trip.

Us, We, Our

Means United States Fire Insurance Company.

Usual and Customary Charges

Means those comparable charges for similar treatment, services and supplies in the geographic area where treatment is performed.

Travel Insurance Definitions - General Exclusions and Limitations

Benefits are not payable for any loss due to, arising or resulting from:

  1. suicide, attempted suicide or any intentionally self-inflicted injury of You, a Traveling Companion, Family Member or Business Partner booked to travel with You, while sane or insane;
  2. an act of declared or undeclared war;
  3. participating in maneuvers or training exercises of an armed service, except while participating 
in weekend or summer training for the reserve forces of the United States, including the 
National Guard;
  4. riding or driving in races, or speed or endurance competitions or events;
  5. mountaineering (engaging in the sport of scaling mountains generally requiring the use of 
picks, ropes, or other special equipment);
  6. participating as a member of a team in an organized sporting competition or participating as a 
professional in a stunt, athletic or sporting event or competition;
  7. participating in bodily contact sports, skydiving or parachuting except parasailing, hang gliding, 
bungee cord jumping, extreme skiing, skiing outside marked trails or heli-skiing, spelunking or caving, or scuba diving if the depth exceeds 120 feet (40 meters) or if You are not certified to dive and a dive master is not present during the dive;
  8. piloting or learning to pilot or acting as a member of the crew of any aircraft;
  9. being Intoxicated as defined herein, or under the influence of any controlled substance unless 
as administered or prescribed by a Legally Qualified Physician;
  10. the commission of or attempt to commit a felony or being engaged in an illegal occupation;
  11. normal childbirth or pregnancy (except Complications of Pregnancy or as specifically provided 
under Trip Cancellation/Trip Interruption) or voluntarily induced abortion;
  12. dental treatment (except as coverage is otherwise specifically provided herein);
  13. amounts which exceed the Maximum Benefit Amount for each coverage as shown in the 
Confirmation of Benefits;
  14. due to a Pre-Existing Condition, as defined in the Policy. The Pre-Existing Condition Limitation does not apply to the Emergency Medical Evacuation or return of remains coverage;
  15. any amount paid or payable under any Worker’s Compensation, Disability Benefit or similar law;
  16. a loss or damage caused by detention, confiscation or destruction by customs;
  17. Elective Treatment and Procedures;
  18. Complications from Elective Treatment and Procedures otherwise not payable under this 
Policy;
  19. medical treatment during or arising from a Trip undertaken for the purpose or intent of 
securing medical treatment;
  20. a mental or nervous condition, unless hospitalized for that condition while the Policy is in effect 
for You;
  21. due to loss or damage (including death or injury) and any associated cost or expense resulting 
directly from the discharge, explosion or use of any device, weapon or material employing or involving chemical, biological, radiological or similar agents, whether in time of peace or war, and regardless of who commits the act and regardless of any other sequence thereto.

PRE-EXISTING CONDITION EXCLUSION:

The Company will not pay for any expense as a result of any illness, disease, or other condition during the 60 day period immediately prior to the date Your coverage is effective for which You or Your Traveling Companion, Business Partner or Family Member: 1) received or received a recommendation for a test, examination, or medical treatment for a condition which first manifested itself, worsened or became acute or had symptoms which would have prompted a reasonable person to seek diagnosis, care or treatment; or 2) took or received a prescription for drugs or medicine. Item (2) of this Exclusion does not apply to a condition which is treated or controlled solely through the taking of prescription drugs or medicine and remains treated or controlled without any adjustment or change in the required prescription throughout the 60 day period before coverage is effective under this Policy.

Waiver of the Pre-Existing Condition Exclusion

The exclusion for Pre-Existing Condition will be waived provided:

a)  Your Payment for this Policy and enrollment form are received within 21 days of the date Your 
initial Payment or Deposit for Your Trip is received; and

b)  You insure all Prepaid Trip costs that are subject to cancellation penalties or restrictions and 
also insure within 21 days of the Payment or Deposit for those Travel Arrangements the cost of any subsequent Travel Arrangements (or any other Travel Arrangements not made through Your travel agent) added to Your Trip; and

c)  You are not disabled from travel at the time Your premium is paid.

EXCESS INSURANCE LIMITATION

The insurance provided by this Policy, except Baggage and Personal Effects, Accident and Sickness Medical Expense, Accidental Death and Dismemberment and Optional Air Flight Only Accidental Death and Dismemberment, shall be in excess of all other valid and collectible Insurance or indemnity. If at the time of the occurrence of any loss there is other valid and collectible insurance or indemnity in place, the Company shall be liable only for the excess of the amount of loss, over the amount of such other insurance or indemnity, and applicable deductible. Recovery of losses from other parties does not result in a refund of premium paid.

Travel Insurance Definitions - Payment of Claims

Claim Procedures: Notice of Claim:

Notice of claim must be reported within 20 days after a loss occurs or as soon as is reasonably possible. You or someone on Your behalf may give the notice. The notice should be given to Us or Our designated representative and should include sufficient information to identify You.

Claim Procedures: Claim Forms:

When notice of claim is received by Us or Our designated representative, forms for filing proof of loss will be furnished. If these forms are not sent within 15 days, the proof of loss requirements can be met by You sending Us a written statement of what happened. This statement must be received within the time given for filing proof of loss.

Claim Procedures: Proof of Loss:

Proof of loss must be provided within 90 days after the date of the loss or as soon as is reasonably possible. Proof must, however, be furnished no later than 12 months from the time it is otherwise required, except in the absence of legal capacity.

Payment of Claims: When Paid:

We, or Our designated representative, will pay the claim after receipt of acceptable proof of loss.

Payment of Claims: To Whom Paid:

Benefits for loss of life will be paid to Your designated beneficiary. If a beneficiary is not otherwise designated by You, benefits for loss of life will be paid to the first of the following surviving preference beneficiaries:

a)  Your spouse;

b)  Your child or children jointly;

c)  Your parents jointly if both are living or the surviving parent if only one survives;

d)  Your brothers and sisters jointly; or

e)  Your estate.

All other Benefits will be paid directly to You, unless otherwise directed. Any accrued benefits unpaid at Your death will be paid to Your estate. If You have assigned Your benefits, We will honor the assignment if a signed copy has been filed with us. We are not responsible for the validity of any assignment.

All or a portion of all benefits provided by the Policy may, at Our option, be paid directly to the provider of the service(s) to You. All benefits not paid to the provider will be paid to You.

If any benefit is payable to: (a) an Insured who is a minor or otherwise not able to give a valid release; or (b) an Insured’s estate, We may pay any amount due under the Policy to Insured’s beneficiary or any relative whom We find entitled to the payment. Any payment made in good faith shall fully discharge Us to any party to the extent of such payment.

Subrogation:

If the Company has made a payment for a loss under this Policy, and the person to or for whom payment was made has a right to recover damages from the Third Party responsible for the loss, the Company will be subrogated to that right. You shall help the Company exercise the Company’s rights in any reasonable way that the Company may request: nor do anything after the loss to prejudice the Company’s rights: and in the event You recover damages from the Third Party responsible for the loss, You will hold the proceeds of the recovery for the Company in trust and reimburse the Company to the extent of the Company’s previous payment for the loss.

As always, at AARDY we recommend that travelers consider travel insurance. You can get an anonymous quote in seconds, and compare dozens of the top travel plans from many of the largest US travel insurers, saving you time and money finding the right travel plan for your needs.

What many people do not know is that they won’t find the same trip insurance plans available at a better price – all down to price certainty anti-discriminatory law in the US.

Travel Insurance Comparison – Will I Pay More Buying Travel Insurance from a Comparison Website?

In short – a trip insurance quote for an insurance plan that you see from AARDY is the same price you would see from the insurance carrier direct – we are not allowed to compete on price for ‘filed’ insurance products. No one is. You are certain to get best value from us.

Safe travels.

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