Traveling is an ever-growing industry and with time passing, the precautions countries take are getting higher and stricter making travelers go for travel insurance. There is a trend among travelers to go for the travel insurance policy with the lowest premium and most of the time it provides only medical coverage adequate for emergencies. 

Most of the time, clients only opt for a policy with a slightly higher premium when they officially require a certain amount of coverage. This often happens when the client is traveling on a student's visa since it requires more coverage than conventional travelers. 

Another big reason for clients to go for the lowest premium rather than taking time to look up the perks of having travel insurance with a greater premium is the negligence of their health and safety. The lower the premium the lower coverage it provides with fewer benefits. The higher the premium, the higher the coverage with excessive benefits. 

Let’s take a look at what the benefits are of a higher premium and how a higher premium affects the coverage. 

How Do I Find The Best Travel Insurance In Pakistan?

The first step is to compare the insurers with each other. Most of the time, the companies don’t upgrade the benefits but they upgrade the monetary value with the benefits already given. As seen above, Adamjee provides much fewer benefits and upgrades than EFU. So, the first comparison should be between insurers to make sure that you are getting adequate cover even if it is a small amount. 

Once you have found the insurer that best suits your requirements and is within your budget, you can now move on to the next step.

How To Compare Premiums?

When you want to compare the premium along with the cover, you should compare the different policies of the same company. Let’s say the lowest premium for Adamjee for the trip of 10 days is PKR 800 and for EFU it is PKR 1,000. The thing to notice is that both provide the same coverage but one's premium is slightly higher than the other. 

Now, if we only compare the policies from Adamjee, we will notice a noticeable change in the coverage. One difference is that the policy with the premium of PKR 1,550 covers the trip cancellation. Another big difference is that in each type of cover the amount of USD covered is also increased. This is true for all the policies by Adamjee.

All in all, the companies compensate you either by giving more benefits with increased premiums or increasing the monetary amount covered by the company with each cover. 

Should I Be Worried About Being Under-Insured

This can be subjective to each individual. Some clients can afford to be underinsured because they have more than enough at hand to support themselves in times of need. They might not even need the travel insurance policy other than it is necessary for entering the travel destination. 

While others cannot afford to be underinsured and definitely need more than the verification to enter the land. So, it is important to consider your odds and make an educated decision about whether or not you need adequate cover or not.

It is better to pay PKR 5,000 to get adequate cover in USD rather than paying the dollars out of pocket. Especially with inflation, one should make an informed decision about how much they should be spending on activities that can otherwise be paid for by the insurer. 

Let’s Compare takes great pride in educating its clients about different aspects of insurance and the importance of insurance. We are an online insurance comparison platform where you get to compare insurance policies not only from different companies but also from the same insurer. We have our network all across Pakistan and we are affiliated with leading companies in Pakistan. Go to our website and buy travel insurance online now for a safe journey!