These case studies have been modified so as not to identify any actual cases at FIDReC. They are provided for purposes of learning and are not necessarily indicative of outcomes at FIDReC.
Derrick was going to Europe for his first solo adventure. He bought a single-trip travel insurance plan online. By mistake, he selected the date of departure as the day he arrived at his destination instead of the day he left Singapore. But believing his coverage would begin from his first day in Europe, he embarked on his journey anyway. Unfortunately, Derrick suffered some flight cancellations and delays due to adverse weather conditions. This led to unexpected travel and accommodation expenses.
On his return to Singapore, he filed a claim with his insurer. To his dismay, the insurer rejected the claim. The insurer said that the policy was invalid because the date of departure from Singapore was before the period of cover.
Derrick unsuccessfully appealed to the insurer and later filed a claim at FIDReC.
At mediation, representatives from the insurer’s representatives explained that the terms and conditions of the travel plan required that the policy cover an entire trip starting and ending in Singapore. The insurer pointed out that the online application form clearly asked for the dates Derrick would depart from and arrive in Singapore.
Derrick acknowledged that he made a mistake with the date. It was his first solo trip and his first time buying travel insurance. But he felt that the insurer should admit his claim because the incidents happened during the period indicated. The insurer’s representatives maintained that there was no valid cover but offered some shopping vouchers to Derrick as a goodwill gesture. Derrick refused the offer and referred his case for adjudication.
The adjudicator reviewed all the evidence submitted by the parties and dismissed Derrick’s claim. The adjudicator expressed sympathy for Derrick but found that the words of the travel insurance plan were unambiguous. The period of the plan must include the date of departure from Singapore to the date of arrival.
Key Learning Points
- Single trip travel insurance policies usually require that you include the entire trip from the date of departure from Singapore to the date of arrival in Singapore. You cannot cover only a portion of your trip.
- Double check that the details of your trip are correctly stated in the travel insurance application form. If you have made a mistake, contact the insurer immediately.
- Always review the policy terms to ensure that the cover is adequate and appropriate for the trip. Different insurers will offer different terms. Compare the terms of different policies before deciding on what is best for you.
- When in doubt, contact the insurer for help.
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