Baggage Insurance

What is Baggage Insurance?

A baggage insurance for international flights protects your check-in baggage from any damage or loss caused during the flight or by the airline staff. It also covers any delay in the arrival of the checked-in baggage by the airline.

Whether going alone or with someone special, your luggage is the most important thing you will carry on a trip. To stay safe from such situations, buying international baggage insurance is the best way. You can buy them for all kinds of trip, ensuring proper baggage protection.

The term 'baggage' refers to the personal items or goods belonging to the insured traveller that they carry during their travel. Travel insurance for bags comes with comprehensive coverage for the accompanied baggage from any loss due to unforeseen events. These can range from theft, fire, riots, strikes, accidents and more.

You can purchase international baggage insurance as part of a travel insurance policy or a standalone insurance policy. You can decide your plan based on your requirements for a stress-free trip.

Features of Baggage Insurance

• Choose Add-on: Comes as a part of travel insurance as well as an individual policy
• Baggage Insurance Types: Available for single trips as well as multi-trip insurance plans
• Covers Essential Expenses: Offers reimbursement for medical supplies, toiletries and necessary supplies in case of theft or loss
• Covers Valuables: Protects valuable items through specific item insurance plans
• Baggage Cover for a Specific Item: Some travel insurance plans provide cover for specific items that have been insured by the traveller from any loss or damage throughout the duration of the trip. For eg., professional cameras, musical instruments, etc.

Why Choose Baggage Insurance Policy?

Travelling abroad brings unparalleled experiences, making memories for a lifetime. Travel insurance for luggage and personal belongings is one of the smartest ways to ensure smooth travel. Here are some of the benefits of buying a luggage insurance policy:

• Covers Loss: If your baggage is lost or stolen during the trip, your travel luggage insurance compensates the cost of the missing items or the cost of the lost luggage as per the situation.
• Reimburses Unexpected Costs: In case of any extra expenses on buying essential items such as toiletries, clothes or medicines, you will be reimbursed under your baggage insurance policy. This can be due to baggage delay/loss/damage and will be reimbursed or compensated for as per your policy.
• Covers Baggage Theft: Certain travel insurers also offer coverage for baggage loss or theft while you are travelling in a foreign country.
• Stress-Free Travel: With a baggage cover you can travel stress-free and make the most of your international trip.

Especially if you are travelling abroad, insuring checked-in luggage is a must as it can be expensive to buy new things in another country. Some insurers only offer baggage delay and baggage loss benefits, while some comprehensive plans offer standalone luggage insurance only. It does not come with comprehensive trip insurance benefits.

Things to Consider Before Buying Baggage Insurance

There are certain crucial things that you should consider before buying a baggage insurance policy:

• List your Belongings: Make sure to have a list of all the items being carried in the luggage. This is important at the time of filing a claim with the insurer as a list of the contents of the loss will be required.
• Confirm Coverage: Different plans offer different benefits. Look for a travel insurance for luggage and personal belongings so that you are covered throughout.
• Declare Valuable Items: If you are travelling with expensive items like musical instruments, electronics etc., then confirm with insurer if they are covered. In case of theft or damage, they are only covered upto certain limits.
• Confirm Sum Insured for Baggage Cover: In case there is a loss of baggage, the insured will be compensated up to the fixed sum insured amount to the maximum. Therefore, make sure to choose a sum insured amount that adequately covers the cost of the luggage/items.

Baggage Insurance Inclusions

Before buying a international baggage insurance, it is important to know the extent of coverage offered. Take a look at some of the most common inclusions of a baggage insurance policy:

1. Loss or Damage to Accompanied Luggage

   A baggage insurance policy covers any loss or damage caused to the luggage carried during a domestic/ international trip. Accompanied luggage can be of two types:

   • Travel Bags: Travel bags refer to suitcases, trunks, duffel bags, etc. which are used to carry personal items while travelling. Any loss or damage caused to these travel bags during the journey will be covered under luggage insurance.
   • Carry On/Hand luggage: Carry-on luggage or hand luggage refers to the smaller items such as purses and laptop bags that are not submitted with the airline staff as check-in baggage. Any loss or damage caused to the carry-on luggage is not covered under a baggage insurance policy.

   Please note that not all travel insurance plans offer baggage damage insurance. You must select a plan which covers partial or total damage to your luggage.

2. Loss or Damage to Contents of Travel Bags

   In case any damage is caused to the contents of the travel bags or their contents are stolen, the insurance provider will cover the cost if the traveller has valid baggage insurance for international flights.

3. Delays in Delivery of Check-in Baggage

   There are times when the delivery of check-in baggage is delayed by the airline staff. In such cases, your airline baggage insurance will reimburse any expenses that you incur on buying essential items such as clothes, medicines, and toiletries.

4. Loss or Damage to a Specific Item

   In case any loss or damage is caused to a specific item that has been insured under a luggage insurance, the insurer will reimburse the cost of the item. Certain baggage cover also extend benefits incase of any damage or loss incurred on any additional baggage that has been purchased during the journey. However, you must confirm this benefit with the insurer before making any purchase.

Baggage Insurance Exclusions

There are a few situations where no reimbursement or compensation will be provided under a baggage insurance policy. Take a look at some of the exclusions:

• Any loss or damage caused to consumable goods will not be covered under a baggage insurance policy
• In case a loss or damage to the baggage is caused due to war, an act of war or a nuclear explosion, it will not be covered under this policy
• Any damages or losses caused by cleaning, bleaching, renovating or repair work are not covered under a baggage insurance policy
• The policy does not cover any baggage delay incurred in the Republic of India
• Baggage that was shipped separately will lot be covered
• If there is any consequential loss of an item, provided the item was already damaged before the start of the trip, it will not be covered by the insurer
• A baggage insurance policy also does not cover any damage or loss of money, manuscripts, securities, deeds, stamps, bonds and certificates
• Any loss or damages caused to an item that was not a part of the luggage when the trip started
• If there is any breakage or loss of any fragile items like paintings, glass crockery, sculptures, musical instruments, binoculars, camera lenses, etc. during the journey, it will not be covered under this policy
• If there is damage or loss of valuables such as jewellery, watches, precious stones, fur, etc., its cost will not be compensated by the insurance provider
• In case an item is damaged or lost by the carrier during transportation, its cost will not be covered by a baggage insurance policy
• Any loss or damage caused to the baggage or an item that does not belong to the insurer or their insured family members will not be covered
• In case an item is lost due to the wrong misplacement, its' cost will not be covered by the insurer
• If an item is lost while it was kept unattended in a vehicle with the windows down, its cost will not be indemnified by the insurance company
• In case an item or baggage is confiscated or detained by customs officials or other authorities, no compensation shall be paid to the traveller
• Any loss or damage caused due to electrical or mechanical breakdown shall not be covered under a baggage insurance policy

Baggage Insurance Claim Process

In case of a loss or damage to your luggage or check-in baggage getting delayed by the airline, you will have to file an insurance claim. You can do this by following these steps to register a luggage insurance claim:

• Inform: As soon as possible, intimate the insurance company or travel assistance provider about the loss or damage of the baggage. This can be done through the phone numbers mentioned in the policy document or by visiting the nearest branch of the insurance company.
• Prepare Documents: Submit the list of items lost or damaged from your checked-in luggage
• Claim Processing: A representative of the insurance company will verify the details of the claim with the insured as well as the airline (in case the baggage was lost by the airline or during an in-flight mishap)
• Track Claim Status: In case the claim is found to be genuine, you will be reimbursed. However, if the claim is found to be unsatisfactory, it will be rejected.

How to Choose/Buy Baggage Insurance?

In most cases, luggage insurance is provided under travel insurance plans. However, if you want to pick a good plan with a low baggage insurance premium, then the following tips will come in handy:

• Opt for a policy with a suitable sum insured; in case of theft or loss, the policy's sum insured should be able to compensate for the losses.
• Ensure the coverage that is being offered; most insurers don't compensate for the loss of hand baggage or cabin luggage.
• Keep in mind the deductibles before buying baggage insurance; the insured will be subject to deductibles before they are reimbursed for their lost baggage.
• Confirm the maximum reimbursement limit of the bag or articles of the bag before finalising the policy
• Don't forget to compare different types of luggage insurance plans to find the right plan.
• Go for online shopping to save money and time on the baggage insurance premium, as no distribution costs are increasing the price of the insurance.
• Make sure to check the insurer's claim settlement ratio, reviews by past users and time taken to settle claims before buying their policy.