With Corona Travel and Leisure Demand Explodes, Insurance Companies Stir (Comprehensive)

[Asia Economy Reporter Oh Hyung-gil] Since the implementation of ‘With Corona’ this month, the insurance industry is rejoicing. It is expected that the demand for overseas travel and outdoor activities, which had been suppressed, will explode, leading to an increase in the sales of travel insurance and leisure insurance.

Before traveling, it is advised to carefully review and subscribe to the insurance by thoroughly checking details such as the insurance coverage period and whether local medical treatment is covered.

According to the insurance industry on the 1st, inquiries about travel insurance subscriptions are continuing as some countries require tourists to purchase travel insurance. Singapore, where the ‘Travel Bubble (Safe Travel Zone)’ will be applied from the 15th, requires travelers to prepare travel insurance that covers treatment and hospitalization costs of over 30,000 Singapore dollars in advance.

An official from a non-life insurance company said, "Interest in travel insurance is increasing as overseas travel expands, with destinations such as Guam, Hawaii (USA), Maldives, and Cancun (Mexico) becoming accessible without quarantine," adding, "It is necessary to carefully examine the coverage scope and details."

Key aspects to check in travel insurance include overseas medical expenses and repatriation costs. Most overseas travel insurance policies cover overseas medical expenses ranging from 20 million to 50 million KRW. Some products also offer coverage for major accident rescue and repatriation costs starting from 50 million KRW up to over 100 million KRW.

In particular, it is important to confirm whether treatment costs are supported in cases such as testing positive for COVID-19 locally. Most countries conduct local PCR tests, and if tested positive, treatment must be received locally.

It is necessary to check whether treatment can be received at medical facilities or if isolation treatment is done individually at accommodations such as hotels. If it is not a medical facility, coverage may not be provided. Insurance companies offer Korean language assistance services in case communication is difficult at overseas hospitals or police stations.

Leisure insurance products that can be selected for just one day or easily gifted in new ways are also being launched.

MG Non-Life Insurance has launched the ‘Wise Driving Life Insurance,’ which covers risks that may occur while driving as well as accidents in daily life. Carrot Non-Life Insurance introduced the ‘Carrot Together Hole-in-One Insurance’ last month, supported by the steady increase in domestic golf sports users. The usage fee is 2,500 KRW per person, and it can be subscribed for either the individual subscriber alone or for up to four people including three companions.

Hana Non-Life Insurance’s One-Day Leisure Insurance allows subscribers to select coverage tailored to the chosen sport and provides solid protection with a premium of less than 1,000 KRW per day, covering accidental death, permanent disability from accidents, daily hospitalization allowance for accidents, fracture diagnosis fees, and fracture surgery fees.

An insurance industry official said, "When subscribing, it is important to check in advance not only the insurance coverage period according to the travel duration but also whether COVID-19 treatment is covered locally," adding, "You must bring documents related to overseas medical institutions to claim insurance benefits."

This content was produced with the assistance of AI translation services.