Luggage Insurance
Luggage insurance, also referred to as baggage insurance, is generally a must-have for the traveller. Regardless of the means of travel – whether by ship or airplane – having travel luggage insurance will offer you the peace of mind that if any of your baggage goes missing or gets lost en-route, that you will be covered for the cost to replace its' contents.
It is worth noting that for those who are homeowners, it would be advised that you check the details of your home insurance and/or home insurance and contents policy because depending on the insurance company that you are with, sometimes one may find that they are covered for lost luggage insurance as part of their existing policy. This would avoid the need and the extra cost associated with taking out lost luggage insurance when you are travelling. Simply do not assume that you are covered under your existing policy; check out the paperwork and go from there.
Generally, most travel insurance policies will cover a certain amount of lost luggage insurance, up to a certain amount, for example from $500 up to $2,500 per person travelling. It is worth mentioning that certain individual items to be insured against loss have a specific 'loss value' attached to them, such as expensive items of jewelry, equipment such as a digital camera or camcorder, mobile phones or laptop. You will usually find that not everything you decide to take with you on your trip will be covered in the event of loss and each travel luggage insurance provider will have their own detailed list of items that they cover and what is not covered.
For example, there are several airline luggage insurance providers that do not cover for the loss of items such as sunglasses, keys, cash/credit cards, medications, phones or contact lenses. You might find that items you may expect not to be covered (such as sporting equipment) are, while items you would expect to be covered (such as cameras or jewelry) are not but obviously this will depend on each provider.
As well as coverage for baggage loss, some luggage insurance providers also cover against delayed baggage and damage to luggage. Most providers will ignore claims for damaged luggage on the basis of general wear and tear or damage to fragile items during transit or handling. Despite all the restrictions on claiming, that is not to imply for a single moment that taking out travel luggage insurance is unnecessary or even not worthwhile; bearing in mind that while items can and do get lost or damaged, you are responsible for packing your luggage and as such are aware of the risks involved. It might make more sense to leave that Rolex watch at home than bring it with you on your travels.
If however, you are an unfortunate victim of lost baggage, it is essential that you contact your airline carrier within four hours of loss as failure to do so can affect your claim enormously. You then have approximately forty-five days to file a claim with your luggage insurance provider who will forward you a claim form which needs to be completed and returned to the insurance company along with an attached detailed list of the lost belongings and a receipt from your airline carrier who was responsible for the handling of your luggage.