Word of Advice

8 October 2007

Time for a holiday? (1 of 2)

We’re quickly approaching summer holiday time and many of us are taking an extra glance in the travel agent’s window, looking at those enticing pictures of far-flung destinations. Where to this year? New Caledonia? Maybe a bit further afield? Somewhere in Asia perhaps?

Whatever sort of traveller you are, be it a down-and-dirty backpacker about to head off on a tour of Cambodia on $5 a day (and a stock of antacids), or, a five star, all-inclusive ‘pamper me while I drink cocktails on the beaches of the Maldives’ type of traveller, there are still some things to think about before you book that holiday.

Travel insurance

Basically, if you can’t afford insurance you can’t afford to go on holiday. We always presume that ‘it’ll never happen to me’. But the unexpected can - and does - happen. You can't anticipate the unexpected, but you can take steps to minimise the costs if things do go wrong.

Your travelling budget might be tight, but don't scrimp on insurance. Get the insurance that fits your circumstances (not your budget) and be clear about the conditions of your insurance.

What should I think about when getting insurance?

• If you're travelling on business you’ll need to get the insurance that will cover damage to your laptop, sale samples, or industrial equipment.
• Check that you are covered for existing medical conditions - or do you have to pay extra?
• Do you have unlimited liability insurance (this will cover you if, for example, you are sued for causing injury in a car accident)?
• Are you covered for jewellery or do you have to pay extra for specific items over a certain value?
• Will the insurance be valid when visiting countries that the Ministry of Foreign Affairs and Trade advises against travel to?
• Is your ticket non-refundable? If it is, insurance is an absolute must.
• How much medical cover do I need? For example, if you're travelling to the United States, make sure your insurance gives you thorough medical coverage. But don't be fooled into thinking you don't need travel insurance for Australia or the UK. Even though New Zealand has reciprocal medical arrangements with these countries, this won't cover all the costs - such as ambulance costs, or getting you back to New Zealand. These will be your responsibility, so insurance is a must.

Shop around for the deal that suits you the best, this may not necessarily be the insurance offered by your travel agent. Have a look at your own insurance company's travel insurance or on-line.

If things do go wrong on your travels, don't wait until your feet hit the ground in New Zealand again to check out how long you have to make a claim. Check right away, and make your claim immediately if you can (although this may prove a bit difficult if you’re in the middle of the Gobi desert in Mongolia).

If you have to buy underwear, toothpaste, or pay for a hotel (or yurt) for the night, keep your receipts as you may be able to claim on your insurance.

Don’t get scammed

A recent example in Nelson shows that we should be on our guard when taking unsolicited phone calls. A scammer claiming to be a travel agent telephoned residents in Nelson offering them cheap airline tickets to the UK and Australia. He then asked for credit card details and enquired if they had a computer.

The age-old adage of ‘if it sounds too good to be true, then it probably is’ works here. Never give bank account or credit card details out over the phone unless you know and trust the person or company.

Know before you go

Doing a bit of research before you book your tickets can pay dividends. The Ministry of Foreign Affairs and Trade’s (MFAT) dedicated website gives travel advisories and information about your destination countries.

Other things to consider are:

• Vaccinations - about six to eight weeks before you plan to travel check with your travel agent or your doctor to see if you need any vaccinations for the countries you’re travelling to.
• Passport - check that your passport is valid, remember that many countries require a passport to be valid for at least six months beyond the date you enter the country. Take a copy of your passport with you and leave a copy at home with a friend.
• Visas – not the credit card variety but the type that will get you through immigration. Check if you need a visa to enter the country you’re going to. Contact the nearest diplomatic mission of that country for more information.
• International driver's licence - you might need an international driving permit to drive in another country. This is proof that you hold a valid New Zealand driver’s licence. Further information is on the AA’s website.
• Money - check with your bank or credit card company to see if your cards will work in the cash-points abroad. Think about travelling with a combination of payment methods: credit cards; traveller’s cheques and some cash for your transit and arrival.
• Registration with MFAT – it’s recommended by MFAT that you record your itinerary and travel details with them. This is voluntary and the information provided will be used for consular purposes only, for example, in the case of an emergency.

Fly smart

Can I take a bottle of water on the plane? What about duty free? Restrictions of what you can and can’t take on the plane can be a bit confusing, especially with different countries having different regulations. Before you fly, check for information on what you can and can’t take onboard a flight.

Next edition: When things go wrong overseas