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Medical-Only Travel Insurance
Medical-Only Travel Insurance
Written by
Rachel Gregg
Edited by
Ellie Garran
Reviewed by
Adrian BennettEasily compare Travel Insurance
Save time and effort by comparing a range of travel insurance policies with iSelect
What is medical-only travel insurance?
Long story short
Medical-only travel insurance covers your health, not your stuff
It helps with emergency medical bills, but not with things like lost luggage, trip cancellations, or flight delays.
It’s for travellers who want the basics without bigger price tags
If you’re watching your budget, medical-only policies can help cover your health without being too spendy.
Countries with Reciprocal Health Care Agreements cover some emergency medical costs
But they won’t cover everything, so you’ll need insurance to cover the gaps.
What is medical-only travel insurance?
Medical-only travel insurance is pretty straightforward. It’s a policy that helps cover some of your medical bills if something goes wrong, to help keep your bottom line covered.
Generally, basic or comprehensive travel policies are the recommended option when you’re travelling. But if you’ve got a holiday fund tighter than a pair of jeans fresh out of the wash, a medical-only option can be more realistic. And since travel insurance is just as important as your passport, opting for a medical-only policy is a better move than having no insurance at all.
What does medically-only travel insurance typically cover?
Medical evacuations
If you have a medical emergency and need to fly back home for the proper treatment, the costs to get you there can be claimed (but not any costs you incur once you’re home).
Dental treatment
If you need emergency dental work done overseas on your natural teeth or dentures, these costs can be covered.
In-hospital cash allowance
If you need to stay in the hospital for a certain time period, non-medical expenses for your stay (like internet access or phone calls) can be covered.
Loss of life and funeral expenses
If the worst happens and you die directly from an incident caused on your trip, your policy will provide a lump sum payment and cover sending your remains back to your loved ones.
Personal liability
Some policies include some basic protection against personal liability.
Coverage for most non-medical incidents
Lost luggage, rental car excess, and trip cancellations are part of higher-level plans and won’t be covered on a medical-only policy.
Medical costs while on cruises
For some policies, you’ll need to take out extra cruise cover for any medical claims on the seas.
Undeclared pre-existing medical conditions
If you claim for a pre-existing medical condition that your travel insurer doesn’t know about, they might not accept your claim.
Adventure sports not covered by your policy
If you get hurt from certain high-risk sports like skiing or trekking, you won’t be able to claim unless you have the right coverage level.
Breaking the law or being under the influence of drugs and alcohol
If you need to claim for an accident where you broke the law or were under the influence, it won’t be covered by your travel insurer.
Medical evacuations
If you have a medical emergency and need to fly back home for the proper treatment, the costs to get you there can be claimed (but not any costs you incur once you’re home).
Dental treatment
If you need emergency dental work done overseas on your natural teeth or dentures, these costs can be covered.
In-hospital cash allowance
If you need to stay in the hospital for a certain time period, non-medical expenses for your stay (like internet access or phone calls) can be covered.
Loss of life and funeral expenses
If the worst happens and you die directly from an incident caused on your trip, your policy will provide a lump sum payment and cover sending your remains back to your loved ones.
Personal liability
Some policies include some basic protection against personal liability.
Coverage for most non-medical incidents
Lost luggage, rental car excess, and trip cancellations are part of higher-level plans and won’t be covered on a medical-only policy.
Medical costs while on cruises
For some policies, you’ll need to take out extra cruise cover for any medical claims on the seas.
Undeclared pre-existing medical conditions
If you claim for a pre-existing medical condition that your travel insurer doesn’t know about, they might not accept your claim.
Adventure sports not covered by your policy
If you get hurt from certain high-risk sports like skiing or trekking, you won’t be able to claim unless you have the right coverage level.
Breaking the law or being under the influence of drugs and alcohol
If you need to claim for an accident where you broke the law or were under the influence, it won’t be covered by your travel insurer.
Wondering where COVID-19 cover sits here?
It’s a bit of a hard mark to hit. Some medical-only policies include basic medical costs related to COVID. But most insurers only cover costs and cancellations due to COVID-19 if you have a higher level of coverage. So make sure to check what’s included in your policy.
Is it worth getting medical-only travel insurance?
We all know overseas medical bills aren’t cheap. In some places, even a quick trip to the emergency room can cost more than your entire holiday. Wind up with a broken bone or need a medical evacuation from your cruise ship? Without any form of insurance (yep, even with Reciprocal Health Care Agreements), you could end up forking over all your savings in medical bills.
If the only option your budget allows for is a medical-only policy or no insurance at all, it’s safest to opt for the medical-only route. As one of the cheapest travel insurance options, medical-only policies will cover you for the absolute bare essentials, like hospital cover and emergency evacuations. So, while it won’t cover every hiccup you might face, it will give you some coverage in case you rack up huge medical bills.
While a medical-only policy can help you cover the bare minimum, it might not be enough for your trip or needs. Higher-level policies can help cover you for a wider range of things that could go wrong, like lost luggage, trip cancellations, delays, stolen belongings, rental vehicle excess, and more, depending on the policy you choose.
It’s worth thinking about which risks you’re comfortable taking on your trip overseas and finding a policy that matches that.
Who might medical-only travel insurance suit?
Backpackers
Backpackers are the masters of budget travelling. From cheap hostels to questionable overnight buses, every dollar saved means you’re closer to another day abroad. Most backpackers will want to see as much of the world as possible, and their budget is usually the biggest thing standing in their way. Sometimes, choosing a medical-only policy might mean the difference between you and that cramped overnight train to Chiang Mai. So while it’s not the best coverage option, medical-only policies can help you meet that goal while still putting a little bit of coverage behind you.
Students
Whether you’re taking a gap year during uni or escaping the stress of year 12, odds are your travel funds probably aren’t as limitless as you’d like them to be. Whatever funds you do have are probably from your part-time job and some birthday money saved up from your gran. So, when it comes time to get your travel insurance sorted, you might not be able to splash out on your policy as much as your parents want you to. Medical-only policies are a great way to get basic coverage, while leaving enough behind to cover another night in a windowless (but cheap) hostel.
Helpful tip
Planning a tropical cruise to relax on the high seas? While you might be tempted to skimp on insurance and put your budget towards an all-inclusive drinks package, keep in mind that most medical-only policies won’t cover you once you’re off dry land. Because medical treatment on cruise ships is limited, anything serious will usually lead to an evacuation back to shore (which isn’t cheap). To be covered on a cruise, you’ll likely need a higher-level policy, and in many cases a cruise cover add-on.
Adrian Bennett
General Manager for General Insurance
What are Reciprocal Health Care Agreements? How do they play into my medical-only travel insurance?
While some countries have health care agreements with Australia, it’s not your saving grace. Reciprocal Health Care Agreements (RHCAs) help subsidise your medically necessary costs when you’re travelling overseas. This means if you’re injured while travelling and your treatment can’t wait until you get home, you could get coverage for some of the costs. The list of countries Australia currently has an agreement with includes:
- Belgium
- Finland
- Italy
- Malta
- the Netherlands
- New Zealand
- Norway
- the Republic of Ireland
- Slovenia
- Sweden
- the United Kingdom.
But don’t put all your eggs in that basket just yet. RHCAs don’t cover everything, and they definitely don’t replace travel insurance. And each country could have its own list of exclusions to think about too. What happens if you need to be medically evacuated or buy medications for your treatment? The RHCA won’t be able to save you then. So, the best way to go about it is to think of travel insurance as your ice cream, and reciprocal health care as the cherry on top. Nice when it’s there, but not something you should rely on alone.
What if I have a pre-existing medical condition?
If you’ve a pre-existing medical condition, your travel insurer needs to know about it before you take off. If you don’t tell them and your condition flares up severely while overseas, it might not be covered by your policy.
Most travel insurers won’t cover every single medical condition under the sun.
Also, there could be a few extra hoops to jump through before getting your coverage organised. You might need to complete a medical assessment before getting the green light (or seeing if you even can be covered in the first place). If your condition can be covered, there could also be an extra premium to pay. So, a bit of honesty and paperwork now could save your bank account in the long run.
What should I consider when choosing medical-only travel insurance?
When it comes to finding the best medical-only policy to match your needs, there are a few things to keep in mind to make sure you’re properly covered.
What’s covered
Look closely at what exact medical coverage your policy provides. Make sure that it covers the essentials like medical evacuation and emergency hospital expenses. Also, look at any coverage limits, since that will play into the scenario too.
Where you’re heading
Healthcare costs vary a lot across the world. Where you’re going will affect the type of cover that suits. Whether you’d need a medical evacuation to get you to the nearest hospital or you’re going to a place known for higher hospital costs, make sure your cover matches.
Reciprocal Health Care Agreements
Australia has a few Reciprocal Health Care Agreements with other countries, and these could help cover some of your medical costs. While this won’t replace your insurance, you can use your policy to fill in any gaps not covered by the reciprocal agreement.
Pre-existing medical conditions
If you have a pre-existing condition, make sure to let your travel insurer know first. They’ll let you know whether they can cover you, or whether you’d be better with a higher level of coverage to cover the medical care you need in the event of a flare-up.
Better value vs more coverage
While medical-only policies are cheaper, it doesn’t mean they’re always the best option. Make sure to think about your own needs, not just the pressures from your travel budget, when it comes to travel insurance. Having the peace of mind that you’re covered for whatever might worry you is always the more important consideration.
Keep your health covered with medical-only travel insurance
If you’re strapped for cash but don’t want to travel uninsured (which really isn’t recommended), a medical-only policy is here to help keep you covered. Start comparing from a range of travel insurance policies with iSelect today to find a great fit to start getting your plans underway.
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