Travel Insurance Sub-limits: What Travellers Should Check Beyond the Sum Insured

Some insights here from Policybazaar on travel insurance featuring sub-limits;

A travel insurance policy may offer a large medical sum insured, but the coverage available under individual benefits can vary depending on the policy. A sub-limit is a specified cap that a travel insurance policy may place on certain benefits such as hospital room rent, ICU charges, doctor consultations and other medical expenses. Some plans may also have specific limits for expenses arising from an illness or accident.

Sub-limits are a common feature across insurance products and can help insurers offer policies at different price points, giving travellers more options based on their coverage needs and budget. For travellers, understanding these limits can be an additional consideration when comparing policies, alongside the overall sum insured, premium and other benefits.

As travel insurance increasingly moves beyond being a visa requirement to becoming a broader financial safeguard, knowing how individual benefits are structured can help travellers choose a policy that is better aligned with their needs.

The different kinds of sub-limits

● Room rent (per day of hospitalisation)

● ICU charges (per day)

● Operation theatre and surgery costs

● Anaesthetist charges

● Doctor consultation and follow-up visits

● Diagnostic tests

● Ambulance costs

Key sub-limits: benefits and cost capping

Across plans currently available in the market, sub-limits on core hospitalisation benefits vary widely:

Benefit Entry-level plans Premium plans

Room Rent $1,500/day $2,500/day

Emergency Room $1,500 $2,500

ICU charges $3,000/day $4,000/day

Surgery $12,500 $22,500

Doctor Consultation $125 $350

Diagnostics $750 $2,500

Ambulance $500 $1,000

Age is a another factor to consider

Another aspect travellers should be aware of is that sub-limits may vary by age. They do not necessarily apply uniformly across all age groups, with some plans introducing specific limits from certain age bands. The threshold can also differ across insurers:

1. Earliest applicability: Sub-limits begin from as early as 50 years in some plans

2. Mid-segment applicability: A larger segment of insurers introduce sub-limits from 56 years onwards

3. Senior citizen applicability: Several plans reserve sub-limits specifically for the 61-years-and-above bracket, sometimes structured as dedicated senior-citizen products

For senior travellers, looking beyond the sum insured can be useful

For senior travellers, checking age-specific features becomes particularly relevant when evaluating travel insurance. While the overall sum insured remains an important consideration, looking at limits for room rent, ICU, surgery, diagnostics and ambulance expenses can help travellers understand the extent of coverage available for individual benefits. This can make it easier for senior travellers to compare policies based not only on the overall coverage and premium, but also on how the benefits are structured for their age group and travel needs.

Manas Kapoor, Head, Travel Insurance at Policybazaar noted, “Travellers often look at the sum insured and premium when evaluating travel insurance, but there are several other aspects that can help them understand the coverage better. Sub-limits are one such feature. Checking limits for benefits such as room rent, ICU, surgery, diagnostics and ambulance expenses can give travellers a clearer picture of how the policy works. These limits can vary across plans and age groups, so considering them alongside the overall sum insured and premium can help travellers choose coverage that is aligned with their individual needs and budget.”