Business travel will stay strong in 2024, with sectors like manufacturing, healthcare, mining, oil and gas, professional services, and construction driving the boost. McKinsey predicts corporate travel to hit 80% of pre-pandemic levels this year. If your company has traveling employees, prioritize their safety to safeguard your business and their well-being.

Three Policy Options

There are three types of travel policies to consider:

1. General Travel Insurance: This covers general travel, including adventure sports. You can buy it as a one-time policy or choose annual multi-trip coverage if you travel often. Customize it with add-ons based on your trip’s needs. It typically covers medical expenses, trip cancellations, lost luggage, and other common issues.
2. Business Travel Insurance: For individual business travelers, this includes coverage for spouses and children. It’s an annual policy that renews yearly. It covers specific business trip events, domestically or internationally, like alternative employee expenses, frequent flyer points, and corporate image protection. Benefits include medical expenses, emergency transportation costs, and rental vehicle excess charges. You can add coverage for incidental leisure travel.
3. Corporate Travel Insurance: This covers your staff on authorized business trips, both domestic and international. It covers directors, senior managers, their spouses, dependent children, and other designated employees. This policy offers consistent coverage for all staff and can be tailored to your needs.

Claim examples

An Australian business traveler was hurt in a car crash in a US national park, spending over four weeks in a hospital, costing $570,000, covered by their corporate travel insurance.

During a business trip to Germany, an Australian’s bag disappeared from their hotel. As it wasn’t recovered, they claimed $5,500 on insurance for the loss.

Another business traveler had to cancel their trip in Australia due to their partner’s stroke-like episode. They claimed $20,000 on insurance to cover the cancellation costs.

Overall benefits of travel insurance

Travel insurance for business trips offers several benefits:

1. Coverage for overseas medical emergencies, including COVID-19, evacuation, and repatriation.
2. Protection against loss of income.
3. Reimbursement for trip cancellation, delays, or resumption.
4. Personal liability coverage.
5. Compensation for damage to or loss of luggage, personal items, passports, credit cards, and fraud.
6. Coverage for rental vehicle excess charges and theft of cash.

Also, encourage your staff to utilize frequent flyer points earned during business travel. While individuals usually accrue these points, businesses can register for programs like Qantas or Virgin to earn points on flights. These points can then be used for flights, upgrades, and other rewards. Additionally, consider paying invoices and insurance with credit cards to earn more points.

What to consider when choosing travel insurance for business trips:

1. Business-specific benefits like coverage for employee expenses, assignment resumption, and safeguarding your corporate image.
2. Flexibility to add multiple employees to one corporate plan easily.
3. Exclusions and limitations, including pregnancy, alcohol-related incidents, and negligence.
4. Tax deductibility.

If travel is essential for your business, consult with us to ensure you’re adequately protected. If you would like to know more about corporate travel insurance please CLICK HERE, or contact us for more information.