Travel insurance is often treated like a checkbox: a background benefit hidden in a drawer and only remembered in moments of crisis. For advisors, it’s a trust-building opportunity hiding in plain sight. From unstable conditions to misunderstood coverage terms, travel insurance missteps can spiral into six-figure liabilities and damaged client relationships. The good news? With the right approach, advisors can flip these risks into powerful value-adds for clients, positioning themselves as irreplaceable experts.
Why Travel Insurance is More Critical and Misunderstood Than Ever
Most Canadians believe they’re already covered by workplace benefits, credit cards, or even their travel agent, but real-world claims tell a different story. For instance, a client once faced a $108,000 USD bill after a denied claim in Florida despite confirming coverage over the phone. The issue? A buried stability clause.
This isn’t rare. In fact, most claims disputes come down to a lack of awareness around policy language, trip duration, pre-existing conditions, or what defines “stable.” It’s not that coverage isn’t there, but it’s that it’s misunderstood.
As an advisor, you are uniquely positioned to simplify this complexity, protect clients from emotional and financial chaos, and show up as the proactive professional who saw it coming.
The Hidden Risk in Ignoring Travel Coverage
Failing to advise properly on travel insurance can cost you your client’s trust. Imagine learning your client wasn’t covered due to a stability clause, and now they’re in a hospital bed abroad, calling you instead of the insurer.
Without clear communication, these misunderstandings erode confidence and damage long-standing relationships. You’re not expected to adjudicate every clause, but you are expected to guide your clients to ask the right questions, read the fine print, and understand their responsibilities before they board the plane.
Practical Tools Advisors Can Use Immediately
Pre-Travel Planning Checklist
Encourage clients to treat travel insurance like they do airline tickets or hotel bookings: a non-negotiable. Equip them with a checklist that includes:
- Reviewing coverage with their provider
- Confirming stability clause periods
- Verifying dependent coverage
- Printing and distributing emergency contact cards
- Understanding how to make a collect call abroad
This guide covers what to check, carry, and confirm before leaving the province. Share it as part of your onboarding, renewal, or travel-season outreach.
Digital Tools That Empower
Direct clients to download their provider’s app and store digital copies of their coverage documents in multiple places. Many forget that during a medical emergency abroad, someone else may need to call the insurer on their behalf.
Create a Mini Video Series
Consider a 3-part video series covering:
- What to do before you travel
- What to do during an emergency
- How to file a claim properly
Short, branded videos not only position you as a helpful expert but create shareable content HR teams can use internally.
Common Mistakes That Lead to Denied Claims
Travel claims often fall apart for simple reasons. Sometimes the person on the plan doesn’t meet eligibility rules. Other times the trip is longer than the policy allows. In some cases, coverage is applied inconsistently such as giving owners extended coverage while employees have tighter limits, without clearly documenting those differences.
These issues aren’t rare. They come up when plan rules are misunderstood, or when no one double-checks the details before a trip. With a few simple checks, these problems can be avoided.
Start by confirming that employees meet the required number of work hours. Plans often set a threshold, and if someone falls short, they may not qualify. Next, match the trip duration with the plan’s coverage. Some plans allow 15 days; others extend to 180. It’s also important to identify who gets what. If owners have more travel flexibility than staff, make sure that’s documented in the plan design.
Finally, remind clients that travel advisories can affect whether coverage applies. If a government site recommends avoiding travel to a region, claims related to that location may be excluded.
A Missed Opportunity for Most Advisors
Few advisors lead with travel insurance. That creates an opening for you. This is a topic that most employers don’t think about until it’s too late. When you raise it early, you position yourself as someone who looks out for details others ignore.
You can use this to start conversations that go deeper than just travel. Talk to clients about seasonality—do they or their teams travel more in summer or winter? Offer to walk through their current travel coverage and compare it to their needs. Share examples of claims that were denied due to misalignment between plan design and real-life use. These aren’t scare tactics. They show that you know how to prevent the preventable.
If you’ve created a pre-travel checklist, use it as a leave-behind or onboarding tool. It shows that you’ve already thought about what your clients haven’t. You can also use travel duration needs to introduce the idea of tiered coverage within a plan. That’s often a more natural entry point than starting with cost or policy limits.
Leading the Conversation Sets You Apart
Advisors who bring up travel coverage early avoid emergency calls later. It shows your clients that you’re thorough, informed, and practical. That earns trust.
The Benefits Trust supports this with plan designs that allow for customized travel durations. Clients can access mobile tools and document storage to simplify what happens during a trip. Plus, if questions come up, they can count on a real person to help and not just a 1-800 number.
When you guide your clients through this process, you’re helping them avoid confusion, protect their finances, and travel with confidence.
Need help reviewing travel coverage for your clients?
Connect with The Benefits Trust to talk through plan design options, coverage durations, and simple steps that help clients avoid denied claims. We’re here to support your conversations before your clients take off.
