I am a 25-year-old salaried corporate employee and have planned to travel abroad during April this year. This is my first experience with international travel and and I have opted for a travel insurance policy from ICICI Lombard to secure my trip. In the policy clauses, I came across the term, “Personal Effect & Baggage Loss”, which I wasn’t able to comprehend. Can I get some clarity on this so tht I can understand my policy better?

- Medhavi Dhruva

Protection from ‘baggage loss’ is one of the covers offered under a travel insurance plan. Baggage loss and personal effects mean luggage and personal possessions (contents in checked-in bags) of the insured (policyholder) carried during the trip.

A policyholder can claim for loss of baggage if he/she has taken travel insurance and the baggage is lost or damaged during travel, while in the custody of the carrier. Only checked-in baggage is covered by travel insurance. Insurers will not compensate for the loss of any valuables (such as jewellery and money) inside the baggage.

In ICICI Lombard’s Leisure Travel (Platinum) plan, the maximum cover for baggage loss offered is $500. For delay in checked-in baggage, the maximum cover offered is $100.

Note that if you carry more than one baggage and if one of them is lost, the insurer pays the benefit amount proportionately. In addition, some insurers have sub-limits and deductibles also. The ‘delay in checked-in baggage’ cover will be paid only if the delay of flight is beyond 6 hours in case of ICICI Lombard Travel Leisure. Baggage loss claim will be processed only if a policyholder submits confirmation of baggage loss statement from airlines (property irregularity report), copies of boarding pass/ticket and other documents as requested by the insurance companies.

Note that if the lost baggage is retrieved, the policyholder must repay the amount received.

Send your queries to insurancequeries@thehindu.co.in

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