The complete guide to travel insurance for Canadians

Travel insurance offers several different types of protection to Canadians leaving the country. For example, if you have a medical emergency while travelling, travel insurance will cover the cost of your treatment. Additionally, if you need to cancel your trip due to an emergency, some travel insurance policies can reimburse you for any non-refundable expenses.

While travel insurance is not required by law in Canada, it is highly recommended, as the cost of medical emergencies and other unforeseen events can be very expensive when you are outside of your home country. Therefore, making insurance part of your travel plans can give you peace of mind while you are away.

What is travel insurance?

Travel insurance is a type of insurance that helps to cover the cost of medical care if you become sick or injured while travelling. It can also protect you from financial loss if you have to cancel or interrupt your trip.

What are the different types of travel insurance?

Canadians leaving the country or their home province have the option of getting two main types of travel insurance: travel medical insurance and trip cancellation/interruption insurance.

Travel medical insurance

Travel medical insurance can help to cover the cost of medical care if you become sick or injured while travelling. It can also help to cover the cost of travel if you need to be transported to a hospital in another country. This emergency medical coverage is the most common type of travel insurance. It can sometimes be referred to as travel accident insurance or travel health insurance.

Trip interruption and trip cancellation insurance

Trip cancellation and trip interruption insurance offer financial protection by reimbursing you for the cost of your trip if you’re forced to cancel or cut it short due to unexpected circumstances. These situations could range from illness or severe weather to issues like lost baggage or transportation delays, which may disrupt your travel plans. 

In many cases, insurance providers offer comprehensive travel insurance policies that combine both trip cancellation and interruption coverage, providing a broader safety net to ensure you’re protected against a wide range of potential travel setbacks.

Super Visa insurance

Super Visa insurance is a mandatory medical insurance requirement for individuals applying for a Canadian Super Visa, which allows parents and grandparents of Canadian citizens or permanent residents to visit Canada for extended periods. 

This insurance is valid for at least one year and provides a minimum coverage of $100,000. It covers any form of emergency healthcare, hospitalization, and repatriation expenses. Super Visa insurance ensures that visitors are protected against medical emergencies during their stay in Canada.

Visitors to Canada insurance

Visitors to Canada insurance is designed to provide coverage for unexpected medical expenses incurred by travelers during their visit to Canada. It helps protect against the high cost of healthcare services in the country, covering emergencies such as hospitalization, doctor visits, ambulance services, and prescription medications. 

This insurance is essential for tourists, immigrants, those visiting family, and even returning Canadians, ensuring that they are financially protected in case of illness or accidents during their stay in Canada.

International students insurance

International students insurance is a specialized health insurance plan designed to cover medical expenses for students studying abroad. This insurance typically includes coverage for doctor visits, hospitalization, emergency medical treatments, and prescription medications. 

It helps protect international students from the high cost of healthcare in Canada, ensuring they receive necessary medical care without financial strain. 

Foreign workers insurance

Foreign workers insurance in Canada is a health insurance plan designed to provide medical coverage for foreign individuals working in Canada. It offers protection against the high cost of healthcare services, covering essential medical expenses and hospitalizations. 

This insurance ensures that foreign workers can access necessary healthcare while living and working in Canada, helping them avoid significant out-of-pocket expenses in the event of illness or injury.

Why should Canadians make travel insurance part of their travel plans?

If you plan to travel outside Canada ‒ even for a single day ‒ you should buy travel health insurance before your trip or vacation.

There are a number of risks you face when travelling, and travel insurance can help protect you from financial loss in the event of an emergency. If you need medical assistance while abroad, travel insurance can help cover the cost of your medical bills and care. And if your trip is cancelled or interrupted, travel insurance can reimburse you for non-refundable expenses.

Travel insurance is an important consideration for any trip, and it’s especially important if you’re travelling to a country with high medical costs or risks.

Where can you get travel insurance in Canada?

Canadians can obtain travel insurance for a trip away from Canada through several different avenues:

• Travel agent: The travel agent through which you booked your trip may have access to travel insurance plans as well. Most travel agents deal with a single provider so they don’t typically offer the most choice of plans.
• Employee or group insurance provider: Your group benefits provider may offer the ability to purchase additional travel insurance through your group plan. Again, one downside to this approach is you are unable to compare the prices and plans of different carriers.
• Credit card coverage: If you booked your trip on your credit card, you may also be entitled to some insurance coverage. Check the details of the policy before your trip so that you know of any limitations to your coverage. You typically cannot buy supplementary travel insurance through this plan, as it is an added benefit of your credit card agreement. Learn more about credit card travel insurance and its limited coverage.
• Insurance broker: An insurance broker (like PolicyAdvisor) can present you with several different choices of policies, providers, and premiums so that you can choose the coverage that would best suit your trip and budget. They can also offer insight into the claims process and guide you to which company would work best for the type of vacation or travel away from Canada you plan on making.

What should travel medical insurance cover for trips outside Canada?

No matter where in the world you are travelling, there are 3 basic medical expenses your travel health insurance policy should always cover: medical evacuation from your travel destination if required, coverage for any pre-existing conditions you have, and repatriation (covering the cost of transporting your remains should you pass away during your trip).

Every travel medical insurance policy is unique, as one has many options when applying for coverage.

Most travel medical insurance policies typically cover:

• Emergency medical treatment for illness or injury
• Prescription medications
• Emergency dental treatment services
• Essential medical equipment (crutches, wheelchairs, slings, braces, etc.)
• X-rays and other diagnostic laboratory procedures (bloodwork, ultrasounds, etc.)
• Required ground, air or sea ambulance services
• Follow-up post-medical appointments with health care providers
• Medical evacuation
• Ambulance travel to the nearest hospital
• Meal expenses and accommodations while waiting for medical care

What’s not covered in a travel insurance policy in Canada?

Travel insurance policies in Canada typically exclude coverage for certain situations such as having unstable pre-existing conditions, chronic or terminal illnesses, participating in high-risk activities, opting for elective treatment and more.

• Pre-existing medical conditions: Any condition that has remained unstable or required treatment within 3-6 months of the effective date of travel
• Complex medical conditions for older individuals: People above the age of 55 who have chronic cardiovascular or pulmonary conditions, have undergone organ transplants or have been diagnosed with cancer will not be covered
• High-risk activities: Injuries from adventure sports such as skydiving, scuba diving and more may not be covered unless you buy additional coverage
• Travel to high-risk destinations: Countries with travel advisories or war zones may not be covered for claims related to incidents in those areas

Does travel insurance cover pre-existing conditions?

Most travel medical insurance policies do not cover a pre-existing medical condition by default. One should always check the wording on their policy to see if a pre-existing medical condition may or may not be covered during trips outside of Canada.

In some cases, if you have shown no symptoms or diagnosis of a pre-existing medical condition for 180 days prior to the effective date of the policy and have not had treatment for the condition during that time, it will not be considered a pre-existing condition during your coverage period.

Some conditions may get excluded from your travel medical insurance coverage during the underwriting process. A pre-existing condition exclusion could include:

• cancer
• heart disease
• diabetes
• high blood pressure
• pregnancy

They can also include relatively mild conditions for which you have taken prescription medication such as:

• sleep apnea
• anxiety and/or depression
• bipolar disorder 
• other mental health conditions

Insurance providers will look at the specific state of your illness or condition to evaluate the risk associated with the pre-existing condition. They then make their decision accordingly for your travel insurance plan.

Some providers offer policies that will cover pre-existing conditions, though the premium will be higher to compensate for the added risk.

One should request an explanation of the limitations and restrictions on any pre-existing medical condition, tests, and treatments they may have had.

How do I ensure I keep my universal public health insurance if I am taking a trip outside of Canada?

Depending on the length of your trip and the province or territory you call home, a long absence from Canada can result in your universal public health coverage lapsing.

For instance, for Ontario residents, if one plans to be outside Canada for more than 6 months, your Ontario Health Insurance Plan (OHIP) can lapse and you won’t regain your coverage until after you’ve spent several consecutive months in Ontario.

To ensure one retains OHIP status, they need to:

The rules for medical plans in Canada’s other provinces and territories differ slightly but are generally the same. Check with your region’s territorial health authority to see what rules you need to follow to retain your provincial or territorial health plan status before you leave for your trip.

Which is the best travel insurance company?

There are several travel insurance companies such as Manulife, Blue Cross, GMS, TuGo, Allianz and more, offering competitive travel insurance policies with lucrative benefits and comprehensive coverage. Check them out in details below:

Manulife

• Up to $10,000,000 CAD in coverage up to age 85+
• Several different plans for trips outside Canada or lower-cost options for trips within the country
• Robust options for multi-trip plan policies
• Can include Emergency Medical Insurance, Baggage Loss, Damage & Delay, Flight Accidents and Travel Accidents, and added discounts for a travel companion

TuGo

• A Canadian travel insurance brand managed by iA Financial Group
• Does not require medical underwriting until age 60
• Offers Emergency Medical Insurance, Trip Cancellation & Trip Interruption Insurance, Accidental Death & Dismemberment Insurance, Non-Medical Packages, All-Inclusive Holiday Packages, and more options within those categories

Group Medical Services (GMS)

• Offers up to $5,000,000 CAD in coverage and up to $500,000 for COVID-related emergency medical expenses
• 24/7 worldwide support available in several different languages.
• Direct payments: GMS can directly pay service providers instead of you paying out of pocket
• Virtual medical services available for minor emergencies that don’t require in-person care

Allianz Global Assistance

• Allianz Global Assistance is one of the world’s largest travel insurers
• Largest network of global medical providers
• Can help you navigate healthcare options in several different geographic locations
• Offers up to $10,000,000 CAD in coverage

MSH International

• Canuck Voyage travel plan offers up to $7,000,000 CAD in coverage up to the age of 79
• Different plan options for visiting the US, international destinations, and within Canada
• Discounts for travel companion
• Partial refunds possible if you decide to voluntarily cut your trip short

Destination Canada

• Annual, Multi-Trip, and Daily Rated Plans available
• Up to $5,000,000 CAD in coverage up to the age of 74
• Accommodates return of vehicle for trips taken over Canada’s land borders.

How much does travel insurance cost in Canada?

The cost of travel insurance in Canada typically ranges from 4% to 12% of the total trip cost, depending on various factors such as the length of the trip, the age of the traveler, and the type of coverage selected.

Factors affecting the cost of travel insurance in Canada

• Trip cost: The higher your trip is worth, the higher the insurance premium. This occurs due to a greater potential for claims in these trips
• Traveler’s age: Older travelers generally face higher premiums. For instance, a 60-year-old may pay around $362, while a 70-year-old could pay approximately $508
• Coverage type: Comprehensive plans that offer broader protection tend to cost more than basic plans. A basic plan for a $2,500 trip might start at $75, while a more comprehensive plan could go up to $170
• Destination and duration: Traveling to higher-risk destinations or for longer periods often leads to increased premiums

Who needs travel insurance?

Besides vacationers leaving Canada for trips abroad, some specific groups also require travel insurance.

Students

Students attending school outside the country may need the protection of a travel medical insurance policy. Many colleges and universities (and student unions) provide access to extended medical care through their group benefit plans. However, this coverage is sometimes only in effect during the school year or fails to offer the same protection as an independently owned policy you can secure before leaving Canada.

Athletes

Amateur athletes leaving Canada for competitions or training should also secure an independent medical plan for the duration of their trip.

Snowbirds

Snowbirds are typically retired Canadians who spent the cold winter months abroad, or at the very least outside their home province. They should also ensure they have financial protection secured for the duration of their trip given the higher risk for medical emergencies at their age.

How to choose the best travel insurance policy in Canada?

Choosing the best travel insurance policy requires evaluating several key factors such as evaluating coverage needs, checking limitations, comparing various providers and more to ensure the coverage meets your specific needs.

• Evaluate coverage needs: Ensure the policy includes sufficient emergency medical, trip cancellation, and baggage protection based on your travel risks
• Check policy limits and exclusions: Review the coverage limits for medical expenses and trip cancellations, and understand what is not covered by the policy
• Choose between single-trip or multi-trip: Select single-trip insurance for one-time vacations or multi-trip insurance for frequent travelers
• Compare various providers: Get quotes from top Canadian insurers like Manulife, Allianz, TuGo, and Blue Cross to find the best value
• Assess customer service and claims process: Opt for providers with reliable 24/7 support and an easy claims process for emergencies

Frequently Asked Questions

Do I need travel insurance coverage for trips inside Canada?

Yes, as government health insurance plans vary among the provinces and may not provide emergency return home benefits, you should consider travel accident insurance for trips both inside and outside of Canada.

To protect yourself from any unexpected medical emergency, illnesses, or injuries, you should always buy additional health insurance coverage for emergency medical even when you’re travelling within Canada.

What is the average cost of travel insurance in Canada?

A rule of thumb is travel insurance should typically cost 5% of your trip. Of course, these costs can elevate for extended stays outside of Canada, such as a long vacation, or if you are studying abroad or working for an extended period in another country.

The cost of travel insurance is determined by many variable factors including the type of insurance you purchase, your age, the duration of the trip, and the amount of coverage you are getting.

Can Canadians get travel insurance coverage for trips to the USA?

Yes, trips to the United States of America are one of the most common reasons Canadians purchase travel insurance. If you’re planning a trip to the US, travel insurance is a good idea. While the country has excellent medical facilities, travel medical insurance can help cover the cost of an unexpected medical emergency.

Can I get travel insurance after I have left Canada?

Yes, it is definitely possible to find travel insurance options once you’ve left Canada. However, there may be exclusions on your plan.

Policies purchased after the start of a trip generally won’t take effect until 48 hours after you buy them. The waiting period is designed to prevent someone from purchasing and utilizing a policy after they have been injured or hospitalized with an illness.

Does travel insurance include COVID-19 coverage?

Most travel insurance policies cover aspects of medical emergencies and setbacks that may arise if you contract COVID-19 during your trip. This can include the cost of quarantining after contracting the virus or the cost of cancelling a trip because one has contracted COVID.

With that in mind, each policy is different and you should examine your policy documents before you make any assumptions about the virus’ effect on the trip that you are covered for.

Should I buy an individual policy for each trip I have planned or an annual travel policy?

If you travel outside of Canada often (more than twice per year) it may be worthwhile to purchase an annual travel policy. Many of the providers we partner with offer annual options for their travel medical insurance policies that grant policies for unlimited trips during the coverage time period. Speak with our advisors to see if an annual travel insurance policy makes sense for your plans.

Can a travel advisory affect my travel insurance?

Typically, travelling from Canada to a destination that has a travel advisory will not be covered by travel insurance if the advisory is in place before you depart. If an advisory is placed by Health Canada or other governmental departments after you’ve arrived at your destination, your coverage will be intact.