2 days ago
What UAE travellers need to know: Does travel insurance cover war, conflict?
Recent travel disruptions across the Middle East region have contributed to an uptick in demand for travel insurance. Travellers are actively seeking protection against such contingencies, an insurance company confirmed to Khaleej Times on Thursday, a week after Israel and Iran exchanged missile attacks.
UAE airlines have been forced to extend flight cancellations to several destinations – including Iraq, Jordan, Lebanon, Iran, and Israel – due to the rapidly spiralling armed conflict. Some travellers from the UAE have changed their destinations at the last minute. In contrast, others have deliberately chosen countries unaffected by suspended air routes, hoping to avoid any surprises that could delay their return.
Still, many Emiratis and expats are gearing up for summer travel, as they do every year. For them, travelling is not just a vacation; it's a personal or family tradition that they are unwilling to abandon.
It's important to note, however, that most standard travel insurance policies do not cover claims arising directly from geo-political unrest or military conflict.
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Toshita Chauhan, chief business officer–general insurance at explained to Khaleej Times, "Claims arising directly from geo-political unrest or military conflict remain excluded under typical policy terms.
"A standard travel policy offers financial protection against baggage loss, medical emergencies, trip delays, and cancellations but does not provide compensation for in-flight events or operational airline failures unless linked to broader delays or trip curtailment," she added.
"That said, for issues like missed connections, baggage delays, or last-minute cancellations due to operational failures, travel insurance is proving to be a critical safeguard," underscored Chauhan, noting: "Recent travel disruptions across the Gulf, particularly flight delays, cancellations, and temporary airspace closures, have contributed to a perceptible uptick in demand for travel insurance, with trip cancellation and flight delay coverage emerging as some of the most searched-for features."
Triggered by Air India plane crash
Another incident that "undoubtedly triggered a rise in consumer interest," according to Chauhan, was the Air India plane crash that reportedly left all people aboard the plane – except one – dead.
Chauhan said, "The Air India incident has undoubtedly triggered a rise in consumer interest but with an important distinction. What many travellers are looking for is flight protection or airline coverage, which differs from traditional travel insurance. We've seen a spike in queries related to coverage scope, indicating that travellers are more discerning now—they are asking the right questions and seeking clearer coverage terms before purchasing."
How important is travel insurance?
While not every country mandates travel insurance for incoming tourists, an increasing number of nations have incorporated it into their entry requirements, particularly in the post-pandemic era.
Chauhan said, "Countries within the Schengen zone, for instance, require travellers to have a minimum coverage of €30,000 (Dh126,387) for medical emergencies. Similarly, destinations like Thailand, Turkey, and certain Gulf nations have introduced mandatory travel insurance policies for specific visa categories."
"The global trend is clearly shifting toward stricter health and financial safeguards for visitors, and travel insurance plays a critical role in this framework," she added.
It's not just a precaution
For Chauhan, purchasing travel insurance is not just a precaution — it's a smart financial decision. This comes with rising international medical costs, where a single hospitalisation abroad can run into thousands of dollars.
"Travel insurance offers comprehensive protection against such expenses, including emergency medical treatment, trip cancellations, baggage loss, flight delays, and even Covid-19-related disruptions," she added.
Some foreign embassies in Europe, North America, and certain Asian countries also now require proof of insurance as part of visa applications. UAE expats travelling to their home countries are also increasingly opting for travel insurance as part of their travel checklist, mindful that even a short visit can expose them to unexpected costs due to medical emergencies, baggage mishandling, or flight issues.
Double-digit price increase
Meanwhile, even before the recent Israel-Iran missile attacks erupted, travel insurance premiums in the UAE have surged at a double-digit rate, particularly for Europe-bound travellers, ahead of the peak outbound travel season.
According to Policybazaar UAE, travel insurance premiums have risen by 12 per cent to 18 per cent year-on-year. This translates to an increase of Dh15 to Dh70 per policy, depending on the travel duration, destination, and age of travellers.
Hitesh Motwani, deputy CEO at earlier told Khaleej Times there are "tailored policies that allow travellers to choose coverage that fits their specific needs and financial plans.
"Despite the recent hikes, travel insurance remains relatively affordable on a per-trip basis," he added.
