Even if a flight is delayed for several hours, travelers may not receive compensation from their travel insurance if they have not incurred any actual expenses. Damage to glasses or scratches on luggage are generally excluded from coverage.
On July 12, the Financial Supervisory Service provided guidance on important considerations for travelers purchasing insurance during the summer vacation season, along with key dispute resolution cases.
Travelers cannot receive duplicate compensation exceeding their actual losses, even if they hold multiple travel insurance policies. For instance, if a traveler claims 1 million won for overseas medical expenses under two different insurers with the same conditions, each insurer will pay 500,000 won.
It is essential to understand the differences between the two types of flight delay compensation: 'fixed' and 'actual expense' compensation. Fixed compensation pays a set amount based on the duration of the delay as specified in the policy, while actual expense compensation reimburses travelers for food, lodging, and transportation costs incurred during the wait, up to a certain limit.
In a recent dispute resolution case, a traveler faced a five-hour delay on their return flight but was excluded from receiving compensation because they had not incurred any additional expenses. The traveler had confused the fixed compensation for the outbound flight with the actual expense compensation for the return flight.
In another instance, a flight was canceled due to a volcanic eruption, and the costs for transportation and snacks were not reimbursed. The traveler did not meet the policy's delay compensation criteria because they took a replacement flight that departed 1.5 hours later.
Coverage for personal item damage is also limited. Compensation is available for accidental damage or theft, but simple loss due to negligence is not covered, even with documentation. Items like glasses and contact lenses are excluded from coverage.
Cosmetic damage, such as scratches on a suitcase that do not affect its functionality, is also not eligible for compensation. If a borrowed suitcase is damaged, liability coverage may not apply.
* This article has been translated by AI.
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