In a global, mobile economy, it is not uncommon for employees to travel domestically and across international borders to conduct company business. The fact is that most business trips are completed successfully. Nonetheless, the more senior management, key persons, high producers and other employees travel, the greater their potential exposure to illnesses, accidents and other risks, which always seem to loom in the background.
Increasingly, more companies have moved to protect employees and themselves against the risks inherent in business travel by investing in business travel insurance.
Travel Insurance for Businesses
When employees travel for business, whether it in the U.S. or to an unfamiliar location far from home, they generally have a lot on their minds. This includes the purpose of the trip and how it can be concluded successfully. In the back of their minds is often concern over the possibility of becoming sick or injured and not knowing where to turn to for help.
In addition, civil and political turmoil has increasing become part of the landscape—at home as well as abroad.
A comprehensive business travel accident program and helps mitigate risks and put employees at ease. Furthermore, organizations receive indemnification against potentially large, unforeseen costs related to uncovered claims and other expenses.
Basic travel insurance coverage offers a broad range of benefits and services, including:
- 24-hour worldwide emergency hot line services
- Medical services
- Medical evacuation
- Reimbursement for unexpected trip cancellation or delay
- Baggage loss or delay
- Identity theft service
For companies seeking to build a more comprehensive travel program, policy coverages can be extended to include foreign auto rental, foreign commercial general liability, foreign voluntary workers’ compensation, marine ocean cargo, foreign commercial crime and political risk and kidnap and ransom. This includes Defense Base Act Coverage (DBA) for contractors and subcontractors hired to work on international government contracts.
Make Benefit Packages More Competitive
For employers who seek opportunities abroad, many are in heated competition to attract the best talent. Providing travel and accident insurance coverage as part of your employee benefits portfolio may prove crucial for attracting the right people to your team.
In 2012, a survey conducted by the Chubb Group of Insurance Companies revealed that almost half of the respondents would refuse a request to go on a business trip that they considered “dangerous” unless the company provided emergency medical coverage and other services to protect them from unexpected circumstances.The survey provides valuable insights into the anxiety employees have about business travel, especially abroad:
- 42% would take the trip only if the company provided access to reliable emergency medical coverage
- 61% express concern about how to locate a qualified physician
- 47% would travel if the employer provided advance information about the country
- 51% would not know who to contact for a lost passport or other identification
- 51% would want to know how to find an attorney
Employees are clearly concerned about having in place adequate protection for accidents, medical issues and protecting their families from financial and other hardships when traveling on company business. Employers who are proactive and address these concerns with travel-accident insurance coverage can take the worry out of business trips for management and employees, provide protection of valuable assets, and elevate their recruitment of talent to the next level.
By law, companies are required to carry Workers Compensation insurance to protect workers who contract an illness or become injured on the job. Remember, business-travel accident coverage does not replace workers comp insurance, but provides a comprehensive strategy to address potential issues related to business travel in the U.S. and around the world.
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