Travelling With Gadgets? Know If Your Travel Insurance Protects Your Electronics

For many travellers, their electronic devices like smartphones, laptops, tablets, and smartwatches are as essential as their passports and boarding passes. But while travel insurance promises peace of mind, its coverage for electronics is far from comprehensive.

Even though they are high-value and frequently carried items, personal electronics are often treated cautiously by insurers. Most standard travel insurance policies offer limited coverage for such items, and in some cases, exclude them entirely, especially if they are packed in checked baggage.

Says Sourav Biswas, Business Head, Aviation Insurance at Alliance Insurance Brokers, "While some level of coverage is typically included under baggage protection, these high-value items are either excluded entirely or capped at relatively low limits."

The first thing to understand is that insurers usually expect electronics to be in your hand luggage if you want any hope of a claim being processed. Though some policies may provide coverage for electronic items, they would be subject to a capped amount that you can claim. Based on your travel policy, Biswas says the limit could be somewhere between Rs 25,000 and Rs 50,000 per item.

Such capped coverage may barely, if even, cover the cost of a mid-range smartphone, let alone other expensive items like a laptop or camera. Moreover, if multiple gadgets are lost, the overall compensation might still fall under a total limit, not per item.

Even then, adds Biswas, insurers may require proof of ownership, purchase receipts, and sometimes pre-declaration of the items for the claim to be valid. Without meeting these requirements, your claim could get rejected outright. This can catch travellers off guard, especially if they assume a "comprehensive" policy will automatically cover their tech.

There is another catch: many policies exclude losses involving "unattended belongings" or "negligence." So for instance, if your laptop is stolen from your hotel room or you forget your camera in a cab, chances are you will not be compensated. Minor damages like screen cracks or charging issues from rough handling during travel would also be rarely accepted under claims.

Don't ignore the 'exclusions'

Some insurers offer specific add-ons for electronics, but these need to be chosen proactively. A common oversight is not reading the policy wording in full, especially the exclusions. For example, high-end accessories like smartwatches or wireless earbuds might not be considered "essential electronics" and may be left out of coverage altogether.

Valuables like jewellery or expensive watches typically fall into a similar grey area. These items are commonly excluded from standard policies unless they are specifically declared and insured under an add-on or separate policy, adds Biswas. "If they are covered, the payout limits are typically low, and losses resulting from checked baggage or unattended belongings are rarely compensated."

Travel documents such as passports or IDs are slightly better handled, and most policies reimburse the cost of replacement but not the related expenses like trip extensions, cab fares to embassies, or missed connections.

"While the insurance might reimburse the reissuance fee of a lost passport, any resulting missed connections or additional travel costs may not be covered unless the policy includes travel disruption protection," informs Biswas.

In short, while your policy might cover your suitcase, your electronics may not be included. If you are packing expensive gadgets, it is worth checking your policy's fine or calling your insurer directly to get clarity on such coverage.