AXA Gulf Steps in to Address Travellers COVID-19 Concerns by Extending Its Travel Insurance Cover to Include COVID-19
AXA Gulf, one of the largest international insurers in the GCC has announced immediate plans to include cover for COVID-19 under all its travel insurance policies.
With additional flights and destinations opening up all the time, people are understandably looking forward to travelling overseas and enjoying a well-deserved holiday or traveling back home to reunite with their loved ones. However, with the number of reported global cases of COVID-19 now exceeding 15 million, it is important not to be complacent.
With an average daily cost of an Intensive Care Unit (ICU) in a developed country being as much as USD 5,000, business and leisure travelers might face crippling healthcare bills if they contract the virus whilst travelling.
Ahead of Eid-Al-Adha break, AXA Insurance has taken a decision to extend the coverage of its travel insurance policies to include the cost of COVID-19 emergency medical expenses. In addition, it will cover the expenses associated with the rescheduling of a return flight caused as a result of the virus.
The insurer points out that problems can also arise if you have to cancel or postpone a trip in the event you test positive for COVID-19. In this unfortunate event, even if your symptoms are mild or asymptomatic, you won’t be able to travel and you might forfeit the cost of your holiday. However, AXA will reimburse its travel insurance policyholders for an amount of up to USD 5,000 for irrecoverable travel costs. Should customers find themselves having to be placed in quarantine whilst overseas, the insurer will pay up to USD 100 per day for a maximum of (15) days if they cannot isolate themselves safely in their booked accommodation.
Commenting on the announcement, Franck Heimburger, Chief Personal Lines Officer at AXA Gulf, said; “At AXA our purpose is to protect what matters. With the UAE leading the way in opening up to international travel, we recognized the need to ensure that our customers could travel safely, secure in the knowledge that AXA Gulf was there to help them.
The costs associated with the COVID-19 effect can be significant, which perhaps explains why most travel insurance policies won’t pay for claims arising from COVID-19. As the region’s leading insurer, we recognize AXA has a role to play in helping the region’s economy recover so we took the decision to extend cover to coincide with the Eid-Al-Adha holidays.
As one of the largest global insurers, our team is available around the clock for any medical emergency assistance you may need worldwide.”
Those interested in learning more about AXA Gulf’s travel insurance can call 800 292 or visit our website.
VAT or Value Added Tax is a form of consumption tax that is imposed on a transnational level. The GCC has agreed to apply a uniform standard rate of 5%. This standard rate will apply to almost all domestic transactions. UAE and KSA will implement VAT on 1 January 2018, and the other GCC countries are expected to implement in the following 12 months.
In limited instances VAT can also apply at 0% (zero-rate), or transactions can be exempt from VAT, or out of scope.
How it works is that taxable businesses are generally able to recover the VAT they incur on their purchases and expenses.
However, as individuals, we are the final point of the supply chain and therefore, will bear the cost as we are not able to recover the VAT.