Youth Exchange Travel Insurance RI Board Decision & Summary Working Group Chair PDG Peter Kaye D9550 Australia Bangkok May 2012 _____________________
RI Board Decision Meeting January 2012C-9.Travel Insurance for Rotary Youth Exchange StudentsDECISION: The Board agrees to establish mandatory minimum standard travel insurance limits as shown in Exhibit C-9-b; notes that travel insurance for some students on exchange during 2011-12 and 2012-13 may already be arranged, and that the minimum limits may not be fully implemented in all participating districts until the 2013-14 Rotary Year
RI YE Committee mandate to specifically address: Lack of door to door coverage Outcome: “Provide coverage on a 24 hr basis from the time the student leaves their home until they return home inclusive of any personal travel before and/or after the agreed exchange period” Inconsistent coverage due to no recommended minimums Outcome: Mandatory minimums established. RCOP amended accordingly Issues relating to coordination of the most suitable coverage Outcome: Standard minimum benefits agreed to by all parties Dual insurance (Students forced to pay for two policies) Outcome: Dual insurance to be avoided unless a statutory/legal requirement or agreed to by all parties.
Summary of Major Benefits Code of Policies 41.070.10 Effective January 2102 Overseas Medical Benefits $1,000,000 Accidental Death $100,000 Capital Benefits / Disability $100,000 Emergency Evacuation $50,000 Repatriation upon death $50,000 Political crisis or natural disaster $50,000 Legal Liability $500,000
When do these Benefits apply? Immediately. (there is no “period of grace”)ExceptionsArrangements that had been completed prior to January 2012. Full compliance to be implemented for 2013-2014 exchanges.
Dealing with health service providersIn some instances, the refusal of some hospitals and doctors to accept “foreign” insurance policies remains a problem.Now that we have a global insurance standard, it will be possible in some circumstances for students to insure in the host country with minimal financial cost.Districts should contact their insurance provider in relation to a DIC (Difference in Conditions) policy, which acknowledges the medical coverage of the host country.
The principle of a DIC PolicyA Difference in Conditions policy acknowledges the existence of another policy that covers the same risk. The student’s own policy is then only required to respond to claims not covered by the host country insurance.As the sponsor district policy is not required to meet medical claims overseas, that premium component is reduced.As the host country insurance is not required for any claim other than medical, that insurance cost is also reduced.Outcome: 1. Insurance costs to parents are reduced. 2. Enables the option for medical claims to be processed in the host country.
AcknowledgementsThis is the culmination of 4 year’s work with grateful thanks for the assistance from the following “true believers”. Chairs Tony Black, David Anderson & Neil McDonald RI staff, particularly Adam Doty and Kate Hoeppel Members of Insurance Working Group #1 Members of Insurance Working Group #2 Rotary Youth Exchange Australia Mission accomplished