Students returning from Ukraine may find limited support from their overseas travel policies

(Photo: ktuhinv)

Over the last few days, the world has been a witness to the disturbing visuals of war-affected Ukrainian cities and long queues people attempting to flee. And amongst those are thousands of Indian students studying in the crisis-hit nation’s universities. Many are stranded at Ukraine’s borders with its neighbouring countries, waiting to be evacuated. Will their student insurance help in these troubled times?

Also read: Coronavirus Pandemic: Know what your health, and travel policies will cover  

Dealing with extraordinary times

Besides the immediate concerns about their safe return home, there is also a question mark over the future of their educational courses. Unlike in the case of COVID-19, when universities decided to conduct classes online, Indian students cannot rely on this option just yet as the war unfolds.

“A clear picture is unlikely to emerge before six months. The uncertainty could prompt some students to rethink their career goal timelines,” says Dhaval Mehta, Founder, TNI Career Counselling. Moreover, they may not be able to file claims under their insurance policies for any medical treatment, evacuation or study interruption either. “This is due to the clause in insurance policies that excludes wars, invasion, war-like situations and so on from coverage,” he adds.

For example, Oriental Insurance’s overseas student policy – designed specifically for students pursuing studies abroad - states that any loss, damage or liability that is directly or indirectly a consequence of war is excluded from coverage. The same is applicable to invasion, hostilities, rebellion, acts of foreign enemies and so on. The policy wordings are similar in case of other general insurance companies too.

So, your overseas travel or health policies can be of limited help, unless certain risks are specifically covered under your policy. For example, some policies could pay for your evacuation to a safe destination. “Illness and accidents resulting from war and invasions are not payable under the travel policy. However, our retail travel policy has a cover called political risk and catastrophe evacuation. If it is recommended that insured (student) should evacuate the country they are in, we pay for the tickets for return of the insured to the country of residence or the nearest place of safety under this cover. Evacuation is generally undertaken by government agencies,” says Sanjay Datta, Chief, Underwriting, Claims and Reinsurance, ICICI Lombard General Insurance.

If you have an overseas student policy and are stranded in Ukraine or neighbouring countries, check if your policy offers similar coverage.

Also read: Flying abroad for studies? Know all about overseas student policies  

Student travel insurance’s limited utility

When overseas-bound Indian students fly out of the country to pursue their studies, many universities – especially those in the US and Europe – require them to be covered under health/long-term travel insurance policies. This is primarily to take care of their medical expenses while they are on campuses, besides other relatively smaller expenses. Student travel policies also pay for the expenses if students face medical emergencies or have to go back home due to parents’ death.

However in times such as wars and military invasions, it is not possible for insurance to honour all their commitments.

Insurance companies say this approach stems not from their lack of intent to assist students, but their inability to do so in times like these. “In such situations, we have limited influence beyond a point. It’s not that we do not want to cover, but our services are directly affected by war. For example, it will be difficult to arrange for cashless payment in a hospital in Ukraine. There are issues with international payment networks as well,” explains Nikhil Apte, Chief Product Officer, Product Factory (health insurance), Royal Sundaram General Insurance.

This was not the case with COVID-19, when insurers could pick up the tab for medical evacuation and also study interruption. “Back then, we had cases where family members in India were hospitalised for a month due to COVID-10 and students had to rush back home to take care of their parents. Study interruption covers also cover semester fees foregone if students are unable to go back to complete that term,” says Apte. This is one of the key covers that makes overseas student travel policies valuable. However, in exceptional situations such as wars or invasions, the policies cannot be enforced.

“Typically, exclusions for any claim arising out of war or any act of war is clearly stated in the policy documents. Any Interruption in the student's study due to war-like situations is usually not covered under the travel insurance product. However, it’s always best to check with the insurance company to ensure you are aware of all the terms and conditions,” Nikhil Kamdar, Appointed Actuary, Digit Insurance.

Since war and war-like situations figure in travel insurance policies’ list of general exclusions, Indian students in Ukraine may not be able to the claim the reimbursement of medical expenses, for instance. But insurers can provide support in other ways. “We do provide guidance through our local partners on the ground. Since they have access to updated travel advisories and other information from all countries, they can provide the right guidance,” says Apte. Such companies can direct you to the most feasible way out of the crisis zone.  “Also, if you are coming to India via Poland and France, and happen to lose your passport or baggage in transit, such losses will be paid for under our student travel policies,” says Apte.

Despite limitations in war times, overseas student travel policies a must

Though travel insurance covers offer limited support in desperate situations such as the current Russian invasion of Ukraine, you still need to buy one when you decide to go abroad to study. They can come in handy under regular circumstances.

You can fall back upon the cover if you were to undergo medical treatment, lose your baggage, passport or miss connecting flights. During COVID-19, insurers also paid for accommodation expenses in case the need for quarantining at hotels or other facilities arose in destination countries.

Some universities insist that students buy locally-provided health covers and you could be asked choose amongst the insurers that the universities have tied up with. “Even if local covers are mandatory, by a supplementary policy from an Indian insurer before you fly out. The deductibles (part of the claim amount the insurer will not pay) tend to be higher under local insurers’ covers compared to Indian insurance policies. Also, they will not cover inconveniences such as missed flight or loss of checked-in baggage,” says Apte.