The basics of Travel Insurance

Where are you going?

You'll need different levels and types of cover depending on where you're going. For example if you are travelling to the US where healthcare is expensive, we recommend you take a policy that has 'unlimited' medical cover.

How do you travel?

Are you a backpacker that wants to get to know the locals or are you looking for privacy in a first class resort? These factors can impact on the type of policy you choose. Some issues to consider are:

• Luggage and personal belongings: will you be taking lots of expensive items with you such as a laptop, or will you be travelling light?
• Activities: will you be skydiving or bungy-jumping, hiring a car, or backpacking and picking up work as you go? These activities may not be covered in policies so you need to check.
• Family needs and health: do you have special medical needs, are you travelling with children or do you have relatives that may become ill while you are away? If so, check exclusions and conditions carefully.
• Advance Bookings: are you booking fares, accommodation and tours in advance? If so cover for cancellation is important. Also check your cover for additional expenses and delays.

Shop around for a policy

Contact at least 3 insurers and read their policies to decide which one suits you best. You can also use our travel insurance calculator to help you to choose which policy is best for you.

What does the policy cover?

Travel insurance policies include varying degrees of cover for: medical and dental, personal liability, legal costs, rental car excess cover, cancellation, delay, resumption of journey, baggage and belongings.

Insolvency

Many travel insurers have included a clause in their policy excluding cover for insolvency of a travel service provider. This means that you won't be covered for insolvency of an airline, hotel, car rental company or other service provider.

There are usually also restrictions on the cover for terrorism, while some policies provide medical cover you're usually not covered for cancellation.

Special requirements

Travelers with pre-existing medical conditions, older travelers, single parents, pregnant women, adventure travelers and travelers planning on working during your holiday need to be even more careful when choosing a policy.