Travel insurance

A decent travel insurance policy is a sensible thing to buy for any holiday or overseas trip. If you’re injured whilst away, travel insurance can cover your medical expenses and any repatriation if it’s a serious injury. If your trip needs to be cancelled for some unforeseen reason, such as the illness or death of a close family member, then travel insurance may cover any monetary loss. And if your baggage or belongings are damaged or lost, then travel insurance could compensate you up to a set limit.

Travel insurance doesn’t have to cost the earth: policies start from as low as £5.11† for a personal single trip cover, or £11.45† for annual cover.

How much your travel insurance policy costs depends on what sort of cover you opt for and how long the policy covers you for. Travel insurance quotes will also take into account if your policy is personal or if you are travelling with a partner or your family.

It’s advisable to purchase travel insurance the moment you book your trip, because without it you risk not being covered in the event of something disrupting your holiday. 

For example, if an illness or weather disruption affected your trip, you would not be able to claim for any damages or refunds if you haven’t already bought insurance.

Travel insurance covers you after the event, which means that you will normally need to pay for any costs upfront and then make a claim to the insurance company, much like any other type of insurance. You will need to keep any documentation for this reason, hospital bills for example, as otherwise your claim may be refuted.

You should always read the small print to know exactly what you are getting and what you are covered for. Some policies might not cover everything you need, so double check before you depart.

As with any insurance policy, an excess is the amount you will need to pay when making a claim, and it varies by insurer. This is the part of the claim you must pay to allow for the insurer to pay for the remainder. If you have a policy with a £150 excess, for example, then you claim for a baggage loss of £800, you would pay the £150 and the remaining £650 would be paid out by your insurer.

You still need travel insurance if you’re staying in the UK for your next holiday (staycation). Although the NHS will cover the cost of any medical treatment, travel insurance can pay to transfer you to a hospital closer to home. Travel insurance will also bring you or a family member home if you have missed your flights, trains, coach or your family have to drive home separately.

Travel insurance for the UK also covers you against the risk of holiday cancellation, baggage loss, losing spare cash and anything happening to your mobile phone and other gadgets while you’re away from home.

If you need to make a claim on your travel insurance policy, you should consider the following to make sure you have the best chance of your claim being accepted:

• Keep your documents to hand: keeping your policy documents, including your policy reference number, can be hugely helpful when you contact your insurer to make a claim. It will help them find your details easier, and it can help keep you fully informed about what you’ll be covered for.
• Contact the authorities: if you’re claiming as a result of a crime, you have to let the local police know and get an official police report. Some insurers may not pay out for a claim if you don’t alert the authorities within a certain time period, usually within 24 hours of the event.
• Don’t delay: you should also contact your insurer as soon as possible if you think you’ll have to claim, to ensure that they’ll cover you for what you need. This could be particularly important for medical treatment, as some insurers may require you to confirm what treatment you’re getting and whether it’s covered before paying out. It’s worth checking your policy documents to see if there’s an emergency 24 hour contact number you can call.
• Gather evidence: police reports, medical notes, or receipts to prove ownership can all improve the chances of your claim being accepted, and for some insurers they could even be necessary in order to validate your claim.

If you’re travelling to Europe a European Health Insurance Card (EHIC) can be useful, as it entitles you to medical treatment in certain countries for free or at a reduced cost – essentially the same that applies to citizens of that country. However it isn’t a replacement for travel insurance as it won’t cover you for private medical costs, nor will it be useful for rescue and repatriation – for example, if you got trapped on a mountain whilst skiing.

It also doesn’t offer additional protection for your belongings and possessions, accommodation, or flights, and if you aren’t travelling in a country included in the EHIC scheme then it won’t help much at all.

Additionally, the EHIC may not work at all after 31 October 2019 as a result of Brexit. This makes having a good travel policy even more important, as it will cover any medical costs outlined in your policy.