Buying holiday insurance is a task many people complete hastily without looking beyond the premium. However, selecting a policy that neglects your personal situation can become an incredibly expensive mistake if problems arise while you are away.
With countless protection options available on the market, comparing every provider can often feel completely overwhelming. To help you make a better choice for your next getaway, an industry expert has shared the essential details to look for. Speaking to Camilla Foster, Alex Cross, from Tesco Insurance, outlined the key considerations to secure the perfect option. His guidance can protect you from unexpected financial issues down the line.
Choose the right coverage duration
The very first decision to make involves the exact duration of protection that you require. "Customers have the choice to insure a particular trip or alternatively get annual travel insurance which covers multiple trips in Europe or across the world, depending on what policy you purchase," says Cross. "I would definitely encourage people who are doing multiple trips a year to get an annual quote because sometimes it can be almost the same price as getting a single-trip one. So, make sure you consider all your options as you go through that quote process."
Disclose all medical conditions and medications
Forgetting to mention existing health concerns can completely invalidate your coverage. "Every insurer will ask you questions around your medical history and your current health, so it's really important that customers answer those honestly and completely," says Cross. "In the event of a claim, insurers will typically look at medical records and history to check there's no pre-existing conditions that would have affected the claim." It is also vital to share information regarding every single prescription you currently take. "There might be medication you've been taking for a long time that you might think is quite benign and not relevant to your insurance, but insurers will expect that you declare all the medication you've been taking," says Cross. If you feel confused about what to list, contacting your provider for advice is highly recommended. "There's often quite a lot that won't actually affect the premium as long as you declare it, so it's always worth having an honest conversation with the insurer," says Cross. "There's nothing worse than having a protracted claim or issues at the point of claim with things that haven't been disclosed."
Consider baggage and cancellation cover
"One important area that travel insurance covers is around your luggage and possessions, so lost and stolen luggage and belongings," says Cross. Despite this, different contracts provide vastly different amounts of baggage protection. "If you're only taking away your flip flops and some swim shorts, there's no point in paying for a policy that covers thousands of pounds' worth of baggage cover," says Cross. "However, if you are going away for a long trip and are planning to bring lots of expensive clothes with you, it might be worth considering."
"It's also important to think about the cost of the trip," says Cross. Protection plans also help if you must call off your break due to unforeseen circumstances. "Cancellation cover will normally have a cap to it – such as £5,000 or even £20,000 – so make sure that you've got enough cover to be able to return what you paid for the holiday, but equally don't pay too much for cover you don't need."
Read the fine print and exclusions
"Take some time to read through the policy documents and the summaries that the insurers provide because a really cheap level of cover might have some quite significant exclusions," advises Cross. "For example, cover for baggage might be zero. There might also be exclusions around the types of events that you're doing. Therefore, if you're doing anything slightly out of the ordinary, like off-piste skiing, paragliding or trekking in Colombia, it's worth looking at the documentation to make sure you are covered for that."
Shop around but beware of very low premiums
"I would always encourage customers to shop around because price is important. However, I think it's also important to be aware that a really low premium is often too good to be true," warns Cross. "It might provide you with a very basic level of cover for medical emergencies, but it will probably cover very little else."
Check reviews and independent ratings
"Look at reviews and feedback from previous customers," recommends Cross. Checking independent rating platforms can offer great clarity before making your final selection. "Things like Trustpilot scores can be really useful to look at because ultimately, with travel insurance, the critical point is getting the right support and getting paid out when you've got a claim. Being able to get some assurance that other people have been through a really good process has value in itself, and the cheapest will not always be the best for that."
