Travel Insurance

Travel Insurance (also known as Holiday Insurance) protects you against unexpected costs which arise whilst you are away from home, whether you are travelling on business or for a family holiday. Travel insurance is not compulsory, but it can give you peace of mind when you are away from home and faced with flight cancellation, lost luggage or injury. There are several different types of travel insurance, all of which come under one of three broad headings: Single Trip, Annual Multi-Trip and Specialised Insurance. Single trip insurance is purchased to cover one trip, whilst annual multi-trip covers you for any number of trips you make throughout the year. In addition, there are specialised travel insurances, which can offer specific protection for particular holidays, such as ski or golf breaks.
The cover provided by the different types of insurance varies between individual policies and insurance providers. Travel insurance may cover: emergency medical expenses; travel delay or holiday cancellation; personal liability for accidents; hijack and mugging; any legal expenses; passport and baggage loss; baggage delay; money loss or theft, and sports equipment. Take time to choose your policy carefully, so that you are covered as comprehensively as you wish to be whilst paying a competitive price.

Types of Travel Insurance You never know. There are several different types of travel insurance. The three main types are: Single trip, annual multi-trip and specialised. Single trip insurance is designed to cover you for one specific trip away, whilst annual multi-trip insurance insures you for several separate trips that you make within the year. Specialised insurance policies are designed to meet the needs of specific travellers on a specific type of holiday. The type of travel insurance that you require will mainly depend on the type of holiday you will be taking. For example, if you have booked a ski holiday, you may wish to purchase specialised Ski Travel Insurance. Other factors which affect your choice of insurance include: your age; whether you are travelling in a group or as a family, and the purpose of your trip, such as business or pleasure.	Travel Insurance Cover Consider additinal cover options.   Travel insurance provides you with cover for a wide range of possible incidents which occur when you are away from home. The level of cover that you receive varies based on the type of insurance you buy as well as the insurance company with which you choose to deal. Travel insurance may cover the following circumstances: emergency medical expenses; travel delay or holiday cancellation; personal liability for any accident; hijack and mugging; legal expenses; passport and baggage loss, or delay; money loss or theft, and damage to sports equipment. In addition, there are more comprehensive protection options available. These include: wedding cover; sports cover, such as for skiing or other winter sports; hospital stays; acts of terrorism; pet care, and stolen or lost luggage. You will often find that insurers offer specialised policies based around a single trip or multi-trip policy, but include these added extras as standard. For example, Ski Insurance is often a single trip policy with added cover for ski equipment, ski pass and cancellation costs, such as if the ski resort were closed due to avalanche.
What is right for me? Check exclusions as well. Choosing the right travel insurance can be difficult; there are many different travel insurance providers each offering a different range of insurance packages. Taking the time to research your options could save you money and give you the peace of mind that if anything unexpected happens while you are away, your insurance will cover the costs incurred. Depending on the number of trips you expect to make during the year, you first need to decide whether single trip or annual multi-trip insurance is best for you. Although multi-trip insurance is generally around three times the price of single trip insurance, it covers you for up to eighteen months and can take the hassle out of purchasing insurance for each separate trip you take. Conversely, if you know you will only make one trip this year, there is no sense in paying for an annual multi-trip policy that costs you three times as much. Travel insurance is often offered to you when you book a holiday with a travel agent. Although this can be the simplest option, you should take the time to compare their insurance policy with those of other providers. Travel agents often receive commission if they sell you their policy, so it is in their interest that you take out the insurance they offer. Bear in mind that they will often use 'hard-sell' techniques to persuade you to buy their policy, such as pressuring you into buying the policy immediately. You are under no obligation to buy their insurance and will often find that their deal is not the best for you. You may wish to compare a range of insurance providers, from specialist brokers to online insurers. Ensure you compare both the price and level of cover they are offering; it is not worth buying a cheap policy if you later find out that you are not covered as comprehensively as you initially wanted. Many people find that their home contents insurance already covers certain personal possessions when they are taken away from home: if this is the case, ask your travel insurance provider whether they can remove personal possessions cover and reduce your premium. Check the excess that you are required to pay if you make a claim; policies vary and it is not worth taking out a cheaper policy if you later find that you have to pay the first five hundred pounds of any claim. Check the exclusions that apply to your policy.	The Cost of Travel Insurance It should not be too expensive.   In most cases, travel insurance is usually relatively cheap compared to other types of insurance. In return for cover you must pay what is referred to as a 'premium': the amount you pay for the insurance. The cost of the premium varies based on the type of insurance and the insurance provider you choose. Depending on the type of trip you make and your personal circumstances, such as your medical history, your travel insurance may be a little more expensive; if you take a golf holiday and require extra cover for your golf equipment, your travel insurance premium will also tend to be higher. In some cases, you will wish to insure a number of people under one policy. In this case, the premium will increase, but often this is still a cheaper option than insuring each person separately. Consider when purchasing: Excess Pre-existing medical conditions Specialised insurance often covers you for a greater number of eventualities. This means that your premium will tend to be higher than that of a standard policy. However, not all specialised insurances will cost you more; some policies have a smaller amount of cover, which would reduce your premium accordingly. Many insurers will refuse to cover you if you are over sixty-five years of age. This is because you are considered to be more likely to make a claim, usually because your age is seen as increasing the risk that you will suffer from poor health and require expensive medical treatment when travelling. Nevertheless, many specialist brokers and insurers do offer travel insurance if you are over sixty-five.
Making a Travel Insurance Claim It will not happen to me. In many cases, making a claim against your travel insurance is relatively straightforward. You should contact your insurer by telephone as soon as you need to make a claim; a claims helpline number is given in your policy document, which is given to you when you take out the insurance. Bear in mind that many things covered by your travel insurance will require you to pay the initial costs and reclaim these from your insurance provider at a later date: it is essential that you keep receipts and any other documentation that would help your claim. If any personal belongings are stolen, ensure that you report the crime to the appropriate authorities as soon as possible. Any documents that the authorities give you can then be used to support an insurance claim. Special Conditions to Consider You should read the special conditions that relate to the claim you wish to make. Special conditions are things that your insurer expects from you, before they can accept your claim. For instance, if you wish to claim the costs of a hospital visit, where you had to stay overnight (or longer) as a result of illness or injury, you must inform your insurer as soon as you are aware that you will require hospitalisation. If you wish to make a claim for compensation as a result of a long delay to your flight, the airline must provide you with supporting documentation which details the number of hours that you were delayed. Your policy documentation will list exactly what your insurer expects of you: failing to comply could result in the delay of a pay-out or the rejection of your claim.	Exclusions & Restrictions to Travel Insurance Cover What should you cover?   No insurance policy can cover you for every eventuality. Anything that is not covered by your travel insurance is referred to as an 'exclusion'. Your policy booklet will indicate which exclusions apply to your insurance policy. Ensure that you read these documents carefully, so that you understand the limitations of your policy. Typical exclusions include: any damage, loss or injury as a result of large-scale exceptional circumstances, such as war, invasion, radiation and pressure waves caused by supersonic aircraft. Other exclusions include: certain dangerous sports; self-inflicted injury, illness or suicide; illegal actions you commit; travel to an area which you were advised against visiting by the World Health Organisation (WHO); and 'loss of enjoyment'. In addition, most travel insurances will exclude certain medical conditions. If you knew of a medical condition that could lead to a claim, if you were travelling against the advice of a doctor, or travelling for the purpose of receiving medical treatment abroad, you may not be covered. The exclusions that apply to a particular policy will vary depending on your insurance provider and the type of travel insurance that you purchased. For example, if you took out ski insurance with a specialist travel insurer, the list of exclusions is likely to be smaller than a standard travel insurance policy, because a larger number of possible incidents related to skiing will be covered. Ensure you always check your policy wording to ensure that you are aware of the limitations of your insurance.