Defaqto

Policy types

Annual multi-trip: If you go abroad more than twice a year, it is usually cost effective to buy annual cover. This will cover multiple trips of a maximum individual duration, of usually 31 days, to specified regions.

Some insurers allow any number of journeys in the course of a year, but others limit the number of trips you can take each year, or limit the total number of insurable days to, say, three trips a year of 45 days each, or 135 days in total.

Long stay: A single trip contract, usually covering travel to a named destination, for up to a year.

Backpacker insurance: Long-stay cover in multiple destinations for the 'young,' typically up to age 36.

Sports: Policies tailored typically for golfers and winter sports enthusiasts. Many single and annual policies include basic ski-ing and winter sports activities, but check the small print. If you intend to undertake anything like off-piste sking, snow boarding or any other dangerous sports, you must declare it.

Over 60s: Policies for the older traveller can be more expensive because of pre-existing medical conditions.

Adventure/hazardous/extreme pursuits: For instance, abseiling, ballooning, bungee jumping, hang gliding, tobogganing, mountain climbing, potholing and parachuting. Even mainstream sports like canoeing, athletics, basketball, scuba diving, judo and karate are generally included in this category.

Standard/premier/premier plus: Many insurers offer varying levels of cover to suit different client needs.

What am I covered for?

Medical expenses and repatriation expenses: Pays for 24 hour emergency assistance, including repatriation when necessary. Typically £1m-£10m.

Personal accident: Compensation for loss of limbs, sight, permanent disablement or death following an accident. Typically £15,000-£75,000.

Personal liability: Legal costs if you damage or injure a third party and/or their property. Typically £1m-£2m.

Legal expenses: Covers legal action if complaining about personal injury or about the holiday. Usually £50,000.

Cancellation and curtailment cover: Compensation for abandonment or curtailment of the holiday because of family illness or bereavement.

Delayed departure: Typically £20 payable after 12 hour delay at point of departure.

Missed departure: If you miss your flight because of delay in public transport, your car breaks down or you have an accident.

Personal possessions: Total cover usually £1,500, but typically only £200-£250 per item, but check your home insurance as this may provide cover for personal possessions outside the home, in which case ask for a reduction to have this excluded from your travel insurance.

Theft of money: Usually up to £500, with a limit on cash of up to £200-£250. Cash and passports must be secured whenever possible in a hotel safe deposit box, but you could claim if you are mugged or pick pocketed.

Loss of passport: Usually £250 to replace your passport if lost, stolen or destroyed.

Hijack: not always covered under standard policies, but may be if you have a premium policy. Typically £1,000.

Tips

• Renew your travel insurance at least a week before you go on holiday. Don’t leave it to the last minute, otherwise you might not have time to check that the policy schedule is correct before you leave.
• If you are renewing an annual policy, you still need to check the small print in case the policy terms have changed.
• Remember you need travel insurance even if you are just going on a short break, whether in the UK or abroad.
• If you are travelling in the EU, make sure you have a European Health Insurance Card which provides basic emergency medical cover in EU countries, as well as Switzerland. You can download the application form from www.dh.gov.uk/travellers
• . Don’t rely on the ‘free’ travel insurance which comes with some credit cards and premier bank accounts. These policies can be fairly basic and may not cover you for winter or extreme sports, so check the small print, and if necessary buy extra cover.