Go the extra mile to get travel cover

BUYING travel insurance may not be the most exciting part of booking a holiday but not having any, or taking out the wrong cover, can cost you thousands of pounds. Here, as part of our regular Need to Know series, we asked Fiona Macrae of Travelinsurance explained.co.uk to tell us what you need to consider...

When should I buy travel insurance? You can buy a policy any time up until the day you jet off. However, you need to consider how much you have spent on the holiday and the fact you would lose that if you had to cancel your trip due to an accident or illness.

You are only covered from the actual day you take out insurance. Do I have to inform the insurance company if I have a medical condition and take prescribed medication? Yes, this is very important. When taking out travel insurance you will be asked to declare any existing medical conditions and in some cases the type of medication you are being prescribed by your doctor.

You must be totally honest about all medical conditions, even those you consider are under control, which could be a high blood pressure issue or high cholesterol.

You should also tell the insurance firm of any reoccurring medical condition that you have, which needs prescribed medication, other treatment or both generally within the past two years. If you fail to be fully upfront, you can face the risk of a medical claim being turned down right at the time when you are at your most vulnerable. Do I still need to buy travel insurance if I have an EHIC (European Health Insurance Card)? Though it may have the word ‘insurance’ in the title, EHIC should never be considered a replacement for travel insurance. You need both to be fully covered.

EHIC only entitles you to access medical care at the same level as local citizens in EU countries, which may not be fully free, as it is with our NHS.

In many countries, people have to pay for many of the costs, such as an ambulance, nursing care and medication.

The EHIC will not cover the cost of bringing you back home in a medical emergency. Without insurance there is no financial help with this and being repatriated from Europe could cost you an eye-watering £28,000. Many policies have excess, exclusions and levels of cover – what are they and how do they work? The excess is your contribution to any claim you make. It usually applies to each person on the policy, for each claim made.

So a family of four making a claim for a cancelled trip would equal four excess amounts deducted from the total paid by the insurance company.

A simple rule of thumb is the cheaper the policy, the higher the excess you have to cough up.

Exclusions are things not covered by your policy, but you also need to check the limitations in cover too. Most travel insurance policies cover you for cancellation but many only cover for cancellation due to specific causes such as death, injury or illness of you or a travelling companion.

There are a few policies that offer more extensive cover such as ‘cancellation due to any cause beyond your reasonable control’. It’s important to check these carefully so you know exactly what protection your policy offers. That way, you won’t get any nasty surprises should you claim.

Levels of cover are the maximum amounts you will be covered for different types of claims such as loss of baggage and cancellation.

They vary from one policy to another, so double check the levels are adequate for your needs. Also check the single item limits. For example, you may have £2,000 baggage cover but the single article limit for jewellery may only be £150. How do I know if an insurance policy is right for me? Travel Insurance is a very personal type of cover – there is no ‘one size fits all’. Think carefully about the cover you want and need. What’s important to you?

It may be you are taking part in adventure activities, want to be protected for having to cancel your trip at the last minute due to an unforeseen reason, or you need higher cover for your luggage. You must make sure your policy fits the bill.

Always read policy documents. They can sometimes be the size of a small paperback but it’s the only way to ensure you’re buying something that’s suitable.

Being brought back from Europe in an emergency could cost an eye-watering £28,000