Choosing the right travel insurance: cover and what to look for

Travel insurance is one of those things you don't think about until you need it. A stolen phone, a broken ankle or a cancelled flight can make a trip a lot more expensive. With the right cover you travel with peace of mind. Here's how to make a good choice.

Choosing the right travel insurance: which cover do you need?

Roughly, there are two kinds. Travel insurance covers things during your trip, such as medical costs, luggage and liability. Cancellation insurance covers the costs if your trip doesn't go ahead or is cut short. They complement each other, but they're separate products.

First work out what you really need. Travelling within Europe, the emphasis is often on luggage and medical assistance. Going further afield, good medical cover and repatriation, meaning transport back home, weigh more heavily.

• Medical costs abroad and transport back home.
• Luggage in case of loss, theft or damage.
• Liability if you accidentally cause damage.
• Extra cover for risky activities like winter sports or diving.

What to look for

The devil is in the details. Two policies can cost the same on paper but differ considerably in what they pay out. So read the terms before you take one out, however dull that is.

• Watch the excess, the amount you pay yourself per claim.
• Check the maximum payouts per item.
• See whether expensive items like your laptop or camera must be declared separately.
• Check whether your current health insurance already covers anything abroad.

Single-trip or annual?

If you travel once a year, a single-trip policy per trip is usually the cheapest. If you make several trips a year, an annual policy can be cheaper and easier. Just do the maths based on your own travel habits.

Think about cancellation

People often forget cancellation insurance, while it prevents a lot of misery. If you fall ill just before departure or something goes wrong at home, without insurance you won't get your trip cost back. Preferably take it out right when you book, because many policies only cover reasons that arise after the purchase.

Do check carefully which situations are covered. Not every reason counts, and the terms differ per insurer.

Your policy numbers, cover and the emergency contact details you keep neatly in one place with a travel planner like Zuvy, so you have them to hand exactly when you need them.