Latest Which? report offers advice on saving money on travel insurance
Get the cover you need without being out of pocket
With many travellers unwittingly paying for travel insurance products they don’t need, this advice from Which? will help you to avoid unnecessary extra costs
Recent research by consumer watchdog Which? has discovered that many people are paying out more than they need to on their travel insurance.
Of the people surveyed, one in three had bought an additional travel-based insurance policy in the last two years and, of these, a third may have already been covered by their existing insurance.
For travellers keen to save money, the report offers advice and guidance on avoiding costly or unnecessary additional cover or insurance products.
Don’t double up
Before purchasing extra cover, it’s important to check if it is already included in your general travel insurance policy.
Many insurers offer additional policies that cover you specifically for cancellation. However, most travel insurance policies, like our deluxe travel insurance, include cancellation cover as standard. With a few exceptions, both the general policy and cancellation policy will only cover you in event of illness or bereavement, so you are usually not getting anything extra for your money.
Airline failure insurance covers you in the event of your airline going bankrupt before you are due to fly. Like cancellation insurance, airline failure protection is already included in many standard travel insurance policies.
If yours isn’t one of them, you may still be covered if you bought your holiday as a package from a UK tour operator or travel agent, and flights over £100 that are purchased by credit card are protected under section 75 of the Consumer Credit Act.
Travelling as a group?
While group travel insurance may seem like an economical choice, the savings are not as significant as you might think. Checks carried out by Which? on 15 insurers found that, at most, group policies resulted in savings of just a few pence when compared to individual policies. Furthermore, if someone in your group has an annual travel insurance policy, they are already covered and so will, in effect, end up paying twice.
If you’re hiring a car, you may want to consider taking out an excess policy before you travel. When collecting a car at the airport, many hire companies will try to sell you their car hire excess policy. This is often an expensive option costing up to £13 a day. Purchasing a policy in advance from a standalone provider can save you a lot of money.
Is your cover sufficient?
As well as warning against unnecessary insurance products, the report also stresses the importance of ensuring that your travel insurance provides a sufficient level of cover (£2m cover in Europe and £5m worldwide). If it doesn’t, you could be left with expensive medical bills if you are unlucky enough to have a serious accident or illness whilst on holiday.
It’s so important to ensure you have adequate travel insurance when going on holiday and it is easy to see why people fall into the trap of buying products that they may not need. Some additional policies are worth buying – the important thing is that you check both the small print and any existing policies you may have before making a decision. That way you can make sure you’re covered for all eventualities, without being left out of pocket.
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