Travel Insurance
It certainly pays to shop around for the cheapest
travel insurance deals and
the internet makes this easy. Use the quote finder above to a get a list
of insurers and comparison websites where you can get travel insurance
quotes from a number of insurers online.
If you're planning a holiday you should not fall into
the trap of buying travel insurance from a travel agent as there is good chance you'll pay over the odds this way - travel agents
tend to be more expensive than independent insurance companies.
Furthermore the sale of insurance by travel agents is not regulated.
Almost all companies selling general insurance have to be authorised by the Financial Services Authority,
but travel agents have negotiated an opt out from these regulations.
As a consequence, these companies' policies are more likely to include unfair terms and conditions than the cover
available from independent insurers. If you buy your travel insurance
from a travel agent when you booked your holiday, you won't be able to ask
industry watchdogs to intervene if get into a dispute over a claim.
However, when shopping around for cheap travel insurance you should check the rules on excesses carefully. If you make a claim on a travel policy, you will always have to pay an excess - this means meeting the first part of any claim,
for instance the first £50, yourself. In some cases, however, insurers apply an excess to each section of your claim, rather than on the whole total.
For example if your handbag is stolen, some cheap travel insurance policies will charge you
the excess on not only the bag itself, but the money in it, your passport and on valuables as well. As a result, you end up £200 out of pocket.
Some of the direct insurers have total exclusions of claims related to
terrorist incidents. If you're unfortunate enough to be caught up in an incident
you would end up paying your own medical expenses and meeting the cost of getting home.
It's also important to check what the rules are on pre-existing medical conditions. Travel insurers may
not pay up if you failed to warn them you suffer from a particular illness, even if your claim doesn't relate to this condition.
You should also check the terms and conditions regarding cancellation costs. If you have to cancel
your holiday for reasons out of your control such as an illness or a family
bereavement, you should be able to claim. However some insurers have wider exclusions than others.
Annual Cover
Most people will be better off taking out an annual travel insurance policy rather than buying
insurance each time they travel. An Annual policy will cover you for all the trips you make over the course of a calendar year,
this includes long weekends and travels within the UK of more than three days.
The cheapest annual policies cost just a few pounds more than single
trip travel insurance. Anyone travelling more than once in a year is likely to be better off.
Even if you holiday just once a year you could still benefit from annual
insurance. For instance if you're planning to go on holiday during the last two weeks of
July this year, you should arrange your annual policy to start then. Next year,
if you go on holiday during the first two weeks of July your policy will still be
valid.
|
