Pic from www.travelersjournal.co.uk
Looking to buy travel insurance but find it a drag? We asked Greg Lawson at Columbus Direct to give his top ten tips for purchasing your next policy
1. Buy early
Many customers don’t buy their single-trip travel insurance until the last minute, with over 50 per cent of policy purchases being made in the week before travelling. Most policies include holiday cancellation cover and, with only your deposit at risk eight weeks before you travel, escalating to 100 per cent of the holiday cost in the last few days before you travel, it makes sense to take travel insurance out sooner rather than later.
2. Annual multi-trip postponed renewal
Cancellation cover commences as soon as the policy is issued, whether that be single trip or annual multi-trip. If your holiday is booked but you will travel in three months’ time, you should always start the policy immediately to get cancellation cover. However, if you have no holiday plans booked, some companies will allow you to postpone the renewal date of your annual policy by up to three months.
3. Your pre-existing medical conditions
Time and again claims are denied because customers do not tell insurers about their pre-existing medical conditions. Even if you have a condition that is well controlled you should still make your insurer aware of this as the majority of policies will work on the basis that claims related to pre-existing medical conditions are not covered. The definition of a pre-existing condition will vary from policy to policy so you should always check the terms to see how this applies to you. Some providers will allow you to go through a screening process to assess whether you can cover any existing conditions and there may be an additional premium payable to do so.
4. Changes in health
If you develop a new medical condition, or a pre-existing condition changes, before travelling then it is likely that you will need to tell your insurers about the change to your health. If the new problem causes you to cancel then you would just submit a cancellation claim. However, if you still want to travel then you should inform the insurers about your change in health as this could affect the cover they provide.
5. Pre-existing medical conditions of others
If a non-travelling relative, or someone else that is not insured on the policy with you but could affect your trip, has a pre-existing medical condition, then cancellation or curtailment of your trip due to a directly-related illness may not be covered. Generally, insurers are unable to cover this even if customers were willing to pay an additional premium.
6. Sports and activities
Most policies include a list of sports and activities that are covered as standard and many others may be available on request. If you are planning to take part in any activity while you’re away then you should check the policy wording or contact your insurers to make sure cover is available. However, not everyone knows what they want to do before they travel so have your policy documents stored on your phone or easily to hand.
7. Balcony jumping
One activity that is definitely not covered is balcony jumping, often occurring at the end of a long night associated with excessive alcohol consumption. The number of incidents of jumping or falling from hotel balconies has increased in recent years and many insurers have added specific clauses to make this clear. All travel insurers will include a general exclusion about wilful exposure to risk but it’s primarily just common sense!
8. Alcohol and drugs
Most policies carry a general exclusion for claims due to being under the influence of alcohol or non-prescription drugs. The specific wording will change from policy to policy and there is not a standard approach to how the exclusion is applied. Our advice is not to just abstain since you are on holiday but to be sensible and stick to legal substances…and what is common sense. The local drink-driving limit, for example, is a good guide.
9. Personal baggage – single article/valuables limits
Travel insurance baggage cover is predominately in place for the loss of your suitcase and contents. Individually these items would generally be low value and not specifically insured elsewhere. However, now that customers are used to carrying more expensive items such as smartphones, tablets and laptops, they expect these to be covered by standard travel insurance but many cost in excess of £300. Realistically, people should be insuring these things all year round, not just when they take them on holiday. However, if they do need to cover them while away they should be looking to purchase a gadget top-up which is often sold alongside the basic travel insurance.
10. Benefits and excesses
Finally, when buying cover you should always check that the benefit levels are sufficient for you and this includes the excess level. By paying a bit extra you can buy cover with higher benefits (if you need them) and lower excesses. Customer choice is often there but make sure you check what cover and excesses apply, especially if buying on a price comparison site. Likewise, it is not worth buying a policy that only covers cancellation of £1,000 per person if the holiday is costing £1,500 each.
