Travel Insurance - is it important?


 Travel Insurance - is it important?

In today's world of heightened security and rapid globalisation, no-one can be certain where the next disaster will strike.
Your travel plans could be delayed by a volcanic eruption, flood or social unrest. However, it is possible to minimise the risk of potential losses and enjoy your trip by taking out travel insurance.

We look at the advantages and disadvantages of this product as well as what you need to think about before buying travel insurance for your own peace of mind on holiday. We also explore some recent disasters that have caused a significant number of tourists to lose their possessions during their stay abroad and that would have been easier avoided by simple measures such as taking out travel insurance before booking flights [...].

What is travel insurance?
Travel insurance helps to make your trip more economical. It covers you against personal risks like theft, loss or damage of belongings. Normally, the travel insurance plan does not cover any losses that have occurred before buying the insurance policy. However, there are some plans for which you can purchase 'back-to-base' [travel] insurance to protect you from this kind of risk.
The best time to buy travel insurance is just as soon as your holiday booking is confirmed and while you are still in possession of all the documents that could be needed in case of an accident or theft such as passports, tickets and other travel documents. The most easily obtained and cheap travel insurance is the travel insurance policy which is usually bought by those people who have no previous experience with any kind of travel insurance. It is also recommended to consider taking out travel insurance as part of your trip planning, so that you can be sure that all the documentation needed for your trip are in order.
What are the advantages of buying travel insurance?
A benefit associated to a good quality travel insurance policy is the fact that it might save you money. When buying a tourist package, it might be more economical to buy all the services offered by one company rather than separately. Also, if there is a threat of certain loss from being stolen or lost by theft, it needs to be insured.
The travel insurance policy also enables you to claim your loss in case of a theft while you are abroad. A good travel insurance plan will also be able to help you repair your damaged luggage, pay for the return trip home or, in some cases, even compensate for the death or dismemberment of a loved one. Another advantage of taking out this product is that it does not need to be taken out annually as is the case with some types of health insurance.
Such cover plans can be obtained online at any time during the year and additional information can usually be found on websites such as - and
Why are there differences in price?
Many people that are travelling will choose to buy a basic travel insurance plan with a low monthly premium, offered by some of the market leaders, such as AIG and Liberty Life. This type of travel insurance plan is usually bought by those people who are not familiar with the travel industry but who want to make sure that everything is covered before leaving on their holiday. It also offers a good value for money option if you do not need any expensive extra benefits like additional baggage coverage or air ambulance cover.
Premiums for the more complex and more expensive plans can vary from one insurer to another, depending on the type of travel insurance policy being sold and also its level of complexity. However, you will only need to pay a small fee for each additional product that you might need in case of a disaster.
The insurer is responsible for your belongings and they should compensate you for the losses that you have incurred. Normally, the insurance company will give the replacement value of your belongings rather than their actual market value. This means that they would replace a 20-year-old television with an identical make and model as opposed to paying out for a 50" LCD TV today.
If you have made your plans already and booked your flight tickets then it can be difficult to find cheap travel insurance online at such short notice without having previously taken out travel insurance .
Even though, the insurer usually does not charge you any additional fees for booking your flight tickets and making your hotel reservations at the same time as purchasing the travel insurance , it is still worthwhile to take out this product.
The world is full of scams that try to take advantage of people who are either holidaying or travelling abroad. They often target vulnerable people, such as elderly people or those who have just had a negative experience somewhere in the past. You could easily find yourself in a pickle without having taken out any coverage about travel insurance .
Who should travel without travel insurance ?
It depends on what you want to use your holiday package for and how much money you have available. But there is always a risk that you might not be able to afford the cost of buying your flight tickets or paying for your hotel stay by yourself. You will not have to worry about these problems if you have already taken out a travel insurance policy .
Travel insurance can offer you peace of mind, so that you can enjoy the holiday and all the activities included in the package. Depending on which country or continent you are travelling to, it could also protect you in case of medical emergencies and transport issues.
It might be wise not to take out travel insurance if:
- You are going abroad for less than three weeks.
- You do not need extra baggage coverage, or any cover for extra costs associated with a potential delay in travel.
- You are not going to the destination you have booked your holiday package to.
Compare travel insurance plans
When comparing travel insurance plans, you should check both the price and the level of cover offered as this will make a difference to how much money remains saved after making all of your travel arrangements. There are also some other things that you need to look out for when comparing these kinds of products. Firstly, it is important to have a clear understanding of what is included in the policy. You will need to know if it is including liability cover for instance.
Another important thing to do is to check the legal documents required by the insurer before applying. You should check if you have to be a certain age or whether you must be resident in the country that offers the policy, in order to qualify for travel insurance .
How do I get free quotes?
You will find some free travel insurance quotes online but it depends on what kind of travel insurance package you are looking for. The only type of travel insurance plan that usually requires a small investment from your side is an annual policy, as opposed to a gap year in which case you will have already paid for your holiday with your parents' money.


This article is meant to provide you with useful information about travel insurance plans that will help you to decide which one you should buy.
If you have a lot of luggage and items of high value, then it might be wise to go for a more complicated type of package. Furthermore, a long trip means that you might not actually travel anywhere but spend most of your time in the airport or at the hotel in some cases.
Before taking out any insurance cover from an insurer, you should do your research and check what kind of cover they offer. You will need to make sure that the plan is suitable for your needs and will meet all your expectations, before making an application online or by phone.

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