What travel insurance covers, and what it doesn't
Medical cover, cancellation and baggage explained, the exclusions that catch people out, and how to choose a policy before you book.
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Travel insurance protects you against the costs of things going wrong on a trip: getting ill abroad, cancelling for a covered reason, or losing your bags. The most important part is often the one people think about least, emergency medical cover, because a hospital stay abroad can cost far more than the trip itself.
What a typical policy covers
| Cover | What it pays for |
|---|---|
| Emergency medical | Treatment, hospital stays and medicines abroad |
| Medical evacuation and repatriation | Transport to a suitable hospital or home when medically necessary |
| Trip cancellation | Prepaid, non-refundable costs if you must cancel for a covered reason |
| Trip interruption and delay | Extra costs when your trip is cut short or delayed |
| Baggage and personal items | Lost, stolen or damaged luggage, up to set limits |
| Personal liability | Costs if you accidentally injure someone or damage property |
What is commonly excluded
Read the policy wording for these:
- Pre-existing medical conditions, unless you declare them and they are accepted
- Risky activities such as certain adventure sports, unless you add cover
- Travel to places your government advises against
- Incidents involving alcohol or drugs
- Changing your mind, or reasons not listed as covered for cancellation
- Unattended belongings and high-value items above single-item limits
- Known events, such as a storm that was already forecast when you bought the policy
How to choose a policy
- Check what you already have. Some credit cards, employers and health plans include travel cover. Read their limits carefully; they are often lower than a dedicated policy.
- Prioritise medical and evacuation limits. These are the costs that can be financially devastating.
- Match cancellation cover to your prepaid costs, such as flights, tours and non-refundable hotels.
- Declare every medical condition honestly. Undisclosed conditions are a common reason claims are refused.
- Add activity cover for skiing, diving or anything the policy lists as excluded.
- Consider an annual multi-trip policy if you travel several times a year.
- Check the excess, the amount you pay toward each claim.
When to buy
Buy when you book, not just before you leave. Cancellation cover usually starts when you buy the policy, so buying early protects you if something happens weeks before departure.
Making a claim
- Call the emergency assistance line before major medical treatment where possible. Many insurers require it.
- Keep every receipt, medical report and booking confirmation.
- Get a police report within the required time for theft.
- Get a written report from the airline for lost or delayed bags.
- Claim promptly; policies set deadlines.
Quick checklist before you travel
- Policy number and emergency phone number saved on your phone and on paper
- A copy of the policy wording
- Medical conditions declared and accepted
- Activities covered
- Copies of passport and bookings
Tip: Buy a card or policy you understand rather than the cheapest one you don’t. The time you need travel insurance is the worst time to discover what it excludes.
This guide is general information, not insurance advice. Policies, limits and exclusions vary by insurer and country; always read the policy wording.