Cheapest Travel Insurance

Travellers on a budget are in the market for the cheapest travel insurance, but could a low up-front premium mean unexpected, blow-out costs if you have to make a claim?

Naturally everyone wants low cost travel insurance whether it’s for domestic or international travel, but if you make a claim only to discover there’s a hefty excess or if the emergency component leaves you stranded, low cost suddenly becomes not only cheap but very, very nasty.

When looking for the cheapest annual travel insurance or single trip cover keep these points in mind:

• Allow yourself plenty of time to check around and make comparisons. Sure you can hop online to purchase cheap travel insurance at the last minute – but you won’t know if it was a good or bad decision until crunch time and by then it’s too late. Find out which companies provide cheap travel insurance – Australia based is best – and how they meet your needs.
• Read the policy document before you buy. Approximately 15% of complaints handled by the Insurance Ombudsman relate to travel insurance. Two of the chief causes of dispute revolve around a/ traveller’s leaving their luggage unattended and unsecured resulting in theft and b/ traveller’s not advising the insurance company about pre-existing medical conditions. Both these qualifiers are in all travel insurance policies so read the wording carefully.
• Locate a company that offers flexibility in their policies such as varying rates for worldwide or more regional travel. Also a variety of options from backpacker budget to mid range to fully comprehensive, and allows for extras such as dependant children covered for free.
• Purchase from the travel insurer direct. It can mean cheaper premiums by around 50%, and buying insurance online can turn out cheaper still.

Compare points such as excess on claims; per item limit on expensive items; what’s in place to handle emergencies, theft, cancellation, trip resumption etcetera; what activities are not covered; and any circumstances under which a company won’t pay out so you can avoid breaking the golden rule.

If you’ve done your homework but feel you’ve got it wrong, it’s standard to provide a 14-day money back cooling off period, so long as you’ve made no claims and haven’t started your travel.

In the long run, the cheapest travel insurance is actually the one that provides the most thorough cover with no little surprises plus total reliability and professionalism in an emergency and prompt, friendly settlement of all legitimate claims. Price is only part of the equation.