Travel insurance covers the financial risks of things going wrong on holiday or business trips. Medical emergencies, trip cancellation, lost baggage, flight delays — these aren't hypothetical. They happen to thousands of UK travellers every year, and the costs without insurance can be life-changing.
What travel insurance covers
Medical expenses and repatriation
This is the most important element by far. If you're hospitalised abroad, your insurer covers the medical costs, which can be enormous — particularly in the US, where a night in hospital can cost £5,000-10,000. Repatriation (getting you home, potentially by air ambulance) can cost £50,000-100,000 or more.
Look for at least £2 million of medical cover for Europe and £5-10 million for the US and other countries with expensive healthcare systems. Most good policies offer this as standard.
Trip cancellation and curtailment
Reimburses non-recoverable costs if you have to cancel or cut short your trip for a covered reason — illness, injury, bereavement, jury service, or redundancy. Check what counts as a covered reason — not all policies are the same. Cancellation due to simply changing your mind or fears about a destination typically isn't covered.
Baggage and personal belongings
Covers loss, theft, or damage to your luggage and personal items. Limits per item are usually quite low (£200-300 for a single item), so expensive electronics or jewellery may need separate cover. Keep receipts and report theft to local police — your insurer will require a crime report.
Travel delay and missed departure
Pays a fixed amount for each period of delay (typically £20-50 per 12 hours) and covers additional expenses if you miss your departure due to circumstances beyond your control.
Personal liability
Covers you if you accidentally injure someone or damage their property while abroad. Less dramatic than medical cover but potentially just as costly without insurance.
The GHIC — and its limits
The UK Global Health Insurance Card (GHIC) replaced the old EHIC after Brexit. It gives you access to state-provided healthcare in EU countries on the same terms as residents — meaning treatment may be free or you might need to pay a contribution, depending on the country's system.
The GHIC is useful but has serious limitations. It doesn't cover repatriation. It doesn't cover private treatment. It doesn't work outside the EU. It won't pay for mountain rescue or search operations. And it won't cover cancellation, baggage, or anything else. Treat the GHIC as a supplement to travel insurance, not a replacement.
Pre-existing medical conditions
You must declare all pre-existing conditions when buying travel insurance. If you don't, and you need to claim for something related to an undeclared condition, your entire claim could be rejected — potentially leaving you with a £50,000 medical bill.
Many standard policies cover certain conditions automatically (well-controlled high blood pressure, for instance). Others require a medical screening — an online questionnaire that assesses your conditions and either includes them at no extra cost, charges an additional premium, or excludes them.
Specialist insurers exist for people with serious pre-existing conditions. Companies like AllClear, Staysure, and InsuranceWith focus on covering travellers that mainstream insurers might decline.
Single trip vs annual multi-trip
Single trip policies cover one holiday. Annual multi-trip policies cover unlimited trips within a year, usually with a maximum trip duration of 31 days (extendable for an additional premium). If you travel more than twice a year, an annual policy is almost always better value.
Annual policies are also convenient — you're always covered, even for spontaneous weekend breaks. Just check the maximum trip duration matches your travel plans.
Activities and sports
Standard policies typically exclude hazardous activities — skiing, scuba diving, bungee jumping, and dozens of others. If you're planning any activity beyond walking and sightseeing, check whether it's covered. Many insurers offer activity extensions for an additional premium. Winter sports cover is a common add-on during ski season.
How to choose a policy
Focus on medical cover first — that's where the catastrophic costs lie. Then check cancellation limits match your trip cost. Read the excess carefully (some policies have separate excesses for each section). And always declare pre-existing conditions honestly. A cheap policy that won't pay out when you need it is worthless.
Comparison sites are the quickest way to compare policies, but read the policy wording for the shortlisted options rather than relying solely on the comparison site's summary. The details matter.