Travel insurance
on a budget

Decide what you need cover for.

Compared with the cost of a medical emergency, the cost of your stuff doesn’t really matter. Prioritise what’s important, such as the health and safety of you, your family and travelling companions.

It’s a good idea to work out if you need to take your new iPad or flashy engagement ring on holiday. If you do, you should make sure that the policy provides cover for them and if so, how much cover – and what types of scenarios they’re covered for. If you’re happy to leave them safely at home, then there’s no reason to pay the extra premium you get charged for a policy that covers personal items.

Travelling in the United States? It’s a litigious culture, demonstrated by the consistently high number of TV shows about the law – like the legendary LA Law, Ally McBeal, Boston Legal and The Good Wife, or the more current Bull, Suits and Judge Judy. So it makes sense to have a “reasonable level” of cover for personal liability too.

As you have possibly already discovered, all travel insurance companies offer different cover, so it can be awkward to compare them on price alone. It helps if you can figure out what you need cover for, and which of those things you can afford to compromise on. Once you’re clear on what your priorities are, you can narrow the options of travel insurance policies down to a more manageable level.

So, whether you’re staying in simple accommodation or with friends and family, and especially if you’re travelling overseas, you should get some travel insurance.