Don't Scrimp on Travel Cover for Half Term Holidays
CHESTER, England, October 16, 2012 /PRNewswire/ --
- Opting for an annual travel insurance policy can be more cost effective than 'single trip' cover for regular travellers
- Average value of a suitcase's contents is almost £1,500 per person for one week away
- Just one in five has the correct level of travel insurance, says MoneySupermarket
With half term fast approaching, and many families planning a getaway, MoneySupermarket.com urges Brits to plan ahead and ensure they have adequate travel insurance in place, not only for themselves but also for their baggage.
Bob Atkinson, holiday insurance expert at MoneySupermarket, said: "There are hundreds of policy options available to travellers; however, the differences between cover levels provided can be vast and there is a danger of being underinsured if you choose the wrong one. You should always check that the policy you want offers adequate cover for instances such as cancellation, medical expenses and baggage. Excess levels are also important as sometimes the more basic the policy means more excess charges in the event of a claim, this in turn could make a claim less worthwhile."
The UK's number one comparison site also analysed price differences between single trip and annual multi-trip family insurance policies. The analysis found it can be more cost effective to opt for an annual premium if you and your family plan to travel abroad more than once a year, especially to long haul destinations. For example, a family can cover themselves for one week in Florida for £31.29, but worldwide annual multi-trip cover for the same family is available for under £50.This includes winter sports cover and meets the MoneySupermarket minimum recommended levels of cover. Single trip cover for Europe is slightly cheaper; cover for one week in Spain costs £10.29. However, if you have plans to travel to Europe more than a couple of times over a year then a multi-trip policy would be more cost effective. Annual European multi-trip insurance with Virgin Money costs just £26 more and also matches the recommended levels of cover.[1]
Bob Atkinson, continued: "A half term getaway can be the perfect tonic to combat the British Autumn, especially if this summer's Jubilee celebrations and Olympics kept travellers glued to their seats at home. There's no need to fork out huge sums for the right levels of insurance though; great holiday planning can surface some great savings. As our analysis shows, it pays to think carefully about levels of cover regardless of where you intend to travel. For just a few pounds more you can gain a more comprehensive policy that will adequately cover your whole family should any mishaps arise.
"Ensuring that you have a valid European Health Insurance Card (EHIC) is also essential when travelling within the EU. This will entitle you to state healthcare at a reduced cost, or in some instances for free. Each member of your family will need to own a card in order to be covered however this should be used alongside your insurance policy, not as a replacement."
When it comes to buying travel insurance to cover personal belongings, recent MoneySupermarket research showed the typical value of travelers luggage[2] is £1,440 per person[3] - or a staggering £32 billion[4] for the nation's holidaymakers travelling abroad. The research found people rarely travel with the correct level of insurance for their possessions. Among the holidaymakers with travel insurance who knew what they were covered for, only one in five (19 per cent) had the right level for their belongings; a third (30 per cent) were underinsured - leaving themselves at risk - and half (51 per cent) were over insured. This compares to 35 per cent of those surveyed who assumed that they would be over insured.
Bob Atkinson said: "It seems there is no such thing as travelling light; as a nation we are wheeling around a staggering £32 billion worth of possessions for just one week away! Travelers should take out cover as soon as they have booked a trip; it's not just possessions you need the right level of cover for, but cancellation and medical expenses too. Scour the small print of the insurance policy before you buy, and remember the cheapest policy might not the best value for you."
MoneySupermarket recommends at least the following level of cover:
- £2m for medical expenses
- £1m personal liability
- £3,000 cancellation - or enough to cover the total cost of your holiday
- £1,500 baggage
- £250 for cash
- Policy excesses under £100
- Cover for scheduled airline failure and end supplier failure as desirable
- Delay cover (e.g. £20/hour for first 12 hours).
Notes to editors:
[1] One week single trip to Florida for a family of four (20-28 October)
Medical
Expenses Cancellation Baggage
Provider Premium Cover Cover Cover
Cheaper Travel
Insurance GBP5,000,000 GBP500 GBP500
Single Trip (GBP250 (GBP200 (GBP200
Best Price Standard GBP23.20 Excess) Excess) Excess)
Debenhams
Essentials
Single Trip GBP10,000,000 GBP3,000 GBP1,500
Recommended inc Winter (GBP150 (GBP100 (GBP100
Cover Levels Sports GBP31.29 Excess) Excess) Excess)
Holiday Extras
- ms.com
Exclusive GBP5,000,000 GBP5,000 GBP2,000
Premier Single (GBP150 (GBP150 (GBP150
Trip GBP32.00 Excess) Excess) Excess)
Virgin Money -
ms.com
Exclusive
Essentials
Single Trip GBP10,000,000 GBP3,000 GBP1,500
inc Winter (GBP150 (GBP100 (GBP100
Sports GBP32.31 Excess) Excess) Excess)
Sourced by http://www.moneysupermarket.com 08.10.2012
One week single trip to Spain for a family of four (20-27 October)
Medical
Expenses Cancellation Baggage
Provider Premium Cover Cover Cover
Cheaper Travel
Insurance GBP5,000,000 GBP500 GBP500
Single Trip (GBP250 (GBP200 (GBP200
Best Price Standard GBP8.77 Excess) Excess) Excess)
Virgin Money -
ms.com
Exclusive
Essentials
Single Trip GBP10,000,000 GBP3,000 GBP1,500
Recommended inc Winter (GBP150 (GBP100 (GBP100
Cover Levels Sports GBP10.29 Excess) Excess) Excess)
Debenhams
Essentials
Single Trip GBP10,000,000 GBP3,000 GBP1,500
inc Winter (GBP150 (GBP100 (GBP100
Sports GBP10.95 Excess) Excess) Excess)
Holiday Extras
- ms.com GBP5,000,000 GBP3,000 GBP1,500
Exclusive (GBP150 (GBP150 (GBP150
Saver GBP11.00 Excess) Excess) Excess)
Sourced by http://www.moneysupermarket.com 08.10.2012
Worldwide annual multi trip for a family of four
Medical
Expenses Cancellation Baggage
Provider Premium Cover Cover Cover
Cheaper Travel
Insurance GBP5,000,000 GBP500 GBP500
Annual Multi-Trip (GBP250 (GBP200 (GBP200
Best Price Standard GBP38.72 Excess) Excess) Excess)
Virgin Money -
ms.com Exclusive
Recommended Essentials Annual GBP10,000,000 GBP3,000 GBP1,500
Cover Multi-trip inc (GBP150 (GBP100 (GBP100
Levels Winter Sports GBP48.38 Excess) Excess) Excess)
Debenhams
Essentials Annual GBP10,000,000 GBP3,000 GBP1,500
Multi-trip inc (GBP150 (GBP100 (GBP100
Winter Sports GBP54.16 Excess) Excess) Excess)
Cosmos Holidays
Premier Annual GBP10,000,000 GBP5,000 GBP2,000
Multi-trip inc (GBP50 (GBP50 (GBP50
Winter Sports GBP61.67 Excess) Excess) Excess)
Sourced by http://www.moneysupermarket.com 08.10.2012
[2] Opinium Research carried out an online poll of 2,010 UK adults from 24th - 27th July 2012. Results have been weighted to nationally representative criteria.
[3] The research asked respondents to think about when they pack for a holiday (a week away) and to estimate the value of items they pack in their suitcase and hand luggage:
Item Average value*
Clothing and accessories (including swimwear and hats) GBP230
Shoes GBP75
Sunglasses GBP47
Sports equipment (including tennis racket, golf clubs,
goggles / snorkels) GBP18
Mobile phone / blackberry GBP134
Laptop / tablet (e.g. iPad) / Kindle GBP132
Camera / video camera GBP147
iPod / MP3 player GBP45
Toiletries (shampoo / toothbrush / make up) GBP32
Sun care (sun cream / after sun) GBP17
Hair straighteners / hairdryer / other grooming
accessories (e.g. mirror) GBP19
Medication / painkillers GBP13
Suitcase GBP43
Other bags (e.g. rucksacks / handbags) GBP39
Cash / travellers cheques GBP371
Purse / wallet GBP32
Books (fiction / guidebook / phrasebook) GBP14
Other items GBP32
Total value of items taken GBP1,440
* Among all who had travelled abroad in previous 12 months
The following calculations are based on the 2010 ONS population projects for 2012 there are 49,969,000 UK adults aged 18 and over.
Based on research 45% have taken a holiday abroad within the past 12 months. 45% x 49,969,000 = 22,486,050 (22.5 million).
[4] Respondents who had taken a holiday abroad on average packed £1,440 in their suitcase and hand luggage. £1,440 x 22,486,050 = £32,379,840 (£32 billion)
MoneySupermarket.com compares (at 30th Aug 2012)
- 107 car insurance providers and 82 home insurance providers
- 12 broadband providers and 18 energy providers
- 32 unsecured loan and 6 secured loan providers
- 62 mortgage lenders and 28 credit card providers
- 66 savings providers and 37 current account providers.
- Over 1,200,000 mobile phone deals
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