Cheap Travel Insurance
Travelling can be expensive, and the thought of paying a hefty travel insurance fee on top of all your other travel expenses can be scary - especially when you’re trying to stick to a budget. It’s easy to be swayed by adverts for cheap travel insurance, but before you sign up for these, make sure you are aware of the benefits. Cheap travel insurance does not always offer sufficient cover for your needs.
Likewise, cheap insurance doesn’t necessarily mean no benefits. If you are on a budget, there are ways to save on travel insurance, so that you can stick to that budget, and still receive enough cover for your trip.
Ways to save on travel insurance:
Compare travel insurance: Before you grab the first travel insurance that flashes across your screen at the right price, it is advisable to compare, compare, compare. Chances are that you will find an insurer that can offer you what you need, within your budget. But you should compare pricing structures and benefits between a few different insurers before settling with one.
Choose only what you need: It’s not always necessary to buy a comprehensive travel insurance policy. You should decide what is necessary for your trip and what you plan to take with you, and then look at what cover you need. It might not be necessary to have electronic equipment cover if you’re travelling light, or car rental cover if you don’t plan on renting a vehicle. Take out the unnecessary insurance options and save.
Travel insurance for a group: Travelling with a friend or group of friends? You can save on travel insurance by buying joint cover as a group. If you are travelling with 10 or more people, travel insurance can work out even cheaper - speak to your provider about this option.
Leave out the extra activities: Certain activities can be seen as high-risk, or as added extras, such as winter sports like skiing or snowboarding, hiking or bungee jumping, or going on a cruise. If you are on a budget and cannot afford the travel insurance to cover these activities, you might need to forfeit them on your trip and rather stick to simpler and safer activities.
Multi-trip policy: If you are a frequent flyer, buying travel insurance for each trip can be expensive, with costs adding up quickly. Most insurers will offer a multi-trip insurance policy, where you can buy travel insurance annually. This is a cheaper option and an easy way to save on insurance costs.
What is excluded from cheap travel insurance?
Trip interruptions and cancellations: If your trip is interrupted or cancelled due to delays or circumstances outside of your control, a budget insurance policy might not cover these costs.
Missed flights: If you miss your flight for whatever reason, your insurance might not cover you for the cost of booking a new flight.
Pre-existing medical conditions: Any pre-existing medical conditions might not be covered by a budget insurance, or you will receive limited cover for these conditions.
Excess: A budget travel insurance might require you to pay a high excess for claims, due to lower insurance costs. You might also be required to pay for procedures upfront and claim back later.
Terrorism or natural disasters: A budget insurance policy might not cover you for any incidents related to terrorism or natural disasters.
Electronic equipment: Electronic equipment such as cameras, mobile phones, tablets, and laptops might not be covered by a budget insurance policy.
Watches and jewellery: Expensive jewellery and watches could be excluded from your cover.
Theft of cash: Any loss or theft of cash will not be replaced on a budget insurance policy.
Whichever travel insurance policy you choose, it is advisable to always read the Product Disclosure Statement (PDS) carefully, so that you are aware of what you are covered for. Don’t be fooled into thinking that a higher rate immediately means higher cover. Be wise when choosing travel insurance, and find the best policy for your budget.
We also offer tips on buying travel insurance for families