Thought about Travel Insurance yet?
For our round the world trip, we’ve done the research on the best coverage we can get for the best price.
If you are going to be travelling for more than three months, you will need to purchase a specialist backpackers travel insurance policy. Regular travel insurance will usually have a maximum number of days that you can be of the country (typically 90 days).
One important thing to remember, if the Foreign and Commonwealth office has issued a travel warning for a particular country, this will usually invalidate your policy. So be sure to check here: www.fco.gov.uk before buying anything.
Be wary of reviews about insurance cover. There are many reviews saying “I went with xxx Insurance Company. They gave me the cheapest quote and a free t-shirt”. It’s probably not possible to provide an objective review of the service unless you have had to claim.
The most important thing to remember is to read the terms and conditions of the policy. You are entering into a legal agreement with the insurer, so it is important to know what is and what is not covered. Most disputes arise because of a difference between what the policyholder expects to be covered and what is actually covered.
Policies can vary widely in their coverage and cost. Descriptions of some of the main areas of cover can be found below.
Possessions Cover
This will provide cover for personal items that are lost, damaged or stolen. Some policies may cover theft only.
For theft claims, the theft usually needs to be reported to the local police shortly after the incident. There is usually a limit on the total amount of a claim, a limit per item and a limit for specified items. For example, if the total claim limit is £1,000, but the limit per item is £200, you would not be able to claim for the theft of a £500 camera. Some policies will allow specific high values to be covered at additional cost. A limit on cash is also common. There is usually an option to increase the limit in return for an increased premium.
Medical Cover
This is often taken for granted in countries like the UK, but medical care is not free in most other countries.
If you are travelling in Europe only, most emergency medical costs will be covered under the European Health Insurance scheme, provided you have a European Health Insurance Card. These are available free for all UK residents from here: www.applyehic.org. For residents of other EU countries, please check your local government websites.
When travelling, the government recommendation for medical cover is to get cover up to £2million
Note: Certain activities may be excluded e.g. skiing, bungee jumping, jet skiing etc. Hiking above a certain altitude is also excluded from some policies. Most insurers will be able to add these to the policy for a small increase in premium.
Alcohol related injuries are often excluded.
Personal Liability
This will cover you for costs (e.g. legal fees) if you injure somebody or damage somebody else’s property.
Do not overlook this section of the policy. If you are accused of damaging property, then even if the allegation turns out to be false, then you may still incur legal fees.
Cancellation Cover
This will provide cover in case you need to cancel all or part of your trip. There will usually be restrictions on the reason for cancellation (just changing your mind will probably not be good enough)
Excess
Most policies will have an excess. This is the part of the claim which you must cover yourself. There is usually an option to increase the excess in return for a reduction in premium.
Note: Policies are split by region, and are cheaper excluding USA and Canada as medical costs are greater there.
4 levels of cover – Bronze, Silver, Gold and Black
Maximum trip duration – 18 months
Medical Cover – £5m, £10m, £15m, Unlimited
Possessions – £1k, £1.5k, £2k, £2.5k
Cash – £150, £200, £300, £400
Personal Liability – £2m, £2m, £2m, £3m
Columbus Direct
4 levels of cover – Globetrotter, Bronze, Silver, Gold
Maximum trip duration – 12 months
Medical Cover – £1m, £5m, £10m, £15m
Possessions – £750, £1k, £1.5k, £2.5k
Cash – £200, £0, £300, £500
Personal Liability – £1m, £1m, £2m, £3m
Excess – £60
World Nomads
One level of cover
Maximum trip duration – 18 months
Medical Cover – £3m
Possessions – £1250
Cash – Not Specified
Personal Liability – £2m
Worldwide Insure
3 levels of cover – Budget, Economy, Super
Maximum trip duration – 18 months
Medical Cover – £5m £5m £10m
Possessions – £0, £1k, £2k
Cash – £0, £200, £400
Personal Liability – £1m, £2m, £2m
Excess – £100
Down Under
3 levels of cover – Essentials, Backpacker, Adventurer
Maximum trip duration – 18 months
Medical Cover – £2m, £3m, £5m
Possessions – £0, £1k, £1250
Cash – £0, £100, £250
Personal Liability – £2m, £2m, £2m
Direct Travel
1 level of cover
Maximum trip duration – 12 months
Medical Cover – £5m
Possessions – £0
Cash – £0
Personal Liability – £2m
Essential Travel
3 levels of cover – Standard, Essential, Essential Plus
Maximum trip duration – 18 months
Medical Cover – £10m, £10m, £10m
Possessions – £0, £0, £1.5k
Cash – £0, £0, £300
Personal Liability – £2m, £2m, £2m