Eight holiday checks to make NOW as travel insurance complaints soar

TOURISTS have been told to make eight urgent holiday checks after travel insurance complaints reached their highest levels since the pandemic.

Complaints jumped by nearly a fifth (19%) annually in 2023/24 reaching 4,466, according to the Financial Ombudsman Service (FOS).

The only time more complaints have been made was in 2020/21 – when gripes surged due to disruption caused by the coronavirus pandemic.

The FOS said the rise in complaints was driven by insurers refusing travellers claims.

Complaints included insurers rejecting claims due after arguing medical conditions had not being properly disclosed.

People were also unhappy with the levels of emergency assistance given after falling ill abroad.

Other complaints included delayed or missed flights, as well as lost and stolen luggage.

Abby Thomas, chief executive and chief ombudsman at FOS, said: “With the holidays upon us, and millions of families heading overseas on their summer breaks, it’s crucial that people taking out travel insurance know what they are signing up to.

“It’s concerning to see so many people dissatisfied with their insurance provider. That’s why it’s so important firms take the time to explain terms, treat people fairly, and ensure everyone understands their policy.

“If people aren’t happy with how they have been treated they should contact our free, independent service and we’ll investigate.”

The FOS said holidaymakers should make the following checks before going on holiday this summer:

1. Read the small print

Checking the policy terms and conditions carefully is important, including what medical history you need to tell your insurer about and what activities are covered under the policy.

2. Understand what is not covered

Most travel insurance policies specify the events which are insured under the policy and the general exclusions which apply to the policy.

Even if there is no specific exclusion it does not automatically mean you are covered, so check with your insurer.

3. Understand your medical cover

Travel insurance is not the same as private medical insurance.

Most policies require you to seek treatment in a public hospital.

The insurer may not pay for private treatment unless it is required, for example if there are no suitable public hospitals locally.

4. Medical condition disclosure

You may need to tell your travel insurer about medical conditions, even if you have fully recovered.

Check what your insurer needs to know about pre-existing medical conditions, otherwise, you may not be covered.

5. Return flights in an emergency

Your travel insurer may not agree to fly you back to the UK if you become unwell abroad.

The insurer will determine whether it is a medical necessity to fly you home.

The provider may ask you to get treatment abroad and wait until you are well enough to return.

6. Missed flights

Travel insurance may not cover missed flights caused by security delays, airport evacuations and/or problems with visas and passports.

Policies may only cover flights missed because of a specific list of insured events, such as failure of or delays to public transport, accident or breakdown of the vehicle the policy holder is travelling in, accident or breakdown of another vehicle on the motorway, strike, industrial action or adverse weather conditions.

7. Cancelling plans

If your circumstances change and you can no longer go on holiday, you may not necessarily be covered.

If you change your mind about travelling, your insurance may not cover you.

Cover will generally only be provided if a cancellation is caused by a specific insured event, and the insurer is generally entitled to require reasonable supporting evidence.

8. Lost luggage

Travel insurers will generally require a policyholder to obtain a property irregularity report from their airline while still at the airport and provide proof from their airline that the luggage cannot be located before considering a claim.

What is travel insurance?

Travel insurance is there to help you when something goes wrong with your holiday.

It can help cover your bills if your flights are cancelled, your luggage is lost, or you need medical help when travelling abroad.

The two main types of travel insurance are single and multi-trip cover.

There is also backpacking travel insurance which typically covers you for extended period to multiple destinations.

Which is best, single trip or annual travel insurance?

When you buy insurance, you will be asked if you want cover for a single trip or multi-trip.

It can get pricey if you keep buying insurance for several trips during one year.

For example, if you have two or three holidays in a year then it can often work out cheaper to take out annual multi-trip cover instead of a single policy for each time you travel.

Check how long you can be away for on each trip with an annual policy.

These policies will usually cover you for an unlimited number of trips but some insurers cap how long you can be away for, usually around 31 days.

Also check the policy terms of any annual travel insurance to ensure it covers the different places you are travelling to, and activities you may be doing.

What exactly does travel insurance cover me for?

Travel insurance can cover you for a range of situations, for example if your luggage has been stolen, you need to cancel your trip, or you need medical treatment while abroad.

Some policies may even cover you if your hotel has to close and you had to move accommodation, or if your flight was cancelled and you are unable to get your money back from the airline.

It may also provide protection if you have to cancel because of an illness, redundancy or a close family bereavement.

All policies have different inclusions and exclusions, so check the policy details thoroughly so you know what you are covered for before taking out a product.

What doesn’t travel insurance cover?

Check for exclusions in your policy but travel insurance essentially protects you against unforeseen circumstances.

If you could have prevented a claim or knew about a situation at the time of booking, then you may not be covered.

Additionally, your cover may be invalidated if your claim is as a result of getting drunk or due to medical conditions that you hadn’t disclosed.

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