One in four go on holiday without travel insurance

A quarter of holidaymakers travel without insurance. This puts them at risk of big bills for medical emergencies and lost property, according to a new report by Norwich Union. This is despite people now taking more holidays than ever, thanks to low-cost airlines, foreign home ownership and the popularity of short breaks.

 

Half of those who have travelled uninsured say they chanced it because they were ‘only going on a short break’ and a further 14% simply forgot to buy a policy. And men are much more likely (31%) than women (20%) to travel uninsured.

 

Norwich Union’s ‘Travel Uncovered Report’ reveals that the insurer paid over £43.5 million on travel insurance claims last year. The report highlights exactly what holidaymakers claim for, what travel insurance covers them for and why it is needed.

 

It also identifies a lack of knowledge among holidaymakers about why they need cover. Nearly half incorrectly believe they are most likely to claim for lost, stolen or damaged baggage.

 

The level of cover the European Health Insurance Card (EHIC) gives is also a source of great confusion. Over a third (36%) of holidaymakers either didn’t know whether they needed travel insurance if they had an EHIC, or wrongly believed they didn’t need insurance at all if they had the card.

 

Medical emergencies are the biggest single cause of travel claims – over £23 million was paid out by Norwich Union for medical emergencies last year, with the average claim totalling over £1,200. Having medical problems can be very unsettling in a foreign country and it is not just the money that travel insurance takes care of. Extended accommodation, repatriation and advice are all important reasons for not chancing your luck on holiday, and there are costs that will not be covered by the EHIC.

 

The top three reasons for claiming on travel insurance are:

1.      Medical emergency

2.      Cancellation

3.      Loss, theft or damage to baggage

 

Luis Berraondo, Travel Underwriter at Norwich Union says: “Holidays are a time for fun and relaxation but something simple like a child falling over or a tummy bug could mean you end up footing an expensive medical bill if you haven’t taken out proper travel insurance.”