Planning an Olympic escape this summer? – remember your travel insurance

If you are one of the 12% of Brits looking to go holiday during the Olympics this summer then it’s a good idea to make sure your travel insurance is up to date says independent financial research company, Defaqto.

Having the appropriate travel insurance policy protects holidaymakers both before and during a trip should they have to cancel due to unforeseen circumstances or if your passport is stolen, lost or destroyed.

“At this time of year people may be thinking about booking their summer holiday to help them get over the post-Christmas blues,” says Mike Powell, Defaqto’s Insight Analyst for General Insurance.

“However, given the significant expense often involved, it is important for holidaymakers to arrange suitable travel insurance once their booking is made to safeguard the money they have spent.  This is particularly important given the long gap between bookings that are made now and the summer holiday itself – especially in the current economic climate, where holidaymakers could experience financial difficulties which could impact on their travel plans.”

Defaqto figures indicate that 7% of single trip travel insurance policies contribute only £1,000 or less towards the cost of your holiday should you have to cancel, whereas 40% offer £5,000 or more to cover cancellation costs.

In the event of a passport being lost for whatever reason, further Defaqto data shows that 52% of single trip travel insurance policies offer between £200 and £300 to cover the costs of replacing your passport abroad, whilst 19% will provide £500 or more.

Mr Powell continued: “To ensure they get the right type and level of cover to protect their holiday, people need to focus first and foremost on pinpointing the features they need from a travel insurance policy and identifying the options that provide that cover. 

“Although important, price should not be the primary basis for comparison.  After all, buying the cheapest cover available could end up being the most expensive option if it doesn’t provide adequate cover for someone’s holiday if it had to be cancelled due to redundancy or illness for example.”

So the message is clear: get your travel insurance sorted out sooner rather than later.