Travel insurance premiums can vary a great deal and, whilst it’s important that you are getting good value for money, it is equally important that you are choosing the level of cover that suits your needs. Extras can be added on but a basic policy should include the following levels of cover:

• Cancellation and curtailment – in case you have to cancel or cut short your holiday, perhaps because you lose your job and can no longer afford to travel, or if a relative falls ill while you are away and you need to come home early.
• Delay – you should be compensated if your flight is delayed for longer than 12 hours. To avoid any problems in receiving this compensation ask the airline to confirm the delay in writing and keep any receipts of anything you have to purchase due to the delay.
• Baggage and belongings – the policy pays out if your luggage or personal possessions are lost, damaged or stolen. Many travel insurers also put a limit on the payout for individual valuable items, such as cameras and laptops.
• Personal liability – if you injure someone, perhaps on the ski slopes, or you damage their property, they could make a claim against you.
• Emergency assistance – many insurance companies offer a 24-hour emergency helpline, which can be a lifesaver, particularly if you are in a different time zone.
• Medical cover – you don’t want to end up with a big medical bill if you are taken ill or have an accident while on holiday. Most experts recommend £2m of medical cover if you are travelling abroad, which should include repatriation in case you need to be flown back to the UK.
• Pregnancy – shouldn’t prevent a holiday, though you will have to check the terms and conditions of your policy. Most travel firms will insure pregnant women, though typically only up until about 24 weeks.

A standard travel insurance policy is unlikely to cover any pre-existing medical conditions. In other words, if you have asthma and suffer an attack on holiday that requires medical treatment, your policy will not pay out. But you should always declare any health issues when you apply for insurance because failure to disclose any relevant details could invalidate the policy. Some specialist policies will cover pre-existing conditions, though the higher risk of a claim is usually reflected in a higher premium.

If you are heading to Europe, you can apply for a European Health Insurance Card (EHIC)*, which entitles you to medical treatment in state run hospitals in the EU, plus a number of other countries. The EHIC replaced the E111 in 2006 and can be useful in an emergency, but it is not a substitute for insurance. Holders of an EHIC will pay the same cost for their treatment as a local, so if it’s free for the country’s residents, you will pay nothing.

You should also remember that the EHIC usually only covers treatment in state-run hospitals – and in some countries the standard of state hospitals is poor. You will also have to pay any repatriation costs as the card does not include the cost of a flight home if you fall ill or have an accident while on holiday.

*WCHC not in control of or responsible for content in third party sites.

Annual or single trip travel insurance? You can buy travel insurance every time you go on holiday, or you can opt for annual multi trip travel insurance, which usually covers any number of trips within a year. If you are a regular traveller, or you are planning a long haul holiday, an annual policy can often work out cheaper. Anyone who takes two or more trips a year, or who is heading for a far flung destination, may save money on their travel insurance if they choose an annual rather than a single trip policy.

Activities or Adventure Travel Plans Perfect for skiing or horseriding holidays as these activities are often not covered by standard policies, but don’t let that limit your imagination! We can cover almost any activity or work abroad including amateur sports, manual work and hazardous pursuits like mountaineering or skydiving.

Cruise Travel Plans Cruises pose particular challenges to travel insurance policies because of the sheer number and range of destinations. Specialist Cruise Insurance will ensure good Evacuation and Repatriation cover from every destination on your itinerary.

Long Stay Travel Plans Long stays overseas can also challenge a regular travel insurance policy which may not be designed to cover long-term visits. These policies provide insurance protection for up to two years and, crucially, can be renewed from overseas if needed. not include the cost of a flight home if you fall ill or have an accident while on holiday.