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PROTECTTRAVEL®

Guide

How much does travel insurance cost?

There is no flat rate. Five things decide your price, and knowing them tells you where you can save and where you should not.

The five things that move the price

  • Age. The single biggest factor. Insurers price the chance of a hospital stay, and that climbs steadily through the sixties and seventies.
  • Your non-refundable trip cost. Cancellation cover is sized to the money you would lose. Insure more, pay more.
  • How long you are away. A fortnight costs more than a weekend, and a month more again.
  • Where you are going. Somewhere with expensive care, or somewhere a long way from a hospital, costs more to insure.
  • What you add. Cancel For Any Reason, higher medical limits and adventure-sports cover are all extras on top of the base plan.

What does not change the price

You are not asked medical questions and there is no exam, so nothing about your health changes the number you are quoted. Buying through an agency does not change it either — the rate is the insurer's own filed rate, and an agency cannot mark it up.

Where people overspend

Two habits cost travellers money. The first is insuring the full holiday when only part of it is actually non-refundable: an airline ticket you could rebook, or a hotel with free cancellation, does not need cancellation cover. The second is buying a top-tier plan for the badge rather than for a benefit you can name.

Where people underspend

Medical and evacuation limits. Getting off a ship or out of a remote area is the number that reaches six figures, and it is the one people trim to save a few dollars. A cancellation shortfall costs you your holiday money; a medical shortfall can cost you far more than the trip was worth.

When to buy

Soon after your first trip payment. Buying early rarely costs more, and it is what keeps the pre-existing condition waiver available — a deadline measured from your first payment, not your departure date.

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Written by ProtectTravel, a licensed insurance agency. This is general information about how travel insurance usually works, not advice about any one plan and not an offer of cover. Prices and benefits come from the insurer when you run a quote, and the policy wording decides any claim.

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