Travel Insurance Explained: What You Actually Need

Travel insurance is one of the few financial products travellers buy under time pressure, without comparison, and rarely read. The result: half of travellers are over-insured for risks they don't face, and the other half are under-insured for risks that could ruin them.

The three things insurance actually covers

Medical emergencies and evacuation. The big one. A skiing injury in Switzerland and an air ambulance home can run €100,000. Your domestic health insurance likely doesn't extend abroad. Trip cancellation and interruption. If you cancel or cut short for covered reasons (illness, family emergency, severe weather), the policy refunds non-refundable costs. Baggage and personal items. Useful but rarely worth a premium upgrade — credit cards often duplicate this.

How much medical coverage do you really need?

For most of Europe with reciprocal arrangements: €500,000 medical / €500,000 evacuation is comfortable. For the US: €1 million minimum. For remote destinations (Himalayan trekking, safari, Antarctic expedition): evacuation specifically should be €500,000+ because helicopters and chartered medical jets are the real cost.

The exclusions that catch people out

• Pre-existing conditions. Most policies exclude unless declared. Declare honestly even if it raises the premium.
• Alcohol. If you're injured under the influence, claims may be denied. Read your policy's alcohol clause.
• Adventure activities. Standard policies exclude scuba, skiing, motorbike rental, mountaineering above a certain altitude. Add the relevant rider.
• Cancel for any reason. Most policies only cover named reasons. CFAR (Cancel For Any Reason) is a separate add-on, costs more, refunds 50–75%.

Credit card travel insurance — read the fine print

Premium credit cards include real travel insurance — sometimes good enough to replace a separate policy. But coverage often requires you to pay the trip on that card. And medical limits are usually lower than stand-alone policies.

Annual vs single-trip

If you travel 3+ times a year, an annual multi-trip policy almost always wins on price. Check the per-trip duration limit — usually 30 or 60 days max.

When to buy

The day you book your trip. Trip-cancellation coverage starts when the policy starts; if you wait until the week of travel, you're already exposed.

What to do at the moment of a claim

Call your insurer's emergency line before agreeing to any treatment. Keep every receipt and document. Get a police report within 24 hours for theft. Photograph damaged baggage at the carousel before leaving the airport.

Travel with your dossier

A TravelTiger dossier includes a travel-insurance checklist for your specific destinations and activities, plus the emergency contacts and local hospital information you'll need if anything goes wrong.