10 hot tips to save on travel insurance
Heading off on an adventure but on a tight budget? Use these 10 simple tips to find affordable travel insurance that satisfies all your cover needs.
Key takeaways
- Even if you're travelling on a budget, don't skip out on travel insurance.
- Instead, there are some easy ways to save money on essential cover.
- Remember, the cost of not being insured if something goes wrong will be WAY worse.
1. Don’t buy from a travel agent or airline
Buying insurance cover at the same time as you book your holiday or your flights is super an easy and convenient, but it's also expensive. Travel agents and airlines add hefty commissions on top of the price of the policies they sell, so you end up paying more for cover than you need to.
It's a much better option to buy standalone travel insurance on a site like Finder (excuse the shameless self-promotion). There are plenty of cheap travel insurance policies around, but it will also save you on more comprehensive policies too.
That said, you should be buying your travel insurance asap, as soon as you book your trip, just in case something goes wrong before you leave!
2. Choose the level of cover that's right for you
Generally speaking, you'll find policies marketed as 'basic' or 'comprehensive'. There aren't formal categories or anything like that, so you'll need to check the details of each policy.
But broadly speaking, basic cover will include medical coverage and some basic cover for travel interruptions and delays. Comprehensive cover will have larger limits, but could also cover less common issues like overseas dental care, delayed luggage or loss of income.
Picking a policy that only covers what you need is a great way to save money, but it's important to make sure you don't short sell yourself. Having proper cover will make your holiday easier, more enjoyable and lower risk.
3. Avoid options you don't need
When you buy travel insurance, you may find that the cover you want or need isn’t included as standard. To tailor a policy to suit your trip, it may be necessary to add some optional covers to your policy, such as:
- Winter sports cover
- Adventure sports cover
- Golf cover
- High-value personal items cover
- Additional rental car excess cover
Of course, all of these options come with an additional premium, so make sure they’re actually essential for your holiday before adding them to your policy. By avoiding any unnecessary options, you can substantially lower the cost of cover.
4. Keep an eye out for travel insurance discounts
Why pay full price for anything when you can save money with a discount? There is always a wide range of travel insurance deals and special offers available, so why not check to see how much they can help you save? While you should never choose a policy based solely on an attractive discount, it’s definitely worth shopping around for a good deal.
Travel insurance discounts you may be able to take advantage of include:
- Promos and coupon codes
- Discounts for buying cover online
- Multi-policy discounts if you hold another type of cover (e.g. car insurance) with the same insurer
- Discounts for special customers and members – for example, as the customer of a specific bank, you may be entitled to discount travel insurance from the bank’s insurance partner
Just make sure that you take a close look at the features of any discounted policy before deciding whether it’s right for you.
5. Know your destination details
The destination(s) you choose to visit on your holiday can have a big impact on the cost of cover. First, where you go can play a part in determining the level of cover you need. For example, if you’re heading to the US, a policy that covers unlimited overseas medical expenses is essential to help you pay for treatment in that country’s expensive health system, but there are other countries around the world where you may not need the same high level of cover.
Second, the way in which your insurer covers your destinations also has an effect. For example, some insurers will ask you to nominate the region where you will spend most of your time while away, while others require you to select the furthest region away from home you will visit. So, if you’re spending the majority of time in a destination closer to home, it may be possible to find cheaper cover with some insurers.
6. Consider a multi-trip policy
If you’re a frequent traveller who takes multiple overseas trips a year, buying a separate travel insurance policy for each holiday can add up to be quite expensive. That’s why it’s worth considering an annual multi-trip policy.
These policies don’t just cover one trip, but provide cover for all the trips you take during a 12-month period. Limits apply to the maximum duration of any one trip, but apart from that, multi-trip policies offer the same benefits you’d expect from a single-trip comprehensive policy.
Best of all, you can enjoy substantial savings on the total cost of travel insurance over the course of a year.
7. Combine and save
Are you travelling with a family member or a close friend? If so, the total cost of each of you purchasing a separate travel insurance policy could be substantial.
However, if you join forces to buy combined cover under the one policy, you could access significant savings on the cost of cover. As long as you’re both happy with the level of cover the policy provides, this option is an easy way to save money on travel insurance.
8. Be honest and disclose everything
Got a pre-existing condition that insurers will only cover if you agree to pay a premium loading? Visiting an out-of-the-way destination that you’re pretty sure will push your premium up? Don’t give into the temptation of keeping information from your insurer just to save a little bit of money – while it might help you pinch a few pennies in the short term, in the long run, it could end up costing you big time.
If you don’t tell your insurer something that it has a right to know – be it a pre-existing condition, a destination you’re visiting or anything else – if that something later leads to a claim, your claim will be refused. On top of that, the insurer will probably cancel your policy altogether.
When you apply for cover, make sure to be upfront and honest, and to disclose all information relevant to your policy.
9. Vary your travel insurance excess
Another great way to save money on travel insurance is to choose a higher excess. Available as an option on some policies, this allows you to adjust your excess amount higher, which means you’d have to dig a little deeper into your own pocket if you have to make a claim.
The reward is a lower travel insurance premium and the amount you save may be more than you think, so it’s worth getting a quote with an adjusted excess to see if it could be worth your while.
10. Compare travel insurance quotes and shop around
Speaking of getting quotes, this is the last but perhaps the most important step on your journey to finding cheaper travel insurance. Getting travel insurance quotes online is quick, convenient and extremely easy. Using finder.com.au’s travel insurance quote engine, all you have to do is provide:
- Details of where you’re travelling
- Your travel dates
- The age of all travellers you want to insure
- Your email address
And then you can compare multiple quotes from some of Australia’s leading travel insurers. With several quotes at your disposal you can easily get a better idea of how much you can expect to pay for cover, and can then start comparing the features, benefits, limits and exclusions of individual policies.
With a little bit of research, you’ll soon be able to find affordable travel insurance that provides all the cover you need for your next trip.
Travel insurance - when to buy & how to save
More resources on Finder
More guides on Finder
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Luggage Insurance: When baggage is a good thing.
Travel insurance for luggage offers cover against the cost of repair or replacement when your luggage and personal belongings are lost, stolen or damaged.
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Basic travel insurance
Not sure if basic travel cover is worth it? Find out why covering the essentials is a smart move.
Ask a question
how do bank provided E.g as part of my Visa card with WestPac, I get “free” travel insurance. Are these just basics or are they value for money given bank fees I pay?
Hi Brendan,
Thanks for your question.
Your complimentary travel insurance will come with certain conditions and limitations. If you would like to know more, please have a look at our guide to the benefits and features you get between credit cards and standalone travel insurance. Please make sure to read the eligibility criteria, features and details of the policy, as well as the relevant Product Disclosure Statement of the policy before making a decision and consider whether the product is right for you. If necessary, speak to the insurance brand to verify any details.
I hope this was helpful,
Richard
thanks for your replies re pre-existing conditions. A tip, do not fill in the PEC form on line, ring the company & insist on doing it via the PEC assessor.
I always get knocked back on line, but accepted on the phone. Been with Covermore since early 90’s. With PEC you need to build up a long term relationship so they can monitor how your condition is going as time passes.
This is not a question, it is a serious recommendation.
Make absolutely sure you get a copy of your responses to the insurance questionnaire before committing to a policy. Yes, do it over the phone not on-line or in a travel agency.
I was accused of omitting information about a claimed pre-existing medical condition by a well-known travel insurance company mentioned in one of the responses published below when I had to cancel travel because of emergency surgery for a condition I was aware of at the time of application.
This was not the case but they refused to believe me. The insurance company refused my refund for months but in the end were unable to produce a copy of my application showing what I had declared, or in their view had not declared. Be careful, very careful!
you have not shown any options for seniors or Ore Existing Conditions. These are of interest to me, if only names of companies that are more accommodating.
Some information would be welcome.
I already figured about countries with reciprocal agreements or that you may have dual citizenship with, but what about on board a cruise ship, do many of them want you to pay for medical attention as you receive it?
Hi Jennifer,
Thanks for your question.
We have various pages that deal with these topics, including:
Travel Insurance for pre-existing conditions.
Seniors Travel Insurance
Whether or not you can take out cover will depend on your pre-existing condition. InsureandGo and CoverMore claims to consider all conditions. They may also be able to help as they assess medical conditions prior to travel issuing travel insurance.
Please make sure to read the eligibility criteria, features, and details of the policy, as well as the relevant Product Disclosure Statement of the policy before making a decision and consider whether the product is right for you. If necessary, speak to the insurance brand to verify any details.
I hope this was helpful,
Richard
I will be travelling with a carer from Sydney to Hawaii. Have 2 days there and then cruising back to Sydney.
I am in a wheelchair, have a very stable medical condition that requires oxygen and ventilator only at night.
My condition has been stable for over 38 years
Hi Helyn,
Thanks for your comment.
If you would like to compare policies from providers in our panel, You may get your quotes for travel insurance that considers all pre-existing conditions on our guide. Please make sure to read the eligibility criteria, features, and details of the policy, as well as the relevant Product Disclosure Statement of the policy before making a decision and consider whether the product is right for you. If necessary, speak to the insurance brand to verify any details.
I hope this was helpful,
Richard
What about having pre-existing medical conditions covered?
As i like cruising and I go when there is a special on.Sometimes it may be
a fly cruise and stay vacation.
I am 65 been on about 6 already
My pre-existing is a TIA about 7years ago no subsequent incidents ,diabetes (type 2),sleep apnoea
Hi Graeme,
Thank you for your question.
Whether or not you can take out cover will depend on your illness. You may check InsureandGo and CoverMore which claims to consider all conditions. They may also be able to help as they assess medical conditions prior to travel issuing travel insurance.
Please make sure to read the eligibility criteria, features and details of the policy, as well as the relevant Product Disclosure Statement of the policy before making a decision and consider whether the product is right for you. If necessary, speak to the insurance brand to verify any details.
I hope this was helpful,
Richard