Cheap travel insurance could cost you dearly
A new report from Defaqto on the travel insurance market has urged people considering their summer holidays not to be tempted by low single-trip premiums as they may not offer adequate cover in the event of an emergency.
However, Defaqto believes there has never been a better time for discerning consumers to buy travel insurance as prices have come down to levels last seen in 2002 as a result of intense competition in the industry.
With £700m of gross premiums written every year across more than 170 main distributors, Defaqto said that prices were inevitably falling with so much competition in such a crowded market.
Brian Brown, associate director at Defaqto, said: “With premiums at such low levels there is no excuse to travel abroad without cover.
“However, while low premiums are welcome, consumers need to be sure that cheap policies do not come at the price of reduced cover that could end costing them a lot more.”