What travel insurance covers, and the gaps people miss

Travel insurance is easy to skip and expensive to wish you'd had. It isn't about expecting the worst. It's about not letting one bad day undo the whole budget.

What a typical policy covers

• Cancellation, if you can't travel for a reason the policy lists, such as illness.
• Emergency medical treatment abroad, and getting you home if needed.
• Delays and missed connections, usually up to a set amount.
• Lost, stolen or delayed baggage.

The gaps people miss

Pre-existing medical conditions often need to be declared, or they may not be covered. Some activities, such as skiing or scuba diving, need an add-on. And "I changed my mind" is almost never a valid reason to claim, unless you paid for cancel-for-any-reason cover.

Check your home health cover

Many domestic health plans pay little or nothing abroad. Medical evacuation from a remote island or ship can cost tens of thousands of dollars. This is the part of a policy that matters most.

When to buy it

Buy it soon after you book. Cancellation cover only helps with things that happen after the policy starts, and some policies offer extra benefits if you buy within a set time of your first payment.

A note from our planners

We're not insurers and can't advise on a particular policy, but we're happy to explain what your fare rules already cover so you can compare.