Holidaymakers are being cautioned against a common mistake that nearly half of Britons make, which could leave them facing huge financial losses. Despite being 24 times more likely to travel than drive without insurance, many are taking the risk and potentially exposing themselves to substantial costs.
While driving without insurance is illegal and travelling without it is not, the lack of cover can lead to significant financial repercussions. Aviva, which offers travel insurance through Nationwide’s FlexPlus current account, reports that the average claim amounts to £900.
However, the expenses can soar if a traveller becomes seriously ill while overseas, with some claims reaching into the tens or even hundreds of thousands of pounds.
A study by Nationwide revealed that 44% of Brits have travelled without insurance. Marta Edwards, Head of Current Accounts at Nationwide Building Society, commented: “Holidays are our time to switch off and relax. Most claims are minor, but if you fall seriously ill or have an accident while abroad, the costs can run into tens or in some cases hundreds of thousands of pounds.”
“Having adequate cover in place provides peace of mind that in the event something does go wrong you are protected. And unlike car insurance, just because travel cover is an optional expense, it shouldn’t make it easier to ignore. The risk isn’t worth it.”
A survey has revealed that the primary reason for individuals purchasing travel insurance is to ensure protection in case of illness while abroad. Other concerns include potential trip cancellations, theft, and issues with flights or luggage.
Nationwide advises securing travel insurance as soon as a trip is booked due to the unpredictable nature of circumstances that may necessitate cancellation. They emphasise the importance of understanding what is included in a standard policy and what might require an upgrade.
For instance, it’s crucial to inform the insurance provider about any existing medical conditions for all individuals covered by the policy. Failure to ensure adequate coverage could result in claim denials.
According to Nationwide’s research, nearly one in six (17%) confess to never reading the terms and conditions of their travel insurance.
Nationwide’s FlexPlus3 packaged current account, priced at £13 per month, offers a range of benefits including worldwide family travel insurance with a comprehensive level of cover as standard. Additional perks include breakdown cover and mobile phone insurance for the entire family.