Check Cover with Cheap Travel Insurance

Holidaymakers tempted by cheap travel insurance should think twice and carefully examine exactly what is covered by the policy, says an independent data research company.

Defaqto's annual review of the market revealed that the popular low-cost single trip premiums may not provide adequate cover for travellers.

Despite insurance prices being the lowest since 2002 thanks to strong competition in the industry - some single trip premiums are as low as £8 or £9 for a two week holiday – the cheaper options may hide a vital gap in cover.

"With premiums at historically low levels there is no excuse to travel abroad without insurance. However, while these lower premiums are very welcome, consumers need to be careful that the policies do not come at the price of reduced cover," said Brian Brown from Defaqto.

"If the premium looks too good to be true, it probably is. Travellers should assess the level of cover they require and then shop around for it."

The research suggests checking your premium against the averages and if there is a big difference investigate why and to always declare any medical condition to the insurer.