The cheapest policy is rarely the best value. What counts is whether it covers the situations you're realistically exposed to, with limits high enough to be useful — and on that measure, two policies at the same price can be worlds apart.
The single most important reason to insure an overseas trip is medical: a hospital stay or emergency evacuation abroad can cost tens or even hundreds of thousands of dollars, none of which your home health system covers once you leave the country. Everything else — cancellation, delays, lost luggage — is useful, but the medical limit is the part that protects you from a life-changing bill.
What to compare (not just price)
- Medical & evacuation limit: the most important figure. Look for a high or unlimited overseas medical limit, including emergency evacuation and repatriation.
- Cancellation cover: should be enough to cover your full non-refundable trip cost, not a token amount.
- The excess: what you pay per claim. A low headline price often hides a high excess.
- Exclusions: read what is not covered — adventure activities, alcohol-related incidents, and undeclared pre-existing conditions are common gaps.
- Baggage & delay limits: check per-item limits and whether high-value electronics are covered.
Common policy types
Single-trip cover suits one holiday and is usually cheapest for occasional travellers. Annual multi-trip policies cover unlimited trips in a year up to a per-trip day limit, and work out cheaper for anyone taking two or more trips. Comprehensive policies bundle medical, cancellation, baggage and more, while medical-only options are cheaper but drop the extras. Add-ons exist for cruises, winter sports and adventure activities — if you plan any of these, confirm they're covered before you buy.
Run through the checklist
These are the features worth checking on any policy before you buy. Print it and tick them off as you compare.
Comparison checklist → what to confirm on each policy
General information only — always read the product disclosure statement for the actual policy.
Reading the fine print
Before you buy, check three things in the product disclosure document: the medical and cancellation limits, the excess per claim, and the exclusions list. Declare any pre-existing conditions honestly — an undeclared condition is one of the most common reasons claims are refused. Buy soon after booking so cancellation cover starts immediately, and keep a copy of the policy and the insurer's emergency number with you while you travel.
Go deeper
Questions
What is the most important thing to compare?
The overseas medical and emergency evacuation limit. This is the cover that protects you from a catastrophic bill, so prioritise a high or unlimited medical limit over a slightly lower price.
Is the cheapest policy ever the best choice?
Sometimes, but only if its limits and exclusions genuinely match your trip. A cheap policy with a high excess and low medical limit can cost you far more than it saves if you need to claim. Compare cover, then price.
Single-trip or annual policy?
If you take two or more trips a year, an annual multi-trip policy is usually cheaper and more convenient. Check the maximum trip length it allows, as annual policies cap how many days each individual trip can be.
What is commonly excluded?
Undeclared pre-existing conditions, incidents involving alcohol or drugs, high-risk adventure activities not added to the policy, and valuables above a per-item limit. Always read the exclusions before assuming you are covered.
Does my credit card insurance count?
Some premium cards include travel insurance, but cover varies and often requires you to pay for the trip on that card. Read the terms carefully — limits and exclusions can be narrower than a standalone policy, especially for medical and pre-existing conditions.
Can I buy insurance after booking?
Yes, and you should buy as soon as you have paid for any part of the trip. Cancellation cover only applies from the policy start date, so buying early protects your deposits if something goes wrong before departure.
This guide is general information only and not financial or insurance advice. Cover, limits and exclusions vary by insurer and policy — always read the product disclosure statement and compare current policies before buying.