Travel insurance explained: what it covers and why it matters

By the Nexara Holidays travel desk · 2 min read

Travel insurance is easy to skip and painful to need. A medical emergency abroad can cost far more than the whole holiday, and a cancelled trip can mean losing non-refundable bookings.

What a good policy covers

• Medical expenses abroad, including hospitalisation and emergency evacuation. This is the most important part.
• Trip cancellation and interruption, if you have to cancel or cut short the trip for covered reasons such as illness.
• Baggage loss or delay and passport loss assistance.
• Flight delays and missed connections, depending on the policy.
• Personal liability.

When it is required

Some visas require insurance with minimum cover. A Schengen visa for Europe, for example, requires travel medical insurance meeting a minimum amount. See Schengen visa for Indian travellers: how the process works. Some other countries and cruise lines also ask for proof of insurance.

What to check in the policy

• Coverage amount for medical expenses, appropriate for the destination. Healthcare in the USA, Europe and Japan is expensive.
• Pre-existing conditions: many policies exclude them unless declared and covered.
• Age limits and premiums for senior travellers.
• Adventure activities: scuba diving, trekking above certain altitudes, skiing and paragliding are often excluded unless you buy extra cover. See Adventure holidays.
• Deductibles and claim procedures.
• Cashless hospitalisation networks abroad.

When to buy

Buy when you book the trip, not just before departure, so cancellation cover protects you from the start.

Domestic trips

Insurance is less common for trips within India, but worth considering for remote or adventure trips such as Ladakh, Spiti or the Char Dham, and for expensive bookings.

Claims tips

• Keep all receipts, medical reports and police reports.
• Call the insurer's emergency helpline before major treatment where possible.
• Carry a copy of the policy and helpline numbers offline.

We can suggest insurers when you book, but the policy is between you and the insurer.