If you work out how much it would cost to replace all the valuable things you pack with you when you go away, you might be shocked.
From ‘must-take’ gadgets, such as iPhones and wireless music speakers, to flashy watches and handbags, our holiday luggage is bulging with goodies that would be expensive to replace.
In fact, recent research by bag labelling manufacturer, My Nametag, puts the total figure, including the often overlooked value of the suitcase itself, at £3,000.
Claim limits easily exceeded
Consumer watchdog magazine, Which?, also points out that individual items are often eye-wateringly valuable; the average cost of a laptop that’s taken on holiday is £671, for example, and for watches and jewellery it’s £1,667 and £3,212 respectively.
This can cause serious problems when it comes to claiming on cover, if anything were to happen to such possessions while away.
Single item maximums
The vast majority of travel insurance policies only allow claims of up to £500 per single item, recent research by Defaqto shows. 97% of single trip polices and 87% of annual policies have maximum single-item claim limits of £500 or less.
Which? came to a similar conclusion; of the 20 travel insurance policies it looked at, none allowed for a single item claim greater than £300.
For consumers, it shows the value of being covered for items when away by home insurance, at least in the UK. Some insurers offer away from home cover as standard, while with others it can be added for a small fee.
Higher limits on home cover
Claim limits, in the vast majority of cases, are much higher for home cover than for travel insurance; for single items, it’s likely to be between £1,500 and £2,000, but beware of higher excesses.
Problems when abroad
If you’ve got away from home cover, your insurer will probably cover your possessions abroad, but most only do so for a limited length of time (eg 30 days). If you’re on a lengthy cruise or are backpacking round the world, you probably want to consider specialist insurance to make sure you’re protected.
Stand-alone gadget cover is an option
One option for holidaymakers is to take out stand-alone gadget insurance. It usually has much higher limits for more expensive items of tech than standard travel or home cover when abroad.
Gadget cover which includes foreign travel might cost more, typically around £40 for an annual policy, but if you’re the sort of person who goes away loaded up with tech worth thousands, it could certainly be worth it.
We help customers find the insurance policy that’s right for them. Our customers are at the heart of everything we do, so we have a team of experts with a real passion for making sure people get the cover that’s right for them. Policy Expert is driven by a desire to help you find not only the best value insurance but also the right insurance for your individual needs. For a quote speak to an expert today on 0330 0600 600 or visit www.policyexpert.co.uk/contact for more ways to reach us.
Published 22 November 2017