Many people are spending more than they need to on travel insurance from big insurers, supermarkets and travel agents, when they could get the same cover for a lot less money from lesser-known insurance providers, research from Moneysupermarket.com has found.
With the summer holidays fast approaching and families planning trips, Moneysupermarket.com is urging people to consider low-cost travel insurance providers that can offer the same cover for which better-known providers charge up to four times more.
For example, travel insurance for a single trip to Florida for a couple could cost £28.50 from an internet provider, the same cover from a supermarket comes in at £66.49 (133% more), and a travel agent charges £144, four times as much, for the same cover.
Richard Mason, Moneysupermarket.com’s director of insurance, said: “Little known travel insurers provide good levels of cover at a lower cost compared with the big brands. With low-cost options it is not always a case of ‘you get what you pay for’.
“I urge customers to compare policies on a like for like basis and check levels of cover are sufficient for you and your family’s needs.” If a low cost option can provide the same amount of cover, then customers can save the money for something else.
In order to close the gap in the travel insurance industry between providers, the FSA announced last week that the market will be regulated from 2009. Until this comes into force, Richard Mason suggests: “Research the level of cover you need and take proper advice if necessary; then shop around for a competitively priced policy.”
Learn more about how to compare travel insurance