The travel insurance industry needs better regulation if customers are to be protected from travelling without proper cover, the Treasury Select Committee has warned.
The MPs' investigation revealed that around ten million Britons travelling last year were not covered for medical expenses in the event of a terrorist attack even as airport security restrictions tightened after threats to transatlantic aircraft.
"This is an astonishing number of people to have been exposed to this seriously frightening chance of loss," committee chairman John McFall told Reuters.
"There are huge numbers of people - millions literally - who have been sold and are at risk of being sold … travel insurance policies which do not meet their needs," he added.
The MPs are concerned that consumers are not equipped to realise when they are not adequately covered, since "too often, exclusions are buried in the small print", Mr McFall said, calling for policies to be written in "plain English".
The MPs' "damning" report demonstrates the "urgent need for consistent regulation of travel insurance", Mike Naylor, principal researcher at consumer body Which? stressed.To learn more about travel insurance, click here.
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