Travel insurance warning as UK holidaymakers could face huge bills abroad

Holidaymakers risk racking up medical costs soaring to as much as £150,000 if they inadvertently invalidate their travel insurance. Securing travel insurance binds you to an array of terms and conditions.

These cover scenarios where you won't be covered, leaving you liable for emergency expenses. Nevertheless, experts say it is essential to get travel insurance promptly upon booking your getaway.

The upside is that travel insurance might also mitigate pre-holiday issues, like missing your flight due to sudden illness. But little-known guidance shows that some seemingly ordinary activities could put you at risk of invalidating your insurance and ending up with an enormous bill if something goes wrong.

Government advice states that medical bills abroad can escalate dramatically, depending on your destination. A fall resulting in a broken leg needing hospital care in Spain may see charges exceed £25,000.

In Greece, a quad bike accident that requires surgery can cost more than £80,000. Meanwhile, if you get a stomach bug or infection in the USA that requires hospital treatment, you could be charged more than £150,000.

Advice from the Association of British Insurers(ABI) states: "When shopping around for travel insurance, make sure that the policy is right for your needs, and do not automatically opt for the cheapest. This is especially important if you have any pre-existing medical conditions."

They also advise securing travel insurance as soon as you book your holiday to safeguard against potential losses such as cancellation fees if illness prevents you from travelling. At the very latest, they say you must sort it before departing the UK, as numerous policies provide coverage from the beginning of your journey until your return.

Travel insurance generally includes a variety of exclusions, which means you're no longer covered. Guidance on GOV UK notes that this can include:

1. sports such as bungee jumping, jet skiing, winter sports or skydiving: these are not usually included in standard policies
2. alcohol and drugs: most travel insurance policies do not cover events that happen after you have drunk excessive alcohol or taken recreational drugs or other substances
3. mental health conditions: you must declare mental health conditions or risk invalidating your policy. Be aware that some may exclude cover for treatment related to a pre-existing mental health condition. See foreign travel advice for people with mental health issues for more guidance
4. age restrictions, particularly if you are buying an annual policy
5. use/hire of quad bikes or mopeds: they are not usually covered
6. driving overseas: if you’re hiring a car, check what you’re covered for with the hire company; if you are driving your own vehicle, check your motor insurance policy to see what it covers
7. natural disasters (such as an earthquake or tropical cyclone): some policies only offer limited cover for claims related to or caused by a natural disaster
8. high risk destinations: many travel insurance policies will not cover travel to a high risk destination where the Foreign, Commonwealth & Development Office (FCDO) advises against all but essential travel or all travel. Check your policy wording and the relevant country travel advice pages before booking your trip and buying insurance
9. terrorist acts: most travel insurers offer only limited cover for terrorist acts but some offer policy add-ons to provide additional cover if there is a terrorist attack in your destination. This may include cancellation cover, if your destination is affected by a terrorist attack before your trip and you no longer wish to travel. At a minimum, make sure your policy covers you for emergency medical expenses and travel home if you are caught up in an attack
10. civil unrest, strikes or other industrial action: you may not be covered for some claims that arise from these kinds of incidents, especially if they were known publicly when you booked your trip and/or bought your travel insurance policy

Full guidance on travel insurance can be found on GOV.UK.