What Does Travel Insurance Cover? A Complete UK Guide for 2025

Travel insurance is one of those purchases people only think about after something goes wrong. By then, it's usually too late. In this guide we walk through, in plain English, exactly what a standard UK travel insurance policy covers — plus the bits people often misunderstand.

The five core areas every policy should include

Whether you're buying single trip, annual multi-trip or specialist cover, almost every UK travel insurance policy is built around the same five pillars. If a policy is missing any of them — walk away.

1. Emergency medical and repatriation cover — usually £5m–£15m
2. Cancellation and curtailment — typically £1,000–£10,000 per person
3. Baggage and personal belongings — often £1,500–£3,000, with single-item limits
4. Travel delay and missed departure — fixed cash benefit per hour delayed
5. Personal liability — usually up to £2 million

1. Emergency medical cover — the most important part

If you take only one thing from this guide, take this: medical cover is the entire reason travel insurance exists. A simple appendicitis in the United States can cost over £40,000 once you add hospital, surgeon and ambulance fees. Repatriation by air ambulance from Australia back to the UK can comfortably exceed £100,000.

Look for a minimum of £5 million in Europe and £10 million worldwide. Check that the policy covers:

• Hospital treatment and surgery abroad
• Emergency dental (usually limited to pain relief, around £300)
• Repatriation to the UK by air ambulance if medically necessary
• The cost of a relative travelling to be with you
• Funeral expenses or returning remains to the UK

2. Cancellation and curtailment

Cancellation cover refunds you for non-refundable trip costs (flights, hotels, tours) if you have to cancel before you travel for an insured reason — illness, jury service, a close relative's death, redundancy, FCDO advice change, and so on.

Curtailment is the same protection but for cutting a trip short once you've already left. Both are paid pro-rata for unused days.

Top tip: buy your policy on the day you book, not the day you fly. Cancellation cover only works if your policy is in force when the cancellation event happens.

3. Baggage and personal belongings

Baggage cover replaces clothes, electronics, and personal items that are lost, stolen or damaged. Pay close attention to two numbers:

• The single-item limit — typically £200–£500. A £1,200 phone will be paid out at the single-item limit, not its full value.
• The valuables limit — total combined cap on jewellery, cameras, laptops etc., usually around £300–£600.

4. Travel delay and missed departure

If your outbound or inbound flight is delayed by more than a set time (usually 12 hours), most policies pay a fixed amount per hour, capped at £100–£300. Missed departure cover pays for additional travel and accommodation if you miss your departure due to public transport failure or an accident on the way to the airport.

5. Personal liability

Personal liability covers you if you accidentally injure someone or damage their property abroad. It does not cover anything related to driving — that's what your hire car excess insurance is for.

What travel insurance does NOT cover

Standard policies almost universally exclude:

• Undeclared pre-existing medical conditions
• Incidents involving alcohol or drugs
• Extreme sports unless added as an extension
• Travel against FCDO advice
• Lost cash beyond a small limit (typically £200–£500)
• Items left "unattended" in a public place

Do I really need travel insurance for Europe?

Yes. The GHIC (Global Health Insurance Card) only gives you access to state healthcare on the same terms as a local — it doesn't cover repatriation, private hospitals, lost luggage, or cancellation. Think of GHIC and travel insurance as partners, not alternatives.

The bottom line

Travel insurance is cheap. The average UK single-trip policy for a week in Europe costs less than a round of drinks at the airport. Compared to the financial fallout of an accident abroad, it's the easiest decision you'll make on your trip.

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