Money matters: Insurance

Like tickets and a passport, travel insurance is a basic holiday ingredient. Always shop around for a good value policy that covers all your needs, or consider annual cover if you frequently holiday abroad.

Policy essentials

These days you can arrange travel insurance over the phone in minutes if you have to - all you need is a reference number for your trip and a telephone contact in case of emergencies. Documents are then mailed to your home.

Policies should always include: cover for flight cancellations and delays, medical problems, theft and damage to belongings, legal fees, money, belongings and personal liability - in case you injure someone or damage property.

When buying travel insurance, bear these points in mind:

• Check the value limit for single items and valuables
• Check what the excess fee is on individual items if you make a claim
• If visiting the US, get a policy with at least £1m cover for emergency medical treatment
• Medical cover should include repatriation for visits to the US or remote destinations
• Arrange cover for the full price of your trip
• You can buy insurance from many places - not only travel agents and tour operators
• Check whether the insurance company belongs to a regulatory organisation
• Check you are covered if you plan to do any sports - even jet-skiing

Making claims

Deadlines usually apply to claims, so forms should be sent off as soon as you get home, or from abroad if on a long holiday. When you make a claim, you may need to produce the following to back it up:

• Your original insurance policy
• Receipts for medical prescriptions, and cost of treatment and supplies, such as bandages
• Plane tickets and proof of flight delays or cancellations
• Police reports of thefts with reference numbers
• Serial numbers and cost estimates for valuables, and cost estimates for other items

Complaints about claims

If you're not happy with a claim's outcome and your insurance company belongs to a regulatory body, you can take the matter further. Recognised organisations include:

• BIBA (BRITISH INSURANCE BROKERS' ASSOCIATION): Offers advice to the public and handles complaints against members.

Address: 14 Bevis Marks, London EC3A 7NT

Telephone: 020 7623 9043

Website - http://www.biba.org.uk

• THE INSURANCE OMBUDSMAN BUREAU:

Handles complaints made against members by consumers.

Address: South Quay Plaza, 183 Marsh Wall, London E14 9SR

Telephone: 0845 080 1800

Website - http://www.financial-ombudsman.org.uk/

• PERSONAL INSURANCE ARBITRATION SERVICE:

Run by the Chartered Institute of Arbitrators, the scheme aims to resolve issues through an independent third person.

Address: 24 Angel Gate, City Road, London EC1V 2RS

Telephone: 020 7837 4483

Website - http://www.arbitrators.org