When cruising the high seas, choosing suitable travel insurance can provide added peace of mind and the coverage you need.
Travel
When to buy travel insurance
Wondering when to book travel insurance? Learn the best time to buy travel insurance for overseas trips, cruises, and domestic travel in Australia.
Booking flights, accommodation and tours is often the exciting part of planning a holiday, but organising travel insurance is just as important. Whether you're travelling overseas, heading on a cruise or taking a domestic trip within Australia, understanding when to buy travel insurance can help protect your finances if something unexpected happens before or during your journey.
Depending on the policy you purchase, some policies include cancellation cover that usually starts immediately after you purchase the policy. If you’ve already paid for part of your holiday, this could help cover you for unexpected cancellations or departure interruptions.
Buying early does not automatically mean you are covered for cancellation, as cancellation cover depends on the type of policy selected. For full details, please read the Product Disclosure Statement and review each section for specific terms, conditions, exclusions, limits, and sub-limits, as well as any general exclusions that apply.
Here's what Australian travellers should know about when to book travel insurance, and why timing can make a difference.
When can I purchase travel insurance?
In most cases, you can purchase travel insurance as soon as you begin booking your trip. Consider purchasing travel insurance once you have made payments on your trip; if they are non-refundable, you may want cover in case of unexpected events.
These payments could include:
- flights
- cruises
- accommodation
- package tours
- rail passes
- event tickets.
The earlier you buy travel insurance, the longer you may be protected for cancellation-related events before departure. For travellers booking expensive international holidays or cruises well in advance, this can be especially important.
That said, the more information you have about your trip, the easier it is to buy the coverage that best suits your needs. For example, are you going on an ocean cruise, hitting the ski slopes, or planning to drive overseas? Knowing what you’ll be doing on holiday will help you choose suitable supplemental coverage.
Buying travel insurance early may provide protection for eligible cancellation costs if unforeseen circumstances force you to cancel or delay your trip before departure.
It's important to read your travel insurance policy documents carefully to understand the different coverage options available and ensure they meet your specific needs.
Why consider purchasing travel insurance early?
One of the biggest reasons to purchase travel insurance early is access to cancellation cover.
Depending on the policy, travel insurance may help cover eligible prepaid, non-refundable travel expenses if your holiday is cancelled or interrupted due to unexpected events such as:
- serious illness or injury
- family emergencies
- severe weather events
- natural disasters
- redundancy
- travel supplier insolvency.
For example, if you book an overseas holiday six months in advance and later unexpectedly become medically unfit to travel, cancellation cover may help recover eligible expenses if your policy was already in place.
Travellers booking cruises or expensive international holidays may particularly benefit from purchasing travel insurance early, because these trips often involve large upfront deposits and strict cancellation fees.
Is it cheaper to buy travel insurance early?
Buying travel insurance earlier does not always make the policy cheaper. However, purchasing cover sooner may increase the amount of time you are protected for pre-trip cancellation events.
Prices can also change over time due to insurer pricing updates or changes to your trip details.
Travel insurance is an important consideration when planning a holiday. Image: Getty
Can I buy travel insurance after booking a flight?
Yes, you can purchase travel insurance after booking flights.
Buying cover shortly after booking your flights may provide broader protection during the lead-up to your trip. If you delay purchasing travel insurance until just before departure, you may not be covered for cancellation events that occur beforehand.
This can be particularly important during busy travel periods, severe weather seasons or times of airline disruption.
Can I book travel insurance at the last minute?
In many cases, you can still purchase travel insurance close to departure - sometimes even right at the airport before your plane takes flight.
However, there can be important limitations when buying travel insurance late. Travel insurance generally does not cover known events or foreseeable circumstances that already existed before you purchased the policy. This may include:
- natural disasters already declared
- existing travel warnings
- known medical issues
For example, if a cyclone has already been forecast for your destination before you buy travel insurance, related claims may not be covered. That's why purchasing travel insurance earlier matters.
What if my travel plans change?
Travel plans can change throughout the planning process. Perhaps you want to add on a few more days or visit a different country.
If flexibility is a priority, consider a travel insurance provider that allows you to purchase coverage first and make changes to your policy, such as adjusting destinations or travel dates. Additional premiums may apply.
It's important to contact your insurer as soon as possible if your travel arrangements change to ensure your policy still suits your trip. Travellers should also review policy limits, exclusions and eligibility requirements before making amendments.
Consider purchasing travel insurance once you start making bookings. Image: Tourism and Events Queensland
Can I get travel insurance if I am already overseas?
RACV Travel Insurance is only available for purchase before your trip begins. You cannot buy a policy if your journey has already started. However, you can purchase coverage online until the day you depart.
The benefits available before your trip begins depend on the plan selected and the applicable policy terms and conditions.
Can I extend my travel insurance while abroad?
In many cases, yes - you can extend your travel insurance while abroad, although additional premiums may apply.
If you decide to extend your holiday while travelling, some insurers may allow you to extend your travel insurance policy before it expires.
However, eligibility requirements may apply, and extensions are not always guaranteed. If your policy lapses before you arrange an extension, you may not be able to continue coverage.
Travellers should contact their insurer as early as possible if they plan to stay overseas longer than expected. Make sure to check how to contact your insurer before you leave.
Travel plans can change throughout the planning process, so choose an insurer that allows you to update your policy until you depart. Image: Getty
What countries require travel insurance?
Some countries require incoming travellers to hold valid travel insurance as a condition of entry.
For example, to obtain a visa to Europe's Schengen Area countries, travellers must have valid travel insurance that covers the entire Schengen area, with a minimum cover of EUR 30,000 for medical treatment and repatriation.
Even where travel insurance is not mandatory, it can still be highly valuable. Overseas medical costs in countries such as the United States can be extremely expensive, and travel insurance may help cover eligible medical emergencies, hospital treatment and evacuation costs.
You should also check each country's safety status on Smartraveller, as your travel insurance policy won’t cover you for destinations marked 'Do Not Travel' by the Australian government.
Does travel insurance cover my entire travelling party?
Travel insurance typically covers all individuals listed on the policy, but this can vary depending on the plan you choose. This can be more cost-effective than buying individual policies for each person.
It's important to review the specifics of the policy to ensure that all members of your travelling party are covered. In addition, ensure that each traveller's details are accurately listed on the policy to avoid potential issues with claims.
RACV Travel Insurance has cover for dependent(s), for when you can take your little ones on holiday with you. Simply add your dependent(s) travelling with you to your Certificate of Insurance.++
*RACV Member discount applies to the premium only (not applicable taxes).
++ Dependant means any of your children, stepchildren, foster children or grandchildren who are 25 years of age or under at the time you purchase your policy, financially dependent on their parents or grandparents, not working full time, travelling with you for your entire trip and listed on the Certificate of Insurance as your Dependant. Dependants can be covered at no extra cost if they have not disclosed any medical conditions requiring assessment. Terms, conditions, exclusions, limits and sub-limits apply. Refer to PDS for full details.
Royal Automobile Club of Victoria (RACV) Limited (ABN 44 004 060 833, AR No. 1243563) (RACV) is an authorised representative of the RACV Travel Insurance insurer Tokio Marine & Nichido Fire Insurance Co., Ltd. (ABN 80 000 438 291 AFSL 246 548) (Tokio Marine). Tokio Marine Management (Australasia) Pty Ltd (ABN 69 001 488 455, AR No. 1313066) is an authorised representative of Tokio Marine, and administers RACV Travel Insurance as the managing agent on behalf of Tokio Marine.
Terms, conditions (including eligibility criteria), exclusions, limits and sub-limits apply. Any advice is general advice only, and does not take into account your specific objectives, financial situation or needs. Before you purchase, please consider the Combined Product Disclosure Statement (PDS) / Financial Services Guide (FSG) and Target Market Determinations (TMDs) available on RACV’s website, or on request from RACV.
