Which? slams ‘outdated’ travel insurance limits

Consumer campaigning organisation Which? has called on travel insurers to raise the limits for valuables lost or stolen abroad after it found that most policies failed to cover the full cost of items people regularly take on holiday, including smartphones and laptops.

The Which? study looked at the standard policies from the largest 20 travel insurance companies and compared their single item and total valuables limit. It concluded that nearly all had set “unrealistically low” limits on what consumers could claim back – potentially leaving them hundreds of pounds out of pocket.

All the companies had a single item limit for valuables of £300 on their standard or mid-range policies, while three-quarters set the overall valuables limit at £400 or less. Nearly all the companies had an excess fee of £50.

Which? members estimated the average value of their laptops at £671, iPads at £428 and smartphones at £372. A poll of 1,300 Which? members found that 52% took a smartphone on holiday, 24% took a laptop and 20% took an iPad.

Insurers told Which? that consumers could find greater cover for their valuables when travelling abroad on their home insurance.

Which? executive director Richard Lloyd said: “Travel insurance has not kept pace with the changing times. Insurers should raise the outdated limits for everyday items like smartphones and laptops or, at the very least, always clearly offer the option of cover at a higher premium.  It’s not good enough to expect people to use their home insurance policy to pick up the tab.”