Why the cost of holiday insurance will soon go sky high

Why the cost of holiday insurance will soon go sky high: Premiums expected to rise by 10 to 20% after UK leaves Europe

Travellers are being encouraged to buy their annual travel insurance policies before the year ends to avoid post-Brexit price increases.

An annual policy starts at less than £20 for travel to Europe and just over £45 for worldwide, according to comparison site MoneySuperMarket.

But experts suggest travel insurance premiums could increase by 10 per cent to 20 per cent after the UK leaves the single market.

Experts suggest travel insurance premiums could increase by 10 to 20 per cent after the UK leaves Europe

Holidaymakers will also no longer be able to use the popular European Health Insurance Card, after they expire. 

The card gives you access to state-funded medical treatment in EU countries, although this should not be used in lieu of proper travel insurance. 

Extra features to cover cancellations related to Covid-19 have also been added to a number of policies, which experts say will further push up premiums.

When looking for holiday insurance, make sure it covers the value of your baggage, personal belongings and cash you are bringing. 

Cancellation cover should be equal to or higher than the cost of your trip, including excursions. 

Medical cover of £2million should be enough and around £1million is recommended for personal liability, in case you are held responsible for damaging property or injuring someone.

Aim for a low excess, which you must pay towards your claim, of no more than £100.

a.murray@dailymail.co.uk

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