Domestic travel insurance
Most people wouldn’t dream of going overseas without a good travel insurance policy, but it can be easy to overlook the risks when you’re travelling in your home country.
This can be a costly mistake. Here’s how a domestic travel insurance policy can keep you protected.
Why you need it
Even in familiar territory, things can go awry.
A domestic travel insurance policy can provide financial protection for a range of unexpected situations, giving you greater peace of mind when travelling around this great southern land of ours.
While you may have to be a certain minimum distance from home for it to apply, domestic travel insurance can provide a level of cover for last-minute trip cancellations, loss or damage to luggage, and stolen property. It can even help pay your rental vehicle insurance excess and third-party damages if you are stuck with the bill after a fender bender.
What it covers
As most Australians are already covered by Medicare or private health insurance, domestic travel insurance is designed to cover other unexpected events, including:
• Trip cancellation, deposit reimbursement and emergency expenses. A domestic travel insurance policy can reimburse you for your airline tickets, hotel stays and other deposits in case you need to cancel your trip due to injury, a death in the family, and other covered emergencies.*
• Luggage cover and baggage delay. Can help pay for loss of and damage to your luggage and contents should your checked baggage take a detour to the wrong city or get squashed in transit. More comprehensive policies may also include a limited amount of cover for baggage delays.*
• Personal belongings cover. This provides cover for things like cash, jewellery and electronic equipment such as cameras and phones. Items covered and excess levels may vary widely by insurer and whether you have a Basic, Mid-Range or Comprehensive policy. Check your policy’s terms and conditions for details.
• Hire car excess waiver. Even if you buy hire car insurance when renting a car, you may still be responsible for the excess. A hire car excess waiver can pay for your hire car excess if you’re involved in an accident, so you don’t end up out of pocket.*
• Personal liability. Provides you with a level of cover if you become liable to a third party because you accidentally injure someone or cause damage to their property. Bear in mind you won’t be covered for alcohol-induced mishaps.*
As you look for the right domestic policy, remember there’s a big difference between basic and comprehensive policies.
So, paying a little extra up-front for better coverage might end up being well worth it if you need to make a claim.
Consider an annual (multi-trip) policy
If you travel frequently throughout Australia on business or to visit family, an annual (aka multi-trip) policy can make good financial sense.
Annual travel insurance allows you to jet off as many times as you want in a 12-month period, with all your trips covered under the same policy. That means you won’t have to organise individual policies for each trip, potentially saving you both time and money.
When buying a domestic multi-trip policy, keep in mind that a maximum trip length will apply. This could be 30 or 60 days per individual trip, and each trip must take you a minimum distance from your home in order to qualify for coverage – typically 250 kilometres.*