Travel Insurance: How to Choose the Best Insurance for Your Vacation

Are you going on vacation? I have no doubt that you already have everything planned and packed, but even if you plan carefully, you never know what might happen and go wrong. And that’s where travel insurance comes in. In this guide “Travel Insurance: How to Choose the Best Insurance for Your Vacation” I will explain how to pick the right policy for your trip.

It may seem like another unnecessary expense, but in reality, it’s one of the most important investments you can make before your trip. Why? Because it protects you from unexpected events that could cost you not only stress but also unnecessarily large sums of money.

What is Travel Insurance and why is it Important

Travel insurance provides financial protection when traveling, whether it’s for medical treatment abroad, lost luggage, or an unplanned trip cancellation. It’s a safety net that can help you prevent disasters and horror stories from a ruined vacation.

Many people don’t realize how expensive medical care abroad can be. For example, hospitalization in the USA or treatment for a fracture in the Alps can cost hundreds of thousands. And without travel insurance, these costs could financially ruin you. In short, a few tens of crowns spent on travel insurance can save you hundreds of thousands, even millions. And that pays off, right?

Travel Insurance from ERV

If you have a vacation coming up, we recommend arranging insurance with European Insurance Company, which can be done easily online.

For single trips abroad (vacation, business trip, or study stay), their SingleTrip package is ideal, covering you for up to 360 days. You can choose from three variants:

• Standard: Basic insurance with limits for regular stays, which can be extended with additional coverage (e.g., trip cancellation or winter sports). Price starts from 44 CZK per day.
• Comfort: Extended coverage for active vacations with higher limits and the option for additional coverage. Price ranges from 56 CZK per day.
• Premium: The highest variant with maximum coverage, also including departure and trip interruption insurance. Price starts from 74 CZK per day.

Each variant is customizable according to your needs, for example, with additional coverage for pets or risky sports.

However, if you take multiple trips during the year, MultiTrip annual insurance might be useful for you. The insurance covers an unlimited number of trips abroad (each up to 60 days) and saves you money, time, and extra worries. The price starts from 1490 CZK per year, and the insurance can be arranged for individuals, partners, or even the whole family.

European Insurance Company offers tailored services to individuals, businesses, and travel agencies. Their Czech assistance service is available 24 hours a day, 7 days a week, and thanks to a dense network of contracted medical facilities, ERV provides fast and professional help in emergencies.

Travel Insurance: How to Choose the Best Insurance for Your Vacation

Not every insurance is suitable for every trip. If you are planning a relaxing beach vacation, you will need different insurance than if you are planning an active mountain vacation or a trip to exotic destinations. For example, riskier destinations or activities, such as skiing or surfing, require special coverage.

When choosing travel insurance, it’s also important to think about your personal needs. Do you only need basic medical expense coverage, or would baggage and trip cancellation insurance be beneficial for you? We have listed the basic factors you need to consider when choosing insurance:

• Trip specifics: Where are you traveling and for how long? There’s a difference whether it’s a business trip, vacation, study stay, or active holiday. Some destinations may require special coverage. Are you planning a short trip or a longer stay?
• Scope of coverage: Make sure the insurance covers acute medical treatment, hospitalization, or repatriation to your home country. Also consider whether to add coverage for other situations that may arise, such as lost luggage or trip cancellation.
• Other specific requirements: If you plan to engage in adrenaline sports or other risky activities, make sure your insurance covers them. If you are traveling with a pet, it might be worth insuring them as well. Veterinary care costs and any damage caused by the pet can be very high.
• Coverage limits: Check the maximum amounts the insurance covers for individual events (e.g., healthcare, luggage, liability). Make sure these limits match your needs and destination.
• Exclusions and limitations: Carefully review what the insurance does not cover, such as pre-existing medical conditions, specific activities, or certain destinations.
• Assistance services: Find out what assistance services include, such as 24/7 hotline, help with lost documents, legal advice, or remote medical consultation.
• Insurance price: Compare insurance prices, but also focus on the scope of coverage and terms. Cheaper options may not always provide sufficient coverage. Sometimes the price difference isn’t that big, but the coverage scope is.
• Reviews and insurer’s reputation: Read reviews and experiences of other travelers with a specific insurance company.

TIP: If you’re going on vacation, trip, travel, and accommodation cancellation insurance might be useful. Whether illness, damage to your apartment, job termination, or other serious reasons get in your way, you don’t have to worry about losing your money.

What Does Travel Insurance Include

Depending on the specific package and insurer, travel insurance may include:

• Medical expenses – coverage of costs for medical care abroad (hospitalization, medical treatment, medications).
• Assistance services – 24/7 help in medical or other emergency situations.
• Liability insurance – coverage for damages caused to a third party (e.g., property damage, personal injury).
• Baggage insurance – coverage for loss, theft, or damage to luggage.
• Trip cancellation insurance – reimbursement of costs associated with unexpected trip cancellation.
• Flight or baggage delay insurance – reimbursement of expenses in case of flight or baggage delay.
• Accident insurance – financial compensation for permanent injury or death during a trip.
• Risky sports insurance – coverage for sports activities not included in standard travel insurance (e.g., skiing, diving, surfing).
• Legal protection insurance – assistance in resolving legal disputes abroad.
• Hotel and flight cancellation insurance – coverage for unused services in case of illness or other unexpected events.

Types of Travel Insurance

Types of travel insurance vary according to the length of the planned trip:

• Single-trip (short-term) travel insurance: This insurance is designed for individual trips lasting from a few days to several weeks. It is ideal for classic vacations, business trips, or shorter stays abroad.
• Long-term travel insurance: This type of insurance is suitable for travelers planning a longer stay abroad, usually for several months. It is often used for work stays, long-term studies, or extended trips.
• Annual travel insurance: Annual insurance is ideal for those who travel frequently and want to be insured throughout the year. It covers an unlimited number of trips, with each individual trip potentially limited by a maximum number of days.

What Insurance Limits to Choose

When choosing travel insurance, pay attention to the insurance limits, especially for medical expenses. These cover the costs of medical treatment, medications, transport to a hospital, mountain rescue intervention, or hospitalization – items that can easily reach millions in foreign countries.

If you are going on a classic “relaxing” vacation in Europe, we recommend setting the medical expense limit to at least 1.5 million CZK. However, for an active vacation, it is more appropriate to increase the limit to at least 3 million CZK. This coverage should be sufficient for most trips, but it always depends on your destination and the activities you plan to do there.

If you are traveling to countries outside Europe where healthcare costs are higher (e.g., USA, Japan, Australia), consider increasing the limit to 10 million CZK or more. It’s always better to have a larger reserve than to underestimate the situation.

Travel Insurance: Sports and What to Watch out For

When choosing travel insurance, don’t forget to thoroughly check which sports your travel insurance covers. Insurance for sports activities can be offered either as an additional service or may be included in a given package, but often with limitations on specific sports and conditions. Also keep in mind that most insurance companies offer risky sports like surfing, skiing, or mountaineering as an add-on.

Also make sure that in case of an accident, injury, or causing damage to another person, you are not under the influence of alcohol or other intoxicating substances, because in such situations, the insurance company will not pay anything.

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