Are you travelling on your own or with your family or as part of a group? If you are buying insurance for more than one person, a joint policy is likely to work out cheaper than separate policies for each individual. The kind of cover you will be looking for will depend on how much cover you already have. Your possessions may already be covered through an all risks clause on your home insurance policy and your actual travelling costs may be covered by insurance through your credit card (assuming you used it to purchase the holiday tickets). When you buy travel insurance you may not be asked to fill out a detailed application form. This does not mean that there are no policy exclusions and it certainly does not mean that you should keep quiet about anything likely to affect your holiday, such as medical conditions or your plans to try skydiving for the first time!

There are some dangers you might face while on holiday which will not be covered by any travel insurance policy. These include detention or confiscation of belongings by Customs or any other government officials. You will also find that nobody will cover you against the risk of radioactive contamination. You may feel that both of these possibilities are remote enough not to worry about. However, there are more prosaic dangers that may be equally expensive and life threatening in that order: no travel insurance policy will cover you against losses as a result of exchange rate movements or against HIV infection or AIDS.

Travelling abroad you should remember to take your passport and tickets, together with any visas or entry permits and, where necessary, vaccination certificates. You should also have a copy of your travel insurance policy with you. If you’re taking your own car abroad or are likely to be hiring a vehicle you should also have an International Drivers Licence and your motor insurance certificate green card. If you are taking your own car you should also have a copy of your car registration document. Finally, don't forget your travellers' cheques, foreign currency, credit cards and, for the last stage of the return trip, some Sterling.