Got a minute? Compare 100+ travel insurance policies.

It’s a fair question. After all, you might have never had to lodge a claim in the past, so why even bother with it for this trip? Well, consider these factors:

• Doesn't Medicare already cover me overseas? Medicare will not cover you overseas. The Reciprocal Health Care Agreement will only cover you for some expenses in some countries, so you could still end up paying tens of thousands of dollars in medical bills.
• What's the risk of not having overseas medical expenses cover? Our friend, Will, offers a real-life example: He broke his ankle while travelling in Lima, Peru. Two weeks in hospital, surgery and flights home cost AUD$41,000. Find out just how much it costs to stay in different hospitals per day around the world.
• What does travel insurance cover? Cancelled flights as well as lost, damaged or stolen luggage and valuables are frustrating and costly. Why risk losing thousands when you can cover yourself for as little as $15*?

• Is travel insurance compulsory? No, but you will be required to have travel insurance in order to gain entry into some countries, including Cuba, Bulgaria, the Czech Republic, Slovakia, Poland, Ukraine, Latvia, Lithuania and Estonia.
• What happens if I don't have cover? Hefty hospital bills and repatriation home could literally leave your family or friends hundreds of thousands of dollars in debt.
• Are my kids covered? Most brands cover your dependent children for free. Find out more about travel insurance for children travelling alone.
• Doesn't my credit card travel insurance cover me? There is often an increased level of conditions for cover to be activated and for when a benefit will be paid. Domestic travel is also generally not covered. Check out our list of pros and cons of buying standalone versus credit card travel insurance.

Here's a checklist for comparing and purchasing travel insurance online.

1. Where are you travelling?

• Are there risks specific to that country you should be aware of and is it covered by your insurer? If there has been a travel warning issued against travelling to the country, you may not be able to apply for cover. The Smartraveller travel advisory page will have details of those countries not recommended for travel.
• Get cover for every country you are travelling to. You may need to get a worldwide policy if you're travelling to both Europe and the United States.
• Regions covered vary among insurers so make sure you check what countries your insurer covers before purchasing.

2. Do you need extra cover for your trip?

• Do you need extra cover for winter sports or adventure activities that aren’t automatically covered?
• Do you need cover for a pre-existing medical condition?
• Are you taking valuable items with you that exceed the maximum value of a payout?
• Are you a senior traveller? (Age limits and costs vary among insurers.)
• Do you plan on paying for flights, accommodations or tours in advance? Consider how much you will need to cover cancellations.
• Who are you travelling with? Need a family policy with free child cover or that will also cover your spouse?
• Are you travelling with a large group? (You might be able to get a discount.)
• Are you not returning home to Australia? Most insurers will require you to depart from and return to Australia in order to take out cover, although a few insurers will provide cover if you are planning on staying on elsewhere.

3. How long are you travelling for? Are you a frequent traveller?

• If you travel often, an annual policy might be more affordable and convenient. Just be aware of the maximum period of travel permitted for individual trips (usually 30-90 days).

4. Know what to look for when choosing your policy:

• Make sure you check out the range of benefits and the maximum payment for each claim.
  • How much will you be paid if your luggage or valuables are lost, stolen or damaged?
  • When will you be covered if you have to cancel your flight or accommodation?
  • How much will you be reimbursed if you suffer a medical emergency?
• What excess will you be charged when making a claim? Can you remove the excess for a small fee?
• What won’t you be covered for? There are some countries, sports and activities that are not covered by travel insurance.
• Are any medical conditions you have covered automatically?
• Already overseas? Only certain policies will cover you if you are already overseas, and there is usually a waiting period of about 7 days before your cover is activated.
• How flexible is your policy? Can you amend or extend cover easily enough? Most single-trip policies only provide cover for up to 12 months. If you wish to extend the period of cover, you will usually need to contact the insurer to give your reasons for extending the policy and pay the additional premium.

The last thing you need is to be left stranded overseas if your claim is rejected. Know exactly what you are covered for and avoid a nasty surprise at claim time.

Had a few drinks? Jumped on a moped after a few drinks and ended up hitting a ditch in downtown Kuta? Yep, you’re not covered. Insurers do not pay claims that arise while you were under the influence of drugs or alcohol.

Renting a motorcycle or moped? You’re only covered if you have a current Australian motorcycle licence and you wear a helmet. Also, the moped's engine needs to be under the capacity specified by the insurer, usually under 50cc.

Hang-gliding or jumping out of a plane? Not all activities will be automatically covered. Each insurer will have a list of high-risk pursuits that are excluded from cover, which are specified in the PDS. Find out what these are and if you need to purchase any additional cover.

Lost an expensive item? Policies will have limits applied to what will be paid for an item, which may not measure up to what it's worth. Consider getting specified cover to protect expensive items.

Had to pay more once you returned home? You’re only covered for expenses incurred while on your trip overseas, not once you have returned home to Australia. For example, Will was surprised to find out his physiotherapist and specialist appointments were not covered by his policy after he returned to Australia.

Ended up in a war zone or a riot? Very few insurers cover claims that are the result of you travelling to a country under a travel advisory issued by the Department of Foreign Affairs and Trading (DFAT) or other warning issued by the government or mass media. This may include strikes, riots, bad weather, civil unrest, contagious diseases, epidemics, pandemics, or threats of epidemics or pandemics. Claims that arise while you're in a country under a do-not-travel warning will not be covered.

Left your bag in the back of the taxi? Most insurers do not cover theft if you did not take reasonable care to protect your belongings. Insurers do not cover theft of expensive items that have been left unattended.

Final stages of pregnancy? Generally, insurers exclude cover for complications that arise past the 26th week of pregnancy, although the specifics of cover do vary from one insurer to the next. Some insurers only provide cover for up to 23 weeks while others may cover up to 32 weeks. Always check your PDS before purchasing.

Waited too long before contacting your insurer or making a claim? Most insurers will require you to notify them of any event leading to a claim within a certain time period, some even as quickly as 24 hours after the event. Find out what this period is and the maximum period of time following your journey that you can lodge a claim (usually about 30 days).

Still unclear on a few things? Here are some answers to  questions you might have.

1. Purchasing your policy

2. Choosing the right option