BY JOHN ELLIS, FINANCIAL ADVISOR
In a time where the cost-of-living squeeze shows no sign of easing, it is surprising that many people are still planning multiple overseas trips this year. Recent surveys reveal that more than half of us plan three or more holidays in 2026, with Spain topping the list as the favourite. Yet, amid the excitement of booking flights and hotels, averaging €2,500 a trip, a shocking number are gambling with their finances and health by skipping travel insurance.
Analysis of data from the Competition and Consumer Protection Commission (CCPC) and insurers like multitrip.com and AA Ireland paints a worrying picture. One in three holidaymakers jets off with no travel insurance, rising to nearly half among those under 35.
Why the oversight, and what are the real risks? It might seem like a way to cut costs. Travel insurance is inexpensive with an annual family policy starting at €70, compared to the thousands spent on the holiday itself.
The CCPC’s research shows that 16% of travellers faced problems last summer, from flight delays and cancellations to lost luggage and scam bookings. Younger people, who are most likely to encounter issues, are also the least insured.
This generational gap could stem from a mix of overconfidence and financial pressures. Under-35s might feel invincible or prioritise experiences over precautions. However, as CCPC’s Orla Delargy warns, “expect the unexpected”, not just abroad, but before departure. Strikes, extreme weather, or personal emergencies can derail plans, and not buying insurance before a problem arises leaves you uncovered.
The financial fallout of going uninsured is stark. A mild heart attack in the US could rack up €250,000 in bills, while an air ambulance from the EU might cost €20,000. Even a cancelled family trip due to bereavement could mean losing €3,000, far more than a policy’s price.
Jason Whelan of multitrip.com highlights how people value their breaks but undervalue protection. Myths exacerbate the issue. Many assume the European Health Insurance Card (EHIC) or private health cover will suffice. Neither helps with cancellations, theft, or non-medical disruptions. Overseas hospitals often demand insurance details upfront, adding stress when you are already vulnerable.
What does good cover include? Standard policies from providers typically manage medical emergencies, trip cancellations, baggage loss, and personal liability. For frequent travellers, annual multi-trip options make sense, offering better value than single-trip deals.
But analysis reveals pitfalls in the fine print. Exclusions for pre-existing conditions, high-risk activities like skiing, or valuables not kept in a safe. Some will not pay out if a non-travelling relative’s long-term illness leads to cancellation. Timing is crucial as 50% of claims occur pre-departure due to illness or death. Buy cover the moment you book.
Choosing wisely involves assessing needs. Adventure seekers need extras for sports, while families might prioritise higher cancellation limits. Comparing via brokers and reading reviews helps avoid cheap but skimpy options. The key is transparency. Disclose conditions honestly, or risk your claim being rejected.
In the grip of an ongoing cost-of-living crisis, it’s understandable that some might cut corners on extras like insurance to stretch their holiday budgets further but, as surveys from multitrip.com and the CCPC underscore, this false economy overlooks the immense value of affordable protection that could prevent far greater financial hits.
Travel insurance is not a luxury. It is a safeguard in an unpredictable world. With pandemics, volcanoes, and strikes still fresh in memory, skimping could turn a dream holiday into a nightmare. Irish holidaymakers, already spending big on getaways, should rethink priorities. Buy early. Scrutinise the details of the policy and travel with peace of mind. It is a small price for priceless protection.
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