RSS FeedTravel insurance cap may not fit Sydney Morning Herald
The more you take on holiday, the more you stand to lose if you're not adequately covered.
With an increasing number of travellers packing expensive electronic gear such as iPhones and laptops, people are being warned to check their insurance policies for the size of any "excess" that applies before they qualify for a payout, as well as payment caps on individual items.
While a policy may offer several thousand dollars of cover for lost baggage, you may have to bear the first few hundred dollars of a loss - the excess - which means it won't be worthwhile claiming something like a stolen camera worth $500.
Also, there may be caps on payments for individual items such as mobile phones and computer equipment, which means you might get back just $500 of the $3000 value of your stolen laptop.
In one case reported by the Insurance Ombudsman, a traveller lost jewellery valued at $160,000 - about 10 separate items - only to discover their policy had a cap of $500 an item.
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