Travel insurance so confusing even provider’s helplines are getting it wrong, Which? finds

Not only are travel insurance policies riddled with confusing exclusions and ambiguous terms, a new Which? investigation has found that even customer service advisers at major insurers are struggling to explain what is and isn't covered.

The consumer champion recruited a small panel of volunteers to look through insurance policy documents from three big-name brands: M&S Bank, Tesco Insurance and Virgin Money and tell Which? whether they thought they would be covered for a series of realistic but challenging holiday mishaps, ranging from missed flights and medical emergencies to stolen gadgets and natural disasters.

The panel, which included people of all different education levels and ages, mostly said that they found the three policies ‘fairly understandable'. The problem, however, was that for some questions nearly everyone who answered the questions had misunderstood the policy and got the answers wrong. 

As well as the panel of volunteers, Which? also mystery shopped the insurance firms' customer helplines but found advisers were often equally confused and got some of the answers wrong. This could leave customers vulnerable to nasty shocks when disaster strikes abroad.

Out of the nine scenarios, the volunteers got 55 per cent of the questions right for M&S, compared with 57 per cent for Virgin and 69 per cent for Tesco.

One of the scenarios volunteers were asked about was whether the travel policy would pay for a new flight if a flight delay had led to a missed connecting flight. None of the volunteers realised they would not be covered with Virgin, however all six correctly assumed they would be with Tesco and M&S. The findings show how important it is that insurers that have this as an exclusion flag it in the policy document, as customers could easily be caught out.

Another scenario the panel were asked about was whether medical expenses are covered should you twist your ankle after drinking three pints of beer. Five of the six of Which?'s volunteers incorrectly thought they would be turned down by Virgin while three of the six got it right for Tesco, and two for M&S. 

Which? also asked about cover for a new hotel and early flights home if a forest fire breaks out near the policyholder's villa. Almost all of the volunteers thought they would get their money back, however this would not be the case if they were insured by Tesco or Virgin. Five out of six got it right for M&S - the only insurer out of the three that would cover travellers in this event.

When it came to cover for stolen property, all three insurers included in Which?'s study would reimburse a customer for an expensive new iPad taken from their bag on the bus but not if it was in a suitcase or left in a hotel room. For Tesco and Virgin, the whole panel got this right, compared with only half of the M&S volunteers. 

The other scenarios that the volunteers were asked about were seeing a doctor and incurring medical costs, stolen cash from an Airbnb, a family illness meaning you have to cancel your flight and contracting Covid when away. 

It is perhaps not surprising that the volunteers struggled to find the answers - but when Which? phoned up the insurers' helplines, the advisers were often equally confused. 

Tesco staff got the answer about the iPad wrong and answered ‘Don't Know' in three other scenarios that Which? presented.

When Which? spoke to M&S, staff said ‘don't know' twice and were stricter on alcohol, telling researchers they would not be covered for a fall after three pints. Despite this, M&S had the most comprehensive cover of the insurers Which? looked at.

Virgin's team did not give Which? any ‘don't knows', but incorrectly told the consumer champion that they wouldn't be covered for the stolen iPad or for cancelling their trip due to a family illness.

The most important thing when choosing travel insurance is how much the policy covers. On this basis, M&S was the clear winner covering seven out of nine. Tesco Insurance would cover six out of nine. With Virgin Money's policy policy holders would be covered for just three out of the nine scenarios – however when Which? contacted them about a clause in its policy excluding cover for Covid treatment for customers who'd skipped the most recent vaccination offered to them by the NHS, it said it was removing this exclusion. 

All three insurers said they would consider Which?'s feedback when reviewing their travel policies.

Rory Boland, Editor of Which? Travel said:

“If you miss a connecting flight or have a medical emergency, having the right insurance is crucial. Our research shows how difficult it can be knowing what you are covered for and it seems that the providers aren't even sure themselves.

“Insurance should be a safety net but travellers have no chance of knowing where they stand if the policies are not simple to understand. 

“Insurance companies need to ensure that their terms and conditions are clear to avoid any further confusion.

“The insurance industry must also do more to properly train customer service staff.”

ENDS

Notes to Editors

List of scenarios:

• An aunt, who you've been helping to care for, becomes seriously ill just before your flight, meaning you have to cancel or delay your holiday

Covered by Tesco and M&S yes, not Virgin.

• You skipped the most recent Covid vaccination offered to you by the NHS, then contracted Covid on holiday and ended up in hospital. Are your overseas medical expenses covered?

Covered by Tesco and M&S, Virgin no but they are looking into this

• You fall down some steps after leaving a bar, breaking your ankle. You'd had three pints of strong local beer. Are your medical expenses covered?

Covered by Virgin, not by Tesco, M&S ‘maybe, we try to be reasonable'.

• Your expensive new iPad is stolen from your bag on the bus. Can you claim for it?

Covered by all three

• Your Airbnb is broken into while you're out, and thieves steal $250 in cash that was in a coat pocket. Can you successfully claim?

Covered by Tesco, not by M&S and Virgin

• A delayed flight means you miss your connection for your next flight. Will your travel insurance cover a new one?

Covered by Tesco and M&S yes, Virgin no

• Your leg starts aching a few days before your holiday. You can't get a doctor's appointment until after you get back, but it gets much worse while you're abroad and you have to pay to see a doctor. Will your insurer cover the medical costs?

Covered by M&S, not by Tesco and Virgin

• A forest fire breaks out near your villa. You have to move to a hotel, then book an early flight home. Will insurance cover the hotel and flight?

• Covered by M&S, not by Tesco and Virgin

• You become ill on a holiday to Wales, 75 miles from your home. Can you get back the cost of nights in hotels not used?

Covered by all three.

About

This is a snapshot investigation and Which? chose to check M&S Bank, Tesco Insurance and Virgin Money because they are big brands with huge numbers of customers, however Which? believes these findings are deeply indicative of the insurance industry as a whole.

There were nine volunteers in total, who each looked at two insurance documents, meaning that each document was read six times.

Which? then phoned each travel insurer three times, asking them three questions about their policies.

Unusual exclusions to look for in your policy

Your cover is likely to have at least one exclusion to look out for including volcanic ash clouds, jumping from a balcony, losing your phone and nuclear war.

Useful links:

• Best travel insurance companies and policies 2025