A serious traffic accident, a fire in your apartment, or your child needing hospital treatment for appendicitis – many situations can mean you can‘t start your long-planned trip or have to cut it short.

This is where trip cancellation insurance helps: it reimburses the cancellation fees your tour operator charges if you have to cancel a trip you‘ve already booked. You can also protect yourself financially if you have to return home early and can no longer use services you‘ve already paid for, for example if a close relative becomes seriously ill or passes away.

Cover can also apply if unexpected complications occur during pregnancy, if you experience an intolerance after a vaccination, or if you can‘t leave your home unattended – or must return quickly – due to burglary, fire, severe storm damage, or other natural events.

Sometimes it happens on the very first day: your suitcase is stolen. The tour operator is liable – if at all – only up to a limited amount. Anything beyond that can be covered by travel luggage insurance. It can be taken out as a weekly, monthly, or annual policy.

Travel luggage insurance protects you worldwide against financial loss caused by loss, destruction, or damage to your personal belongings you carry with you.

Reimbursed: current value or repair costs
Covered under travel luggage insurance are all items for your personal travel needs and items worn on your body or in your clothing, checked luggage or hand luggage, travel souvenirs and gifts, as well as sports equipment you bring with you including accessories and protective gear.

As a rule, the insured amount is the current value of the items you take with you – meaning the replacement value minus an appropriate deduction for wear and tear, age, and use. For damaged items, the insurer covers repair costs up to the amount of the current value.

When travelling beyond Germany‘s borders, private international travel health insurance gives you solid protection. Statutory health insurance funds reimburse treatment costs only if you are travelling in an EU country or in a country that has a social security agreement with Germany.

Even then, the rule is that medical costs are reimbursed only up to the level that is customary in Germany. Outside Europe, you are often treated as a private patient and may have to pay very high doctor or hospital bills yourself. These costs – for example in the USA – can easily exceed a year‘s income. Statutory health insurers also do not cover transport back home.

Medical transport home is also covered
International travel health insurance pays for medical treatment for acute illnesses and accidents, and it reimburses the costs of inpatient treatment, pain-relieving dental treatment, and medication, dressings, and remedies.

In addition, it covers medically necessary repatriation to Germany, as well as the costs of repatriation in the event of the death of an insured person or funeral costs incurred abroad.

You can take out international travel health insurance either as a time-limited policy for a specific number of travel days or as an annual policy for any number of trips within one year.

On the road with a rental car
If you want to explore your holiday destination on your own, a rental car is often the first choice. Especially in Southern Europe, rented vehicles often come with lower liability limits than in Germany.

After an accident, that can get expensive: if you cause an accident as the driver of a rental car and the injured party‘s claims exceed that minimum limit, you have to pay the difference out of your own pocket.

Affordable protection with the “Mallorca policy”
You‘re on the safe side if you already have rental car third-party liability cover at home – often called the “Mallorca policy”. You can get it for just a few euros from German car insurers.

In its basic version, it applies within Europe and can be taken out for a few weeks or for several months. Depending on the insurer, the Mallorca policy may already be included in your existing motor insurance – simply ask or check your contract.

If you need this additional cover worldwide, you can choose a so-called Traveller contract.

Tip: In the event of an accident, notify the police immediately and inform the vehicle rental company. And if you don‘t have injuries confirmed by a doctor, you risk them not being recognised by the liability insurer of the party at fault.

Maximum cover
Even if you are travelling abroad in your own car, you need the right insurance protection. For motor third-party liability insurance, the rule is: agree the highest possible level of cover.

As an add-on, taking out comprehensive cover is recommended. Partial comprehensive insurance covers damage caused by theft, fire, storms, collisions with wild animals, and glass breakage. Fully comprehensive insurance also pays for damage from accidents you cause yourself. In addition, fully comprehensive insurance can pay if you are harmed in a car accident abroad and the damage caused is not properly settled by the party at fault.

As a general rule, you should carry the Green Card as proof of insurance on every trip abroad, as well as a “European accident statement” that provides help with completing the form in ten languages.

Affordable and helpful: roadside assistance
Also useful and affordable is roadside assistance. In the event of an accident or breakdown, it reimburses costs within defined maximum limits for recovery, towing, and storage of the vehicle, shipping spare parts, repatriation if the driver falls ill, necessary overnight stays, and, if required, a rental car.

You can get roadside assistance from all German motor insurers and from automobile clubs.