Travel insurance is designed to protect you and your possessions when you travel overseas. In general a travel insurance policy will pay out for costs associated with becoming ill abroad. This could include the costs of seeing a doctor or a hospital stay.
Travel insurance will also pay out if you lose or damage valuable possessions when you are abroad. Travel insurance will cover you against the costs of accomodation or flights that you have paid for in case the airline or tour operator goes bust and does not provide the goods or services that you have already paid for.
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