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Family travel insurance is one policy that covers the adults and their dependent children travelling together. Many insurers include dependants at no extra premium when they travel with you, as long as they meet the policy's definition of a dependant. That definition, and whether benefit limits are shared across the family or apply to each person, are the two things that decide whether a family policy is good value.
Families also have more to lose to cancellation. One sick child can cancel a trip for everyone, and school-holiday bookings are usually paid well in advance, so the cancellation limit matters as much as the medical cover.
By Better Rate Mate Editorial Team ยท Last reviewed
Each Product Disclosure Statement (PDS) defines a dependant. The usual elements are an age limit, being financially dependent on you, not working full time, and travelling with you for the whole trip. Some insurers include grandchildren travelling with grandparents; others do not. A child over the age limit, or one who joins or leaves the trip part way, may need their own policy.
This is where family policies differ most. Some benefits are paid per person, others are capped for the whole policy. Luggage and cancellation are the usual shared limits, and a luggage limit that sounds generous for one traveller can be thin once it has to cover four people's bags, devices and prams.
| Term | What it means | Why it matters for families |
|---|---|---|
| Dependant definition | Age, dependency and travel-together conditions in the PDS | Decides whether each child is covered at all |
| Per-person vs per-policy limits | Whether a benefit is capped for each traveller or for everyone together | Shared caps shrink quickly across a family's luggage and bookings |
| Cancellation amount | The most the policy pays towards prepaid, non-refundable costs | Must cover the whole family's flights and accommodation |
| Item limits | The cap on any single item, such as a phone, laptop or pram | Children's gear and devices often exceed per-item caps |
| Pre-existing conditions | Conditions of every traveller, including children | Asthma, allergies and other childhood conditions need declaring too |
| Single-parent option | A policy for one adult and their dependants | Avoids paying for a second adult who is not travelling |
Declare pre-existing conditions for every traveller, children included. Asthma, anaphylaxis and other allergies, epilepsy and diabetes are all conditions insurers ask about, and some are covered automatically if they meet stated criteria. An undeclared childhood condition is treated no differently from an adult's at claim time.
Family trips are often booked months ahead to lock in school-holiday fares, and the longer the gap between booking and departure, the more chance something stops the trip. Buy the policy when you book so cancellation cover starts straight away. Check that the cancellation amount covers every traveller's non-refundable costs, and what the policy says about cancelling because a child or a close relative at home falls ill.
Families who travel overseas more than once a year, or who take several domestic trips that meet an annual policy's conditions, can find an annual multi-trip family policy cheaper than buying cover for each trip. The same catches apply as for any annual policy: every trip must fit the maximum trip length, and the region must cover the furthest destination you visit that year.
Standard policies cover most ordinary holiday activities, but snow sports usually need an add-on, and some adventure activities are excluded. If the trip includes skiing, a ski school or anything that involves hiring motorised vehicles, check the activities section of the PDS for every traveller, not just the adults.
Many insurers include dependent children at no extra premium when they travel with the adults on the policy. Whether a child qualifies depends on the PDS definition of a dependant, which usually sets an age limit and requires the child to travel with you.
Usually a child under the policy's age limit who is financially dependent on you, not working full time, and travelling with you for the whole trip. Some policies include grandchildren. The definition is in the PDS.
Often, because dependants may be included without extra premium. The trade-off is that some limits, such as luggage and cancellation, may be shared across the family instead of applying to each person, so compare the limits as well as the price.
Yes. Many insurers offer a single-parent or one-adult family option that covers one adult and their dependants, so you are not paying for a second adult who is not travelling.
Yes. Pre-existing conditions must be declared for every traveller on the policy, children included. Some common conditions are covered automatically if they meet stated criteria; others need assessment.
