Travel insurance

The term does not describe one uniform statutory product. The policy and its insurance conditions determine which events are covered. The relevant points include the insured period, insured persons, maximum sums, deductibles, exclusions and policy obligations. A travel policy may combine several elements, including cancellation, trip interruption, travel health, baggage or rescue-cost cover.

For package travel, travel insurance must be distinguished from the organiser's responsibility. European Union law treats travel insurance as a financial service rather than as a travel service in its own right. At the same time, travellers must receive information about optional or compulsory cancellation insurance and insurance covering assistance and repatriation costs. Whether an insurer pays therefore generally depends on the actual cover and the insured event.

Depending on the type of insurance, the Austrian Insurance Contract Act may make notification, information and loss-mitigation duties relevant. In indemnity insurance, reasonable measures to prevent or reduce the loss are particularly important. Travel insurance does not automatically create a price reduction for a travel defect and does not replace claims against the organiser. For the distinction between these responsibilities, see the overview of package travel and the organiser. The related duty to mitigate loss explains the requirement to keep avoidable loss to a minimum.