Is it compulsory to take out travel insurance?

No, not for most destinations as a European tourist, except for specific cases (Cuba, some post-COVID routes, certain study visas or Digital Nomad Visa). Even when it is not compulsory, it is strongly recommended: healthcare costs without insurance can exceed tens of thousands of euros in countries such as the USA or Japan, and in most destinations there is a real risk of incidents that, without cover, you pay out of your own pocket.

What medical cover do I need according to destination?

Indicative ranges: Europe €100,000-300,000, Latin America and Asia €300,000-500,000, USA/Canada/Japan/Australia €500,000-1,000,000. For cruises or remote areas with expensive evacuation, raise the limit. Never take out limits below €100,000 for trips outside the EU.

Is it worth taking out cancellation cover?

It depends on the non-refundable amount of your trip. If you have flights + hotel + prepaid excursions above €800-1,000, the extra premium for cancellation (10-15% of the trip cost) usually pays off. For flexible, cheap trips, not always. Check the accepted reasons (illness, death of a relative, work-related causes) as personal-decision cancellations are not accepted.

Can I take out insurance after booking the trip?

Yes, up to the day before departure in many cases. But buying in advance has advantages: cancellation cover kicks in from the moment you take out the policy (it protects you if something happens between purchase and departure) and avoids last-minute surcharges. Rule of thumb: ideally take out the policy the same day or a few days after booking the trip.

How to choose travel insurance 2026: complete step-by-step guide

1. Why you need travel insurance

Although it is not compulsory for most destinations, taking out a policy covers several real risks you don't always foresee when planning:

Healthcare cost abroad: an emergency in the USA/Canada/Japan can exceed €50,000 without cover.
Trip cancellation: if something serious prevents you from travelling, you recover the non-refundable amount.
Repatriation: medical or funeral transport from the destination, which without insurance can cost €30,000-100,000.
Luggage: loss, theft or damage with the airline.
Delays: accommodation and meal expenses if your flight is delayed for many hours.
Public liability: damage to third parties you cause (breaking an object in a hotel, an accident on a hired motorbike, etc.).

2. What a good policy covers (typical cover)

A complete standard travel insurance policy should include:

Medical assistance and hospitalisation due to accident or illness.
Medical repatriation of the insured and companions.
Funeral repatriation.
Early return due to death or serious illness of a relative.
Trip cancellation expenses (covered cause).
Luggage: loss, damage, theft (with sub-limits per item).
Flight and luggage delays.
Private public liability.
24h assistance in Spanish from any country.
Advance of court bail (useful in serious accidents).

3. Key factors to choose the right product

Destination

The most decisive factor. Portugal is not the same as the USA. It determines the required medical cover, the geographical scope of the policy and certain specific cover (for example, altitude for the Andes or Nepal).

Duration

Short trips (<15 days): "Escapadas" or "Estrella"-type products. Medium trips (15-30 days): standard "Estrella". Long trips (1+ month): "Mochilero", "Backpacker". Exceeding the maximum duration of the product is not covered.

Planned activities

Cultural tourism, beach, gentle hiking → standard cover. Adventure sports (diving, skiing, climbing, kayaking) → check the cover or extend it. Extreme-risk sports (high mountain, motorised, jumps) → specific extension or specialist product.

Traveller profile

Individual, family, group, Erasmus student, digital nomad, pregnant, over 65-70… Each profile has a specific product or special considerations (for example, over-70s pay more and certain cover may be reduced).

Non-refundable trip amount

If you have flights + hotel + prepaid excursions worth €3,000+, cancellation cover offsets the extra premium. For flexible, cheap trips, not always.

4. Recommended medical cover by destination

Indicative ranges based on real healthcare cost in the country and standard industry practice.

Destination	Minimum medical cover	Recommended cover
EU + EEA + Switzerland + UK	€60,000 (EHIC complements)	€100,000-300,000
Europe outside EEA (Balkans, Turkey)	€100,000	€300,000
Latin America	€300,000	€500,000
South-east Asia (Thailand, Vietnam…)	€300,000	€500,000-1,000,000
Japan, Korea, Australia, New Zealand	€500,000	€1,000,000
USA / Canada	€500,000	€1,000,000+
World cruises	€500,000	€1,000,000 + specific cover

5. 6-step method to decide

Define your trip precisely: destination(s), exact dates, total duration, specific activities, people and ages. All of this goes into each insurer's simulator.
Identify critical cover for you: if you plan to ski, winter sports; if it is an expensive honeymoon, cancellation; if it is a family trip, medical cover per insured; if you are backpacking, adventure sports.
Set the minimum medical cover according to the table in point 4.
Get quotes from 3 reputable insurers. Common companies: IATI, Chapka, Heymondo, Mondo, InterMundial, AXA. Always ask for the same cover and limits to compare like with like.
Read the full particular conditions. Don't stop at the sales brochure. Go straight to the "Exclusions", "Sports cover", "Excesses" and "Country cover" sections.
Check real reviews about claims handling. Customer service at purchase is always good; what matters is how they respond when there is an incident. Search on independent review portals.

6. Common mistakes when choosing travel insurance

Picking on price without comparing cover: the cheapest can end up being the most expensive when a problem arises.
Contracting a ridiculous limit (€30,000 for the USA is wasted money: it doesn't cover anything serious).
Assuming the EHIC is enough: it only covers public healthcare in EEA + UK + Switzerland. Nothing for repatriation, public liability or luggage.
Trusting the bank card insurance without reading the conditions: see our comparison.
Signing up without declaring pre-existing conditions: they can invalidate cover.
Not reading the specific exclusions: the small print makes the difference.
Buying at the airport: last-minute products are usually much more expensive.
Not keeping the policy + 24h assistance number in several places (phone, email, paper).

7. Which insurers to compare in Spain

The most common companies in the Spanish travel insurance market, all regulated by DGSFP (the Spanish insurance regulator):

IATI Seguros: Spanish, Bilbao. Broad range (Estrella, Mochilero, Estudios, Familia).
Chapka: Groupama group (French). Cap Aventure very strong for backpackers.
Heymondo: Spanish, 2017. Powerful app and good for short getaways.
Mondo: Spanish. Modern product with a very usable website.
InterMundial: Spanish, traditional. Strong in corporate and travel agencies.
AXA Assistance: multinational. Solid product, high prices.

See also our comparisons: IATI vs Chapka vs Heymondo and IATI vs Mondo vs InterMundial.

8. Final checklist before buying

Product suitable for your profile (standard, backpacker, studies, family…).
Geographical scope includes ALL countries on your route.
Medical cover sufficient for the destination.
Planned activities and sports covered.
Cancellation cover contracted if the trip is expensive/non-refundable.
Direct billing at hospitals (pays without you fronting the cost).
24h assistance in Spanish confirmed.
Reasonable excess or zero.
Certificate downloaded + digital copy + assistance number on your phone.
Contact person in Spain knows your insurance details.

Frequently asked questions

Is travel insurance compulsory?

No for most destinations as a European tourist, but strongly recommended due to the economic risk without cover.

What medical cover do I need?

Europe €100-300k, Latin America/Asia €300-500k, USA/Canada/Japan €500k-1M, cruises €1M+.

Is cancellation cover worth it?

Yes if you have €800+ non-refundable. The extra premium usually offsets the risk.

When should I take out the policy?

Ideally the same day or a few days after booking the trip: cancellation cover activates from that point.

How do I tell a good policy from a bad one?

Suitable limit + direct billing + 24h assistance in Spanish + reasonable exclusions + real positive reviews about claims handling.