Brokers have some work to do on educating their clients, with more than half of Australian travellers unaware that snow sports and other higher-risk activities typically require additional insurance cover, according to survey data from comparison site Comparetravelinsurance.com.au.
The survey found 52% of respondents did not know that snow sports often require an add-on pack, while 45% were unaware that activities such as deep-water scuba diving or high-altitude hiking may also fall outside standard cover.
Comparetravelinsurance.com.au spokesperson Natalie Smith (pictured) said travellers often discover the limits of their policies only after an incident occurs overseas. “Many travellers assume their travel insurance policy automatically covers every activity on their itinerary, but activities such as cruising, skiing and adventure sports often require an add-on,” Smith said. “Cruise cover, in particular, is often overlooked, meaning travellers who don't purchase the appropriate cover could face significant costs if they experience a medical emergency at sea.”
The survey's findings align with travel insurance complaint data cited by the Australian government's Smartraveller service and consumer advocacy group CHOICE. Their guidance notes that the Australian Financial Complaints Authority (AFCA) received 2,036 travel insurance complaints during the 2024–25 financial year, with many disputes arising because travellers did not read or misunderstood their policy terms and conditions before departure.
The guidance warns that policies differ significantly in what they cover, particularly for higher-risk activities such as skiing, cruising, motorcycling and adventure sports, with some insurers requiring optional cover or imposing specific exclusions and conditions. It also advises travellers to carefully review Product Disclosure Statements to confirm whether planned activities are covered, as assumptions about automatic protection can result in denied claims or substantial out-of-pocket medical and travel expenses when incidents occur overseas.
Smith said insurers do not apply uniform standards when classifying risk activities, citing e-bikes as an example: some insurers treat them the same as standard bicycles, while others require an adventure pack or impose different conditions.
Depth thresholds illustrate how adventure travel cover varies in practice. Allianz Australia's adventure cover applies to diving with an artificial breathing apparatus at a depth no greater than 30 metres, and requires the policyholder to hold a recognised open water diving licence or dive with a licensed instructor. Cover-More Australia, by contrast, markets automatic cover for 80 adventure activities across all of its plans. NRMA takes a third approach, offering winter sports cover as a separate optional extra covering equipment damage and medical costs, alongside a distinct cruise add-on for onboard medical treatment and missed port departures.
Smith said the financial exposure from inadequate cover can be substantial. A broken leg overseas can result in tens of thousands of dollars once hospitalisation, medication and repatriation are included, she said. Shipboard medical clinics typically charge private rates well above passenger expectations, and evacuations by helicopter or diversion to the nearest port can cost tens or hundreds of thousands of dollars, she added.
Specialist diving insurers illustrate the scale of that exposure: DAN dive injury insurance covers diving to a depth of up to 50 metres and pays up to $300,000 for scuba diving-related injuries.
Comparetravelinsurance.com.au recommends travellers confirm cruise and snow sports add-ons, adventure activity inclusions, e-bike and diving conditions, exclusions, excesses and benefit limits before purchasing cover.
