Beached: it's illegal at work but 'ageism is rife' in travel cover

Whether it's airport chaos, atrocious weather or a family illness, there are many dark possibilities for disrupting the best-laid holiday plans.

But what about being too old? According to research by Help the Aged, 95 per cent of annual travel insurance policies impose an upper age limit for claims. Of these, a third stop at 65 - so the 9.6 million people in the UK older than this aren't covered - and two-thirds won't take on business from the over-75s. It's a similarly bleak outlook with single-trip policies.

Anyone who falls outside an age limit for a travel insurance policy runs a huge risk if they go on holiday without protection. It can cost thousands of pounds to pay for expensive medical treatment or replace lost and stolen luggage.

Premiums for the elderly are higher because they are more likely to have a pre-existing medical condition or to claim on their policy for other reasons such as injury, illness or theft. When you reach 65 or 66, either the cost of getting insured will automatically rocket or insurers will simply turn you away.

The price-comparison service Moneysupermarket.com has found that, among those who are eligible for cover, premiums generally double at the 66th birthday.

"Ageism may now be illegal in the workplace but it seems to be rife when it comes to travel insurance," says Richard Mason, the website's director of insurance. "The risk of claims... may well rise, but to suggest such a divide between the age of 65 and 66 is ridiculous.

"Insurers should do more to provide competitive rates for this growing market. Older people should not be penalised for going abroad and should be able to find affordable travel insurance."

Consumer body Which? says many of its members have simply been dropped by their travel insurer on reaching a certain age, while other members have complained about huge hikes in their premiums.

"Sheer frustration that upper age limits are not clearly flagged up on travel policies is another gripe," adds a Which? spokesman.

Research by the Independent on Sunday Money desk backs these findings.

We asked the AA to quote for an annual worldwide policy for a traveller aged between 18 and 64, and then for one turning 65. It quoted £62.86 for the former but £111.49 for the latter. Those aged between 70 and 74 were charged £152.13; from 75 to 79, it was £208.41.

Ian Crowder, spokesman for the AA, says: "Premiums rise because of the greater risk and greater level of claims, particularly health-related ones.

"Older people are more likely to suffer from ailments that will result in a claim. Although medical science means we are living longer these days, it does come with a price tag."

It was a similar story at insurer More Th>n. Travellers aged up to 64 were charged £79 for an annual policy, but the moment they hit 65, the premium more than doubled to £185.25.

"This older age group are more susceptible to falling ill before they depart, resulting in cancellation of their holidays, and are more likely to have a pre-existing medical condition," says spokeswoman Kate Nelson.

To avoid being stranded without cover when you go on holiday, always check the policy's upper age limit. As a rule, you can forget about being offered free travel insurance with your credit card or bank account when you reach 65.

In most instances, travellers over this age will have to shop around to find the most competitive deal. Although a few mainstream companies will offer cover beyond this age - Egg insures you up to 66 and Marks & Spencer to 70 - you can expect to pay more.

However, you may be able to find a policy with specialist insurers - RIAS, Saga, Age Concern and Help the Aged, for instance - that has no age limit.

RIAS's managing director, Janet Connor, says the specialists will not only be able to offer cover past the age of 65, but also to tailor the policy to the needs of the customer. "For example, a customer can take out a policy that covers them for their medical condition, or alternatively they can decide to 'self-insure', reducing the premium paid but excluding any cover for that condition."

Whatever your age, it is important to declare pre-existing conditions when you apply for insurance: non-disclosure could mean any claim is rejected.

If you're travelling within the European Union, make sure you have a Euro- pean Health Insurance Card (EHIC). This helps to slash medical bills and entitles travellers to the same treatment as local residents.

Mary and Percy Potter, aged 86 and 91 respectively, regularly travel to Greece on holiday and know the cover problems involved.

Mary says: "We first started finding it difficult to get insurance when we were in our sixties, as many insurers had age limits of 65 or so. So we had to shop around."

The couple settled on a policy from Help the Aged. "We get separate insurance for each trip we make and it costs about £100 for the two of us. Most other insurers won't cover us now."