27 May 2009

Category: Travel Insurance News

Pre-paid currency cards 'could offer significant savings'

Travel insurance customers could see significant savings on their holiday money if they consider using a pre-paid currency card, a foreign exchange provider has said.

Stephen Heath, chief executive at FairFX.com claimed that a family of four could make a saving of $300 or €200 (£188 or £175) on their holiday spending money by using a pre-paid card.

"Many of us might intend to look for the best deals, but when it comes to the crunch people aren't making the effort to get the best bang for their buck," he explained.

A survey by the company revealed 69 per cent of British travellers said every penny counted when it came to getting their foreign currency.

However, 29 per cent withdraw money from a cash point while on holiday and 21 per cent will pay for purchases on their credit card despite fees for overseas transactions.

In 2009, holidaymakers from the UK who did not take out a travel insurance policy could have claimed a total of £90 million in lost costs, according to a study by InsureandGo.