Domestic travel insurance in NZ: Do you need it?

From a family ski trip in Queenstown to crossing the Cook Strait for Christmas, domestic travel is part of Kiwi life. We love road trips, city breaks, and summer adventures. But because we're staying local, many people assume travel insurance isn't needed.

Even short, local trips can hit bumps. Flights get cancelled, ferries are delayed, or your rental car gets an accidental ding. That's where domestic travel insurance can help keep your plans on track when the unexpected happens.

Do I need domestic travel insurance?

Many Kiwis wonder if domestic travel insurance is something they should consider. Some travellers choose it for longer journeys or when they've booked flights, cruises, or events. Others may decide it's not needed for shorter, flexible getaways.

Think about what you've already paid for and what could happen if plans change. Non-refundable bookings, inter-island travel, or rental cars can add up. Policies vary, so it's important to check what's included and think about what is best for your trip.

Discover travel insurance tips here.

Domestic flights and cancellations

Fog in Auckland or strong winds in Wellington can ground planes and cause missed connections. Airlines usually offer rebooking or credit, but they don't cover unused accommodation or event tickets. Domestic travel insurance can help cover extra costs like accommodation or transport when delays disrupt your plans. If you have cover with Tower, your travel must be delayed by at least six hours to make a claim on these expenses.

Cruises around New Zealand

Heading off on a cruise around Aotearoa? It's a great way to see the sights, but even domestic cruises can come with unexpected surprises. Things like missed departures because of flight delays or needing medical care onboard can happen.

Domestic cruise cover can include cover for:

• medical care while cruising,
• evacuation to shore if you're sick or injured,
• pre-paid short excursion cancellation if you can't go because of illness or injury, and
• cabin confinement if you're stuck in your cabin for more than 24 hours.

Road trips and inter-island journeys

Heading to catch the Interislander and suddenly your ferry's cancelled? Plans can change unexpectedly, but you don't have to miss out.

With our domestic travel insurance, you're covered for alternative transport when things don't go to plan subject to the policy terms and conditions. If your scheduled transport is cancelled, delayed, shortened, or diverted and that means you miss something like a wedding, pre-paid cruise, concert or accommodation you booked before you travelled, we'll cover your reasonable extra travel costs to help get you to your destination on time, subject to terms and conditions.

What does domestic travel insurance cover?

Cover differs by policy, but common features include:

• Trip cancellation or interruption - Refunds for non-refundable bookings.
• Travel delays and disruptions - Extra costs for meals, accommodation, or transport.
• Lost, stolen, or damaged baggage - Cover for personal items.
• Medical emergencies and unexpected additional expenses - Support for illness or extended stays not covered by ACC, public healthcare in NZ or your own private health insurance.
• Rental vehicle excess - Reimbursement for the excess you have to pay if your hire car is damaged or stolen.

Connecting flights and delays

Comprehensive policies often include cover for missed connections and delays caused by things outside your control, like weather or airline issues. This can include costs for meals, overnight stays, and alternative transport. With Tower, you can claim on expenses if your travel is delayed by six hours or more.

Medical emergencies away from home

ACC covers accident-related injuries, and public healthcare takes care of emergency treatment. But what about the extras like extra accommodation, travel for companions, or getting you home after treatment? Those costs aren't usually covered.

Domestic travel insurance can help with those unexpected expenses, and it's especially useful if you're in a remote area where getting back home can be tricky.

Tower's domestic travel insurance options

Travel should feel exciting, not uncertain. That's why we've got different levels of cover to help keep your plans on track when the unexpected happens.

With Tower's domestic travel insurance, you can choose the level of protection that suits your trip:

• Comprehensive cover includes cover for cancellations, delays, lost baggage, rental car excess, selected epidemic-related disruptions, and unexpected medical costs.
• Cancellation Only cover is ideal if you just want cover for non-refundable bookings.

We also offer a cruise pack add-on with our comprehensive policy, giving you extra cover for cruise-specific situations like medical care at sea, evacuation to shore, and pre-paid shore excursion cancellations.

Tip: Book your trip, book your cover. Get travel insurance when you book. It's the smart way to stay prepared if something unexpected pops up before you take off.

If you need to claim, gather your supporting documents like your itinerary, confirmation of cancellation and receipts, and make your claim online.

Get a quote for Tower's domestic travel insurance and set off knowing you're covered and ready to travel.

This is a summary only. Please read the policy wording to understand the terms, conditions, excesses, limits, sub-limits and exclusions that may apply. Cover is subject to the current underwriting criteria. 

Tower Travel Insurance is issued and managed by AWP Services New Zealand Limited trading as Allianz Partners and underwritten by Tower Limited. You should read the policy wording before making any decisions about your insurance policy.