Travel insurance - sometimes referred to as holiday insurance - is an insurance policy that will pay out in the event that you need medical treatment whilst away on holiday or if you need to cancel your holiday and are unable to travel. Exactly what you are covered for will vary with each travel insurance provider so it is important to check your policy documents carefully so you know exactly what you are covered for. Most standard travel insurance policies, however, will cover medical treatment and repatriation back to the UK, public liability, holiday cancellation and lost baggage.