Holiday insurance, also known as travel insurance, is a type of insurance policy that provides coverage for individuals while they are traveling outside of their home country. It typically covers a range of unforeseen events that can occur while traveling, including trip cancellations, medical emergencies, lost or stolen luggage, and personal liability.

Holiday insurance policies can vary in coverage and cost depending on the length and destination of the trip, as well as the age and health of the traveller. Some policies may also include coverage for adventure sports, such as skiing or bungee jumping, while others may have exclusions for certain high-risk activities.

Holiday insurance is important for travellers because it provides financial protection and peace of mind in case of unexpected events or emergencies. It can also be a requirement for obtaining visas to enter certain countries. It's important to carefully review and understand the terms and conditions of a holiday insurance policy before purchasing to ensure that it provides the necessary coverage for your specific travel needs.