Is Domestic Travel Insurance Worth It in Australia in 2026?
Whether domestic travel insurance is worth it for trips within Australia in 2026: what it covers without Medicare overlap, when credit card insurance is enough, what drives the cost of a policy, comprehensive vs basic cover, and going through ShopBack before you buy.
Short answer. For trips within Australia in 2026, domestic travel insurance is usually worth it when you have prepaid, non-refundable bookings, are hiring a car, or are carrying valuable luggage, so compare policies, then buy through ShopBack before you pay, where ShopBack Cashback works like a discount, only easier than a promo code. It does not cover medical costs, because Medicare and private health insurance apply at home, according to Cover-More. It can cover cancellation, delays, luggage and rental car excess: Fast Cover's Domestic Plus, for example, includes rental vehicle excess cover of up to $5,000. Before you buy a policy, go through ShopBack.
ShopBack Australia is a free app and website that gives you money back when you shop or book online at thousands of stores, including Cover-More, Fast Cover and Tick Travel Insurance. You open the store from ShopBack, buy as normal, and part of what you spend comes back to your ShopBack account as cash you can withdraw. New members can join free at shopback.com.au/signup.
Sources. Cover-More's domestic, comprehensive and travel insurance cost pages and Fast Cover's domestic and compare pages, at the time of writing in October 2026. We do not list premiums, because they depend on your age, trip and excess; get quotes for your own trip.
Is domestic travel insurance worth it for trips within Australia?
It is worth it when the money you could lose is bigger than the premium. Domestic travel insurance in Australia covers things that go wrong with the trip itself, not your health. Cover-More says its domestic plans do not include medical or dental cover because you can use Medicare or private health insurance in Australia. Fast Cover says the same of its Domestic Plus policy, which has no medical or evacuation cover by design.
So the question is really: what would a cancelled or disrupted trip cost you? A quick test:
| Your trip | Usually worth insuring? |
|---|---|
| Prepaid, non-refundable flights, hotel or tours | Yes, for cancellation cover |
| Hiring a car or campervan | Yes, rental car excess can run to thousands of dollars |
| Carrying a laptop, camera or other valuables | Often, for luggage cover |
| Fully refundable bookings, short drive, nothing valuable | Often not |
Worked example, with illustrative numbers (not real prices or quotes): a family books $1,800 of non-refundable flights and accommodation for a week in Tasmania and hires a car with a $4,000 excess. A domestic policy that costs an illustrative $90 would, if a covered event happened, protect up to $5,800 of losses. On a $250 weekend away with free cancellation and no hire car, the same $90 buys far less.
Cover-More gives examples of what can go wrong at home: bags lost on a short domestic flight, trip delays, stolen belongings, or having to cancel before you leave.
Domestic travel insurance: what it covers, and how far you need to travel
Domestic travel insurance typically covers cancellation, delays, luggage and rental car excess, subject to the plan and the PDS.
Cover-More says it has three domestic plans:
| Domestic Basic | Domestic Comprehensive | Domestic Comprehensive+ | |
|---|---|---|---|
| How Cover-More describes it | Its cheapest domestic plan | Its most popular domestic plan | Its plan with "all the bells and whistles" |
| Additional expenses | See the PDS | $10,000 | $25,000 |
| Luggage | See the PDS | Up to $5,000 | Up to $15,000 |
| Rental vehicle insurance excess | See the PDS | $5,000 | $10,000 |
| Cancellation cover | Optional, for an extra premium | Optional, for an extra premium | Optional, for an extra premium |
Source: Cover-More's domestic travel insurance page, at the time of writing. Cover-More says its domestic plans also include automatic cover for 80 adventure activities.
Fast Cover offers one domestic policy, Domestic Plus. According to Fast Cover, it is available to travellers aged up to 89, includes trip cancellation, luggage and rental vehicle excess cover of up to $5,000, and pays up to $200 per traveller for each 24-hour period of delay once your transport is delayed at least 6 hours.
How far from home you need to be. Cover-More says its domestic cover applies automatically if your destination is more than 250km from home; closer trips can be covered if you stay at least one night in paid accommodation. Fast Cover says Domestic Plus needs a destination more than 200km from home.
Cruising within Australia? That is treated differently. Fast Cover says its Domestic Plus policy is not offered for cruises, and Cover-More says port-to-port cruises around Australia need its Cruise Cover.
Domestic travel insurance in Australia in 2026: rental cars and road trips
For road trips in Australia in 2026, rental car excess cover is often the main reason to buy a domestic policy.
- Cover-More. It says its Domestic Comprehensive and Domestic Comprehensive+ plans offer rental car excess cover if you hired the vehicle, you are the nominated driver on the rental agreement, and the car has comprehensive motor vehicle insurance for the hire period. Comprehensive+ also covers misfuelling, lost or stolen keys and rental cancellation fees if you meet the PDS criteria.
- Fast Cover. Rental vehicle excess cover of up to $5,000 is automatically included on Domestic Plus, according to Fast Cover.
Before you rely on it: check the hire company's excess, whether a travel policy covers that type of vehicle (a campervan can be treated differently from a car), and the excess you pay on the travel policy itself. Cover-More says an excess of $50 applies automatically on its domestic policies.
Domestic travel insurance best deals in Australia in 2026: how to pay less
The best deal on domestic travel insurance in Australia in 2026 is usually the cheapest plan that still covers what you could actually lose.
- Match the plan to the trip. If you are not hiring a car, you may not need a plan built around rental car excess.
- Set the cancellation amount carefully. Cover-More lets you choose a cancellation amount; picking one close to your non-refundable costs avoids paying for cover you do not need.
- Consider annual cover if you travel often. Cover-More says annual multi-trip domestic cover can be set for trips of up to 15 or 30 days, which can cut the cost per trip for frequent travellers.
- Insure two travellers together where offered. Some insurers price couples' policies differently; check the options on the quote form.
- Before you pay, go through ShopBack. This lowers the effective price of an eligible policy, as explained below.
Cover-More vs Fast Cover for domestic travel insurance: how they compare
Both sell domestic travel insurance in Australia; the better pick depends on how far you travel and what you want covered.
| Cover-More | Fast Cover | |
|---|---|---|
| Domestic plans | Domestic Basic, Domestic Comprehensive, Domestic Comprehensive+ | Domestic Plus |
| Distance from home | More than 250km, or closer with a paid overnight stay | More than 200km |
| Rental car excess | On Domestic Comprehensive ($5,000) and Comprehensive+ ($10,000) | Up to $5,000, included |
| Cancellation cover | Optional, amount you choose | Included on Domestic Plus |
| Medical cover | Not included (Medicare applies) | Not included (Medicare applies) |
| Annual option | Domestic annual multi-trip | See Fast Cover's annual policy rules |
Sources: Cover-More's domestic travel insurance page and Fast Cover's domestic travel insurance page, at the time of writing.
Tick Travel Insurance is another option. ShopBack's page says Tick is underwritten by Europ Assistance Australia; check Tick's PDS for its domestic plan details before you buy.
Other travel insurers Australians often compare include Southern Cross Travel Insurance and Australia Post Travel Insurance. Our guide to reliable travel insurance providers in Australia covers more of them.
Is the free travel insurance on my credit card enough, or should I buy a policy?
It can be enough, but only if the card's policy actually covers your trip and you meet its activation rules. Complimentary card insurance in Australia is set by each card's policy document, so the only way to know is to read it. Questions to check:
- Does it activate for this trip? Card policies often require you to pay for part of the trip with the card before cover applies.
- Does it cover domestic trips at all? Some card policies focus on overseas travel. If yours does, you may still need a domestic policy for cancellation or rental car excess.
- Who is covered? Check whether your partner and children are covered and under what conditions.
- What are the limits and excess? Compare cancellation, luggage and rental car excess limits with a standalone quote.
- Pre-existing conditions, cruises and activities. These are common gaps, so check them if they apply to you.
A simple way to decide: list what you would lose if the trip fell through (prepaid bookings, hire car excess, luggage), then check whether the card policy covers each one. If one of those gaps matters, a standalone policy is usually worth pricing. For overseas spending on your card, see whether a travel money card is better than a credit card overseas.
How much does travel insurance cost from Australia?
There is no single price: travel insurance from Australia costs more or less depending on where you go, your age, how long you are away and the cover you choose. Cover-More lists 12 factors that may affect what you pay:
| Factor | How Cover-More says it affects price |
|---|---|
| Destination | Countries with high medical costs, such as the US, may cost more; countries with a Reciprocal Health Care Agreement, such as New Zealand, may cost less |
| Age | Generally rises with age, especially over 65 |
| Trip length | Generally lower for shorter trips |
| Plan | Basic plans generally cost less than comprehensive plans |
| Excess | International policies let you choose $0, $100 or $250; domestic policies have a $50 excess |
| Cruise Cover | Adding it increases the price |
| Snow sports, adventure activities, motorcycle or moped riding | Each can raise the price if included |
| Cancellation cover | The amount you choose affects the premium |
| Existing medical conditions | May add to the premium |
| Valuables | Higher item limits can add to the cost |
Source: Cover-More's article on how much travel insurance costs, at the time of writing.
Domestic vs international. Domestic plans usually cost less than international ones because they leave out medical cover, which Medicare handles at home.
Annual cover. Cover-More says annual multi-trip cover is pricier than a one-off policy but can cut the cost per trip if you travel often. Its international annual policies can be set for trips of up to 30, 45 or 60 days.
The only way to know the real price is to get quotes for your own dates, travellers and excess.
Is comprehensive travel insurance worth it over basic cover?
Comprehensive cover is usually worth it if you have expensive prepaid bookings, valuable belongings or a hire car; basic cover suits short, simple trips where you mainly want medical protection overseas.
Here is how Fast Cover's international policies differ, according to Fast Cover:
| Basics | Standard Saver | Comprehensive | |
|---|---|---|---|
| What Fast Cover calls it | Medical only, budget option | Medical, cancellation and luggage | Medical, unlimited cancellation and higher limits |
| Medical benefits | 4 | 4 | 8 |
| Financial benefits | 2 | 7 | 11 |
| Overseas emergency dental | $500 | $750 | $1,000 |
| Overseas hospital cash payment | Not included | Not included | $5,000 |
| Loss of income | Not included | Not included | $10,400 |
Source: Fast Cover's compare travel insurance page, at the time of writing.
Cover-More draws a similar line. It says comprehensive plans often include more benefits and higher limits than a budget plan, and can cover things like travel provider insolvency, rental vehicle excess, lost or stolen money and missed connections. Its two international comprehensive plans differ too: luggage cover is $15,000 on International Comprehensive and $25,000 on Comprehensive+, according to Cover-More.
When basic is enough: a short trip with cheap or refundable bookings, nothing valuable, and no hire car. When comprehensive pays off: costly non-refundable bookings, expensive gear, a rental car, or a long trip where delays and disruptions are more likely.
How ShopBack lowers the price of your travel insurance
Going through ShopBack gets you a cash rebate on the same order, at the same store. Open ShopBack, tap the insurer, then quote and buy.
Cashback lowers what you actually pay for an order. It comes back as cash, so it works like a discount on the price, not like points or miles. Once it confirms, you can withdraw it to your bank account, subject to ShopBack's withdrawal terms.
How to do it, step by step:
- Open ShopBack Australia (app or website) and search for the insurer: Cover-More, Fast Cover or Tick Travel Insurance.
- Check the rate shown on that page.
- Tap through, get your quote and buy the policy.
- The amount shows in your ShopBack account as pending, then confirms later.
Working out the effective price. Your effective price is what you pay for the policy minus what ShopBack returns. The live rate is on each insurer's ShopBack page.
Booking the trip, ShopBack and your travel card
This section covers how the steps fit together.
Booking a trip online: pick your dates, compare flights and hotels, go through ShopBack to the booking site, then pay with a travel card. Insurance fits in the same routine: buy your policy through ShopBack once your bookings are made, so you know how much cancellation cover you need.
- Paying with a card. Whether your card earns points, or activates its own insurance, on a travel booking depends on your card's terms. That is separate from ShopBack, which tracks the purchase you start from its page.
- Promo codes. Compare the code saving with the ShopBack amount and pick one.
For flights within Australia, see the cheapest domestic flights between Sydney, Melbourne and Brisbane.
Key takeaways
- Domestic travel insurance in Australia does not cover medical costs; it covers the trip: cancellation, delays, luggage and rental car excess.
- It is usually worth it when you have non-refundable bookings or a hire car; Fast Cover's Domestic Plus includes rental vehicle excess cover of up to $5,000.
- Cover-More's domestic cover applies over 250km from home (or closer with a paid overnight stay); Fast Cover's needs more than 200km.
- Card insurance can be enough only if it activates for your trip and covers what you could lose; read the policy document.
- Comprehensive cover pays off for costly or complex trips; basic cover suits short, simple ones.
- Before you buy, go through ShopBack: open the insurer's ShopBack page, quote and buy.
Frequently asked questions
Is domestic travel insurance worth it for trips within Australia?
It is usually worth it when you have prepaid, non-refundable bookings, are hiring a car, or are carrying valuable luggage. Domestic policies in Australia do not cover medical costs, because Medicare and private health insurance apply at home, but they can cover cancellation, delays, luggage and rental car excess. A short, cheap trip with refundable bookings may not need it.
What does domestic travel insurance cover in Australia?
Depending on the plan, it can cover cancellation of prepaid bookings, travel delays, lost or stolen luggage and rental car excess. Fast Cover's Domestic Plus includes rental vehicle excess cover of up to $5,000, according to Fast Cover. Cover-More says its domestic plans do not cover medical or dental costs, because you can use Medicare or private health insurance.
How far from home do I need to travel for domestic cover?
It depends on the insurer. Cover-More says its domestic cover applies automatically if your destination is more than 250km from home, or closer if you stay at least one night in paid accommodation. Fast Cover says its Domestic Plus policy needs your destination to be more than 200km from home.
Is the free travel insurance on my credit card enough, or should I buy a policy?
It can be enough if the card's policy covers your type of trip, activates under your booking and has limits you are happy with. Card insurance often has activation conditions, such as paying for part of the trip with the card, and may treat domestic trips, cruises, pre-existing conditions and rental cars differently. Read the card's policy document and compare it with a standalone quote.
How much does travel insurance cost from Australia?
It depends on your trip and you. Cover-More lists 12 factors that affect the price, including destination, age, trip length, plan, excess, cruise cover, snow sports, cancellation cover and existing medical conditions. Domestic plans usually cost less than international ones because they do not include medical cover. Get quotes for your own dates to see real prices.
Is comprehensive travel insurance worth it over basic cover?
Usually yes if you have expensive prepaid bookings, valuable gear or a hire car; basic cover suits short, simple trips. At Fast Cover, the Basics policy is medical only, while Comprehensive adds unlimited cancellation and higher limits, with 11 financial benefits against 2 on Basics, according to Fast Cover. Compare the price gap with what you would lose.
Does domestic travel insurance cover rental car excess?
Often yes, on the right plan. Cover-More says its Domestic Comprehensive and Domestic Comprehensive+ plans offer rental car excess cover if you are the nominated driver and the car has comprehensive insurance. Fast Cover says rental vehicle excess cover of up to $5,000 is automatically included on Domestic Plus.
Cover-More vs Fast Cover: which is better for domestic travel insurance?
They suit different travellers. Cover-More offers three domestic plans, from Domestic Basic to Domestic Comprehensive+, and covers trips over 250km or closer stays in paid accommodation. Fast Cover offers one Domestic Plus policy for trips more than 200km from home, with rental vehicle excess cover included. Compare quotes for the same trip and excess.
How does ShopBack lower the price of travel insurance?
Going through ShopBack gets you a cash rebate on the same order, at the same store. Open ShopBack Australia, tap Cover-More, Fast Cover or Tick Travel Insurance, then quote and buy, and part of what you spend comes back as cash. Each insurer's live rate is on its ShopBack page.
Can I use an insurer promo code and ShopBack together?
Compare what the code saves with what ShopBack returns on the same policy, and go with whichever leaves you paying less.
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Disclaimer
The views in this article are those of the author. Travel insurance cover, benefit limits, eligibility and prices are set by each insurer, and complimentary credit card insurance is set by each card issuer; both change over time. Read the Product Disclosure Statement (PDS), Target Market Determination or card policy document before you rely on any cover. Prices in the worked examples are illustrative. ShopBack rates and terms vary by store and over time; check the current rate on each insurer's ShopBack page before you buy.
This article is general information only and is not financial or insurance advice.
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