Price comparison site moneyspuermarket.com has said that travel insurance is a requirement for saving cash while on a gap year abroad .

With many students thinking about deferring their entry into university to enjoy a year of travelling, the website urged young people to keep their finances in check in order to make the most of their journey.

Those looking to work or take up extreme sports such as bungee jumping, skiing or scuba diving may need to search a bit further than others for adequate travel insurance.

Peter Harrison, travel money expert at moneysupermarket.com, said: Gap year travellers should also be aware most policies have clauses relating to the consumption of alcohol, so it pays to tread carefully.

Travel insurance provider AA recently said that those booking holidays at the last minute are forgetting or choosing not to take out cover for their trip abroad in order to save money, but advised against this.