Holidaymakers planning a road trip around Europe are being warned they could be left out of pocket if they do not check for any limitations on their breakdown cover.

Financial information and ratings provider Defaqto analysed 291 products, and found nearly a third (31%) cap individual breakdown claims at under £3,500.

If the cost of recovery or repair exceeds this amount, the policyholder could find they have to cover the difference. It is also worth checking if a total claims limit applies across the whole policy, Defaqto said.

If someone’s car breaks down before their departure and cannot be repaired in time, they need to hire a replacement.

But just over a third (34%) of products do not offer any cover for pre-departure car hire, meaning some holidaymakers could face significant expenses before even setting off, Defaqto said.

The analysis, carried out in early June, covered products providing breakdown cover in Europe, including “standalone” policies purchased separately, cover as part of overall car insurance, “short-term” policies for specific trips and cover included with bank accounts.

Some holidaymakers abroad may find the police or local authority will dispatch an authorised recovery service.

Defaqto found that one in six (16%) products do not include cover for this type of recovery, potentially leaving drivers with an unexpected bill.

If a vehicle breaks down while abroad and cannot be fixed within 24 hours, many products will include “journey continuation” cover. This pays towards alternative transport such as public transport or car hire.

Just over a third (35%) of products only offer between £500 and £999 for these costs, Defaqto found.

Nearly two-fifths (38%) of products restrict the number of breakdowns covered during the policy period.

Mike Powell, a motor insurance expert at Defaqto, said: “If you are going on holiday in Europe this summer, buying motor breakdown insurance may not be the first thing you think about. But if you are taking your own car, it is essential to understand what the policy covers so you are not hit with a large bill if things go wrong.

“While price is often a major factor in choosing a policy, it is even more important to look closely at the cover provided and the limits that apply. The cheapest policy may end up costing you more in the long run.”

Here are some tips from Mr Powell for travelling around Europe by car:

– Check your breakdown cover before you go

Make sure the policy includes European cover and read the small print to understand what is included and what is not.

– Know the local rules

Each country has its own driving laws and requirements. Make a note of key contact numbers, including your insurer and local emergency services, and know what to do if you break down on a motorway.

– Budget for extras

If your cover limit is low, you might have to pay out of pocket for services such as towing, car hire or onward travel.

– Keep your documents to hand

This may include your driving licence, insurance certificate, logbook, passport and any relevant health cards or visas.

– Consider getting the car serviced before the holiday

A pre-trip check-up can help avoid motor breakdowns in the first place.