Regardless of travel insurance, you are not limited to the sum the airline gives you spontaneously: carriers are responsible for damage caused by delays to baggage unless they can show that they have taken all steps necessary to prevent the damage occuring. It would be perfectly OK to buy necessary clothing and toiletries (within reason and in any event under 1000 special drawing rights = approx USD1500) and claim it back from the airline as damages (make sure that you keep all receipts and, under the Montreal Convention, you must send your claim within 21 days from the date the baggage is returned to you).