Annual Multi-Trip travel insurance – How to save money and reap the benefits!

Dependent on the policy and the type of trips you take, Annual multi-trip travel insurance may be a suitable product for you, even if you only take two holidays a year.

Annual multi-trip travel insurance does exactly what it says, covers you for a year and allows multiple trips throughout that year. This sort of cover however is not to be confused with Longstay or Backpacker travel insurance, which is aimed at people taking one long trip throughout a year or more.

Annual multi-trip policies usually have a limit on the number of days you can be a way in any one trip, but no limit on the number of trips during the year. Most will range from 15 days per trip, up to 45 days per trip, although some policies exist that will allow 90 days and 180 days in any one trip.

Most annual multi-trip travel insurance policies will also have the option of adding a number of days winter-sports cover throughout the year, some travel insurance policies include this within the price.

Nearly all the policies on the market at the moment offer some kind of discount for couples and families, which really can have an impact on the savings made.

Who does it suit

The easy answer is everyone that takes two or more trips a year. Whether these are two week sun holidays, weekly city trips, visits to holiday homes abroad or mixtures of sun holiday and a winter holiday each year. The only difference between these are the amount of saving you might be making each and every year.

What are the benefits

For most people the benefits of buying and annual multi-trip travel insurance over buying multiple single trip travel insurance are:

• Only one search a year for the cheapest and most suited annual multi-trip travel insurance policy. That surely beats multiple internet searching and call centre questions two or three times a year!
• Considerable savings as compared to multiple single trip travel insurance policies
• Peace of mind that you are covered for a whole years travel
• Cancellation cover for all future trips booked during the life of the policy as soon as they are booked.
  

Things to consider to maximise savings

Things to consider, to assist in saving money on annual multi-trip travel insurance;

• Do you plan to travel within Europe only in the next twelve months? If this is likely, buying just a European policy will be considerably cheaper than a worldwide policy. If you are not sure, start with a European policy, you should be able to upgrade during the life of the policy.
• How many days cover do you need for the year, and what is the maximum length of each trip? The cost of a policy with higher duration limits on each individual trip will be considerably more. If you are not sure, start low and upgrade later.
• Do you need independent travel cover for all members of the family or just the adults? Policies which offer independent travel cover for all members of the family will be more expensive.
• Are you likely to need winter-sports cover during the year? Some policies will include this “free of charge”, however often policies that do not include it will be cheaper than those that do, regardless of the marketing spiel that accompanies..
  

Most good travel insurance companies will highlight the potential savings of Annual Multi-trip travel insurance. Some of the better ones will even work with you to calculate if indeed an Annual multi-trip travel insurance policies is suitable and what savings you might make.

Travel insurance – Comprehensive?

Comprehensive or fully comprehensive are terms used regularly by insurance companies. Where they have a common meaning, like motor insurance, it is fair and reasonable as we all know what we are getting and what to expect from the cover. However in the specialised field of single trip travel insurance or annual multi-trip travel insurance (or annual holiday insurance as it is sometimes known) what should this term mean?

Let me start by saying, all travel insurance policies are different. From the cover they offer, the cover limits they have - through to the details of the policy wording and the exclusions that they include. So what can be defined as the best travel insurance and who should you trust to buy travel insurance from?

Let us look at three of the more important sections of cover that most insurance policies will include:

Medical expenses cover
This is a must have for any trip, this section should provide cover for any unforeseen medical expenses whilst outside of your home country – This should include both inpatient (staying at hospital) and outpatient treatment (a visit to a hospital or clinic). Cover should be a minimum of £1,000,000, but if you are travelling to the USA a minimum of £2,000,000. You need to look out for the policy details in regard to a “pre-existing medical condition”. If you are buying web based, online travel insurance this should be made very clear on the website and you should be offered the opportunity to read these terms and either agree or otherwise to the statements made. If you buy via a call centre, this will be a condition of the sale and read to you over the phone. All travel insurance companies have differing criteria for what a pre-existing medical condition is, but in general they will want to know about any treatment for:

• any heart or circulatory condition
• a stroke or high blood pressure
• a breathing condition (including asthma)
• any type of cancer
• any type of diabetes

They will probably also want to know about anyone that has had treatment necessitating prescription drugs or is awaiting test investigations or treatments. It is important to point out that this will definitely apply to all travellers but could also apply to non-travellers upon whom the trip depends. It is also worth pointing out that should the health of someone change between buying the insurance and travelling, or in the case of annual holiday insurance throughout the course of the year, they are likely to want to know about this also.

Cancellation cover (and cutting short your trip)
This section covers unforeseeable accidents, illness and injury that necessitates you cancelling a pre-booked trip. The section should cover the value of the trip booked, or trips you plan to book in the case of annual holiday insurance. Many policies will have a maximum limit of £3,000 per person, which for most is enough, some go higher for those lucky enough to need it. As with the medical expenses above, pay particular attention to the “pre-existing medical condition” criteria as it impacts the cancellation section also.

Personal belongings
Obviously this section covers your personal belongings whilst on a trip. Not quite so obviously, is the fact that most policies will have something called “inner limits” of cover as well as specific limits for some specific items When you consider that recent research revealed that 55% of all personal belonging claims were fraudulently inflated and 17% were completely made up, you cannot blame the insurance companies for needing to protect themselves.

Things to look out for:

· The single article limit (SAL) or the maximum amount you can claim for any individual item – this is often set around £250 but does fluctuate between insurers.

· The valuables limit and definition. The limit is usually also around £250 for all valuable items which will include items such as electrical gadgets, jewellery and cameras.

· The cover available for glasses and sunglasses, often limited to £100 in total.

· If there is any cover for mobile telephones, as often there will not be.

Lastly on this section, most insurers will require receipts or proof of purchase on items being claimed that are over £50.

Other sections
Whilst most, if not all, insurance policies will include other sections the three mentioned above make up the most claimed on sections of travel insurance policies – combined they actually account for over 93% of all claims. Other sections exist which offer valuable cover and these include:

Delayed travel – cover in the event of delayed departure from your international departure point

Missed departure – cover in the event of the failure of public transport or mechanical breakdown of your vehicle on route to you international departure point

Delayed belongings – cover for the purchase of essential items in the event of your personal belongings being delayed in transit

Personal money – cover for the loss or theft of cash or currency from your person or from a safety deposit box or from locked accommodation when stored out of sight

Hospital benefit – a benefit payment, usually per 24 hours, to make a hospital stay slightly more comfortable. This is not an alternative to medical expenses cover, it is usually around £20-£40 per day up to £200-£400 in total to buy magazines, food and drink, etc whilst in hospital abroad

Personal accident – cover for your death or disablement whilst on a trip

Personal liability – covers amounts you are legally liable to pay that relate to an incident caused by you

Legal expenses – cover for legal costs and expenses incurred in pursuing claims for compensation

In closing
So the term “comprehensive annual holiday insurance” or “fully comprehensive single trip insurance” is, I think you would agree fairly ambiguous and open to interpretation. As such, I think it important that you research suitable cover and get the most insurance policy you can for the budget you can afford, whilst paying particular attention to the two key areas of travel cover – Medical Expenses and Cancelation cover.

Travel insurance – can you afford to be without it?

With the number of UK travellers abroad increasing by 8% each year, and more and more people visiting exotic locations, you would be surprised at the question; Is travel insurance really necessary? A seemingly obvious question to those that have needed to use travel insurance, however with 19% of people still travelling without it, it seems that not everyone would agree.
For those people, here is something to think about…

You’ve earned your break. You deserve to enjoy it to the full.

You arrive at your destination but your bags don’t. Stuck in a sunny country with just your jeans, t-shirt, shoes and cabin bag, your luggage finally arrives two days into your seven day holiday.

You get unpacked and go for a swim, but come back to your room to find the door open and no wallet, cash, camera, passport or jewelry.

You head to the hotel restaurant and choose the freshly caught tuna - your favorite, things are looking up. Only, it turns out to be “three day fresh” and kept in the sun. Four hours later you are in a foreign hospital and they are asking about travel insurance!

Okay, so the details of the above claim have been embellished slightly, but with most travel insurance policies one phone call would solve most of these holiday issues…Hospital bills guaranteed, translation services with foreign hospital organised, hospital benefit payment to assist in making a bad situation slightly more comfortable, funds provided for essential items to help you through until your luggage arrived and upon returning home financial support to replace the items stolen from your room.

Let’s face it travel insurance is not the most exciting of subjects. You probably don’t spend much time researching the most suitable and like most people you buy the cheapest “because I probably won’t need it”

Really….?

If all your travel insurance policy does is provide you with peace of mind whilst you travel, surely it has already been worth the purchase. If however something does happen whilst you are abroad, what then? Nearly 7% of people that travel have reason to use their travel insurance and with claims often reaching tens of thousands and sometimes hundreds of thousands of pounds, surely it is a worthwhile purchase.
Travel insurance is a diverse product with multiple sections of cover, the most frequently claimed upon sections are Medical expenses (approximately 48% of all claims), cancellation of a trip (approximately 37% of all claims) and loss of or damage to personal possessions (approximately 9% of all claims).

Medical claims can range in value dramatically dependent upon what the treatment is for and where you are travelling to. For example:

· Treatment for a heart attack in the USA, with medical escort home can exceed £60,000.

· Treatment for excessive sunburn and dehydration in Italy can exceed £4,750

· A multiple fracture of the leg treated in a private Spanish clinic can exceed £10,500

Don’t let your holiday become a life changing experience because of a huge bill.…take some time to find a suitable travel insurance policy, if for no other reason than the peace of mind it will provide.