Annual vs Single Trip travel insurance: Which is right for you?

If you're planning one holiday this year, a Single Trip travel insurance policy may be all you need. But if you're planning several holidays, an Annual Multi-Trip travel insurance policy could save you both time and money.

The right choice depends on how often you travel, how long your trips are and whether you prefer the convenience of arranging your insurance once for the year. This guide explains the differences between the two policy types, when each may be suitable and the questions to ask before choosing your cover.

Annual vs Single Trip Travel Insurance at a glance

Here's a quick comparison of the key differences between Single Trip and Annual Multi-Trip Travel Insurance:

If you're unsure which option is right for you, think about how many trips you're likely to take over the next 12 months rather than just the holiday you're currently booking.

What is Single Trip travel insurance?

Single Trip travel insurance covers one holiday from the day you leave until you return home. Once the trip has finished, your cover ends. For many people, it's the simplest option because you're only paying for the holiday you're taking.

Single Trip may be more suitable if you:

• Only travel once or twice each year
• Are planning a longer holiday
• Want cover designed around one specific trip
• Don't know whether you'll travel again this year

Because each policy is arranged individually, you can choose cover that reflects the destination, duration and type of holiday you're taking.

What is Annual Multi-Trip travel insurance?

Annual Multi-Trip travel insurance provides cover for multiple holidays during a 12-month period under a single policy. Instead of arranging travel insurance every time you book a trip, you buy one policy that can cover eligible holidays throughout the year.

Most annual policies include a maximum trip duration for each journey, so it's important to check the limit before you travel. At JustCover, our Annual Multi-Trip policies allow up to 183 days of travel in total during the policy year, with limits on the duration of each individual trip depending on the policy.

Annual Multi-Trip may be more suitable if you:

• Regularly take holidays throughout the year
• Enjoy booking spontaneous weekends away
• Visit family overseas
• Travel for both work and leisure
• Prefer the convenience of arranging cover once

Which type of travel insurance is cheaper?

There isn't one answer that suits everyone. If you're only travelling once, buying a Single Trip policy will often be the most cost-effective choice. However, once you're taking several holidays each year, an Annual Multi-Trip policy may work out better value because you're paying for one policy instead of arranging cover for every trip.

The easiest way to compare is to get quotes for both options. Just remember, the cheaper option isn't always the better one. Make sure the cover also meets your needs.

When should you choose Single Trip travel insurance?

A Single Trip policy may be worth considering if:

• You're only taking one holiday this year
• You're planning a longer trip
• Each holiday you take is very different
• You want to choose cover specifically for one journey

For example, if you're spending eight weeks visiting family in Australia, a Single Trip policy may be more appropriate than an Annual Multi-Trip policy with shorter trip limits.

When should you choose Annual Multi-Trip Travel Insurance?

Annual Multi-Trip cover may be the better option if:

• You're planning three or more holidays this year
• Your trips are generally shorter
• You often book holidays at short notice
• You don't want to remember to arrange travel insurance every time you travel

Many people like knowing their travel insurance is already in place before they start looking at flights.

4 Questions to help you decide which policy is more suitable

Still undecided? Ask yourself these questions.

1. How many holidays are you taking? If you're planning several trips this year, Annual Multi-Trip cover may be worth comparing.
   
   
2. How long are your trips? If you're travelling for longer than the maximum trip length allowed under an annual policy, Single Trip cover may be more suitable.
   
   
3. Do you often book last-minute holidays? Annual cover can make spontaneous travel much easier because your insurance is already arranged.
   
   
4. What did you do last year? Your recent travel habits are often the best indicator of which policy type is likely to suit you.

Which policy is right for you?

There isn't a one-size-fits-all answer. The right travel insurance depends on how often you travel, how long you're away for and the type of trips you take.

If you're planning one holiday this year, a Single Trip travel insurance policy may be all you need. If you're expecting to take several shorter trips over the next 12 months, an Annual Multi-Trip travel insurance policy could offer greater convenience and may provide better value.

Before you buy, compare both options, check the maximum trip duration and make sure the level of cover suits your plans. Spending a few minutes choosing the right policy now could save you time and hassle later.