Single Trip Vs Annual Plan. Which Is More Suitable For You?

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Many tourists choose to buy travel insurance. However, given that vacationers have diverse preferences and habits, it might be tough to discover all of the available options. We look into whether a yearly travel policy or a single trip policy is more valuable in this post.

Although you may think otherwise, every traveler's risks, budgets, and goals will be different. As a result, it is difficult to find a one-size-fits-all policy..

A single-trip policy covers you for a one-time holiday and ends when you return home. You can pick the country you would need to be covered for.

This is a one-time expenditure that generally costs less than an annual policy - but if you take out a single policy on several occasions and go on several trips each year, the cost might increase.

Single travel insurance plans are suited for:

  • Travelers who do not take many trips each year
  • Travelers who are likely not to plan their trips / take last minute trips
  • Travelers who need more customised coverage for each trip

The advantages of a single trip travel insurance plan include:

  • Cheaper for shorter travel frequencies – cheaper than annual travel insurance plans if you are only going for one holiday in the next 12 months
  • Tailored cover – you can customise your coverage to better suit your needs for each individual trip
  • Higher or no age limits – annual travel insurance frequently has an age restriction, such as if you're over 70 and single trip coverage may be only best option.

The disadvantages of a single trip travel insurance plan include:

  • More expensive if you take multiple holiday trips a year – for the same coverage, a single policy might be more expensive per trip than an annual policy if you travel less frequently.
  • Fixed dates – A single-trip policy applies only to a specific period of time (e.g. 7 days), whereas annual trip travel insurance plans would usually cover you for a longer period of time
  • Hassle – If you want to go abroad, you would need to get a new policy every time

You're covered for a year from the date the policy begins, regardless of how many trips you take. You may go on as many excursions as you like during that period, but each trip will usually be limited to a certain number of days (e.g. 90 days).

Basic annual travel insurance plans are suited for:

  • Travelers who travel to multiple countries within a year
  • Individuals who want a more cost-effective option would look into multi-trip plans since they are typically less expensive than insuring many trips individually
  • Business travelers
*At Allianz Insurance, our annual travel insurance covers you up to maximum of 90 days per trip.

The advantages of annual travel insurance plan include:

  • Cheaper if you take many trips a year – If you take more than two vacations a year, annual multi-trip coverage may be cheaper per trip than single trip insurance
  • Less hassle – to cover your travels, you'll only need to purchase one policy each year

The disadvantages of annual travel insurance plan include:

  • Age limits – travelers over the age of 70 will not be eligible for most annual coverage
  • Cover not tailored to each trip – some annual policies come with a standard set of benefits, which might not be appropriate for every trip
  • Cost more if you don't travel enough – if you do not travel enough, you are not fully utilising the benefits that annual travel insurance plans give

When comparing annual and single-trip travel insurance, be sure to understand exactly what is and isn't covered, as well as the following:

  • Do you want travel insurance for just yourself or in groups?

There are other travel insurance products such as: family travel insurance or group travel insurance)

  • What countries are you visiting?

For annual travel insurance, usually you would need to select either coverage in Asia Pacific, or Worldwide. So if you are sure that you would only visit countries around Asia, then you can select Asia Pacific.

  • Do you need extra coverage?

Such as: cruise coverage, extreme sports coverage.

  • Do you have any pre-existing medical conditions?

This is important as some policies have exclusions for certain types of medical conditions. These can make annual cover expensive. 

If you are confident that you'll only go on one trip, single-trip coverage is your best bet. Single travel insurance may also be a better alternative if you want more specific coverage for each journey.

However, if you're planning more than one trip, it might be worth purchasing multi-trip insurance annually.

Make sure you get a policy that covers everything you need, and do your homework. It may be more cost-effective to acquire a combination of both at times. Also, keep in mind that the cheapest policy is not always the greatest.

In Allianz Travel Insurance, on top of these items, we also cover selected coverage for Covid-19, pandemics and epidemics before or during your trip (in line with the Policy Wording of your chosen policy).

For example:

  • If you or a travelling companion/family member are diagnosed with Covid-19 before your trip and need to cancel, you can make a claim for things like non-refundable travel and accommodation costs.
  • If you or a travelling companion/family member are diagnosed with Covid-19 during your trip, you can make a claim for things like medical care  and quarantine costs.

The Medical and Dental cover limit is up to $200,000 (Bronze Plan), $500,000 (Silver Plan) and S$1,000,000 (Platinum Plan). All plans provide Unlimited** emergency transportation coverage.

All in all, getting travel insurance is always a good idea because it provides you with financial and even health protection in case something goes wrong on your trip. Allianz Travel Insurance offers a variety of travel insurance plans to suit your needs so that you can have a worry-free vacation.

Blog Disclaimer
All content provided on this blog is for informational purposes only. The content of this blog neither makes representations as to the accuracy or completeness of any information on this site, nor is construed as Allianz Travel's offering of travel insurance, unless explicitly stated. Details of benefits, limits, policy exclusions, terms and conditions of Allianz Travel insurance can be found under Allianz Travel Policy Wording.
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5Allianz Global Corporate & Specialty Singapore Branch is the insurer and Allianz Care is the administrator. Whenever we use the terms “we”, “us” and “our” in the pages dedicated to the international health insurance we offer, it will refer to both entities.

The insurer is Allianz Global Corporate & Specialty SE Singapore Branch, address 79 Robinson Road, #09-01 068897, Singapore. Company Registration No. T11FC0131K. This policy is supported by AWP Health & Life SA, trading as Allianz Care, a limited company governed by the French Insurance Code and acting through its Irish Branch. Part of the Allianz Group, AWP Health & Life SA is registered in France: No. 401 154 679 RCS Bobigny. Irish Branch is registered in the Irish Companies Registration Office, registered No.: 907619, address: 15 Joyce Way, Park West Business Campus, Nangor Road, Dublin 12, Ireland. AWP Health & Life SA provides administration services and technical support for the policy. Allianz Care and Allianz Partners are registered business names of AWP Health & Life SA.

About Allianz Global Corporate and Specialty

Allianz Global Corporate & Specialty (AGCS) is a leading global corporate insurance carrier and a key business unit of Allianz Group. We provide risk consultancy, property-casualty insurance solutions and alternative risk transfer for a wide spectrum of commercial, corporate and specialty risks across 10 dedicated lines of business. Worldwide, AGCS operates with its own teams in 32 countries and through the Allianz Group network and partners in over 200 countries and territories, employing over 4,450 people. As one of the largest Property-Casualty units of Allianz Group, we are backed by strong and stable financial ratings. In 2019, AGCS generated a total of €9.1 billion gross premium globally. For more information, please visit Allianz Commercial or follow us on Twitter @AGCS_Insurance and LinkedIn.

About Allianz Care

Allianz Care provides international health, life and disability cover and services to a wide range of customers, including multinational companies, intergovernmental organisations and private individuals and families. Our mission is to ensure that customers have access to quality healthcare through our support, care and commitment to go the extra mile. We are a truly global health partner ensuring fast and simple access to the best advice, treatment and value for our customers. Allianz Care is the international health brand of Allianz Partners. For additional information, please visit Allianz Care or connect with us on Facebook and LinkedIn.