Travel insurance

Should You Get An Annual Travel Insurance Plan?

By Alevin Chan | On February 14, 2018 | Reading time: 4 mins


There are several instances where an annual travel insurance plan can help Singaporean travellers stay protected, avoid hassle and save money.

Travel insurance plans come in two forms – single-trip plans that expire after covering the stipulated trip, or as annual policies that stay active for the 12-month period you paid for.

As with any financial product, which travel insurance plan you should get is a matter of personal needs. Hence, you should choose carefully so as to obtain an appropriate level of coverage.

Here are 4 times when an annual travel insurance policy may work better for you.   

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If You Have Multiple Trips In A Year

Given that both single-trip and annual versions are offered for the same travel insurance plan (i.e., both versions offer the same benefits and same scope of cover), one way to decide which you should get comes down to simple Mathematics.

Although an individual single-trip plan is cheaper than an annual plan, buying multiple single-trip policies could add up to the point where it might just be cheaper getting the annual version instead.

To find out, get single-plan quotes for all the trips you’ve lined up for the year, add them up, and then compare against the cost of the annual plan. Go for whichever is cheaper.


If Your Trips Last 90 Days Or Less

You may have a whole year of travel lined up, but before you embark on your holiday, make sure that the duration of each of your trips lasts no longer than 90 days.

The large majority of annual travel insurance plans offer up to 90 days of continuous cover per trip. (A “trip” is defined as from when you leave Singapore to when you get back.) This means you’ll not be able to make a claim for any incidents that happen from the 91st day and beyond.

However, this 90-day period is reset when you get back to Singapore, and your annual travel insurance plan continues to remain in force.

Therefore, if one or more of your trips are going to be significantly longer than 90 days, you should consider getting a single-trip travel insurance policy instead. Those will cover you for up to 180 days.

If You Need To Visit Different, Far-flung Locations

Travel insurance plans are priced according to your destination. This means that if you’re planning to visit multiple locations located in vastly different regions of the world (Africa and Japan, for instance), you may find yourself needing to buy two separate annual travel insurance plans.

If this is the case, try looking for an annual travel insurance plan that gives you global cover instead. This way, you can attain the coverage you want without having to buy multiple expensive plans.


If You Need To Fly On Short Notice

If you are in a job that requires you to fly to a different country on short notice, it may be worthwhile signing up for an annual travel insurance plan.

In the rush to get to your destination, you may neglect to purchase the necessary single-trip plan. This could turn prove to be a costly omission should you lose precious personal belongings or expensive equipment while overseas.

By signing up for an annual travel insurance plan, there’ll be one less thing for you to worry about when you need to fly urgently.

Check Your Credit Card Before You Buy

You may not need to fork out money to purchase a travel insurance plan, if you have the right credit card.

Several of the most popular credit cards in Singapore come with free travel insurance that provides you with coverage for the duration of your trip. To activate this coverage, simply charge the entire cost of your trip to the appropriate card.

Credit card travel insurance plans are offered on a single-trip basis, but you can continue using them as long as you’re able to charge your trip – this means maintaining sufficient credit balance on your card.

Besides, you aren’t paying extra money for the coverage, so it doesn’t matter if the policy is single-trip or annual.

Not sure which card you should get to accompany you on your travels? Use’s comparison tool to quickly and easily find the best credit card – for free!  

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