Annual Travel insurance vs Single and Cancellation questions

Tr5ller

Hi

Looking into travel insurance atm and with several pre-plan trips, I assume the Annual travel insurance would be more reasonable to get. However I would like to understand a bit more in regards to the cancellation coverage.

Supposedly if I have 2-3 separate trips plan and due to unexpected incident had to cancel 2 of 3 trips due to the same cause, would I be eligible to claim under annual travel insurance for both trips separately if the cancellation coverage is only enough for 1 trip? Or do I need to consider a higher coverage?

Reason I ask is sometimes I see the wording in policy :

"Below is the schedule of cover showing the maximum amount payable for each insured person "per incident" ?

It's not indicating "per trip". if someone could shed some clarity on this will be grateful!

Thanks

Grumpy_chap

, I assume the Annual travel insurance would be more reasonable to get.

I just renewed my policy with Admiral and the annual policy at £116 for both of us was cheaper than single trip. Pre-existing medical conditions included

eskbanker

https://forums.moneysavingexpert.com/discussion/6681795/annual-travel-insurance-vs-single-and-cancellation-questions

I'd interpret the reference to 'per incident' as meaning whatever root cause occurred to result in the need to cancel one or more trips, so if you want to cater for multiple trip cancellations arising from one underlying insurable event then you'd need to ensure that the maximum cancellation coverage is set accordingly, i.e. to cover the aggregate value of the affected trips.

I'm sure there will be some scenarios where an incident results in having to cancel multiple trips (do you have anything particular in mind?) but conversely I'm sure that there'll be plenty where only one would need to be cancelled…

MyRealNameToo

https://forums.moneysavingexpert.com/discussion/6681795/annual-travel-insurance-vs-single-and-cancellation-questions

Ultimately you would need to read the policywording, including any defined terms, in most consumer insurance you would get a per claim limit so the incident would be the cancellation of the holiday and the the illness is the cause. It is possible to have aggregate limits but they are more common in non-consumer insurance

Looking at their Gold policybook it states:

Policy limits
Each section of cover has a limit on the amount we will pay. That limit is per person, per trip. Some sections may also include specific limits for individual items or in total (for example, for valuables). The policy schedule includes a table of benefits to show the limits that apply.

So the limit is per person per trip not per illness. Note that most dont realise the limit is per person so if you are pushing the boat out and spending £7,500 per person for a trip for 3 people you only need a £7,500 limit not the £20k+ that many think they do

Tr5ller

https://forums.moneysavingexpert.com/discussion/comment/82122998#Comment_82122998

nothing in mind. I have been for many years simply getting the annual travel insurance. only happen to have to claim cancellation once couple years back for a trip affected, but the recovery took couple months in. Now upon reflecting on that incident made me realised that I needed to properly consider the cancellation amount and get proper coverage in case that should happen again.

Tr5ller

https://forums.moneysavingexpert.com/discussion/comment/82123022#Comment_82123022

Thanks for that. so it seems from yours and eskbanker comments, I should be reading the policy wordings and ensure it's per trip rather than per incident!

MyRealNameToo

https://forums.moneysavingexpert.com/discussion/comment/82123096#Comment_82123096

you should always read the policywordings… the law sets very few constraints and whilst there are common features ultimately it comes down to what the policy says 99% of the time. You dont want to be buying your policy assuming its going to follow the norms and then find at the point of needing to claim that it deviates and so you are uninsured.

A classic example is annual policies on holidays that will happen after the policy expires, most will cover the cancellation as long as the incident that leads to the cancellation happens during the period of insurance but some poor quality policies dont cover any holiday thats going to happen after the insurance ends irrespective of when the cause happens.

Whilst customers only care about price there is a race to the bottom and people will come up with new ways of making policies cheaper by cutting out covers or putting more restrictions in.