Scrimping on travel insurance could end up costing an arm and a leg

19 February 2008 / by Joy Tibbs
Annual travel insurance policies often work out cheaper than single trip deals for those taking part in winter sports, according to moneysupermarket.com. The company also found that single-trip cover can cost as much as 27 per cent more for those travelling to the US than annual cover.

Head of insurance research, Peter Gerrard, says: "Our research exposes the myth that single-trip policies are always cheaper than annual multi-trip cover. It pays to shop around, especially if you are travelling more than once a year.

"There are obvious savings to be made, especially when winter sports cover is included."

The comparison site reports that the cheapest worldwide annual multi-trip travel insurance policy for a family of four including winter sports cover is less than £58 from Flexicover Direct. Meanwhile, the cheapest single-trip travel insurance equivalent for a two-week period was more than £73. Even the cheapest one-week cover was more expensive than annual cover at £61.

Furthermore, the level of cover often varies between single and multi-trip deals. In this case, the annual policy offers twice the medical expenses limit. Moneysupermarket.com recommends that policies should include the following as bare minimum: £2 million for medical expenses, £1 million personal liability, £3,000 cancellation, £1,500 for baggage and £250 for cash.

"I strongly advise checking the level of cover on your policy for all sports you may enjoy – especially if you plan to go off-piste," says Mr Gerrard.

"Personal accident and medical cover are also vital, plus cover against loss, theft or damage of costly ski equipment. For more expensive trips such as ski holidays, ensure your cancellation cover meets the cost of the holiday – in some cases the standard £3,000 might not suffice."

© Fair Investment Company Ltd