Annual travel insurance is a type of insurance often purchased by retirees or business people who spend a lot of time in foreign countries. Essentially annual travel insurance means you are covered for a period of 12 months for any travelling you do, no matter the destination. Of course, as with all insurance coverage, you need to carefully read the exceptions and the rules to understand the extent of the coverage.
The price of annual travel insurance compared to single-trip insurance is usually only marginally higher. It is not the same as simply multiplying your one-week vacation by 52 to get the yearly rate. The insurance companies are very competitive, and have a complicated menu of possibilities when calculating rates. As with all insurance needs, do a lot of research with a number of travel insurance companies to find a package that suits you and your needs.
One of the problems that crops up in the insurance business is the constant manipulation of the rules to suit the company and help them avoid risk and payouts. Especially with annual travel insurance, companies will often insert rules that allow them to change the rules during the year. This allows them to set unrealistically low premiums in order to win business, and then change the premiums once you are under contract. It is completely unethical, and unfortunately, completely common. Again, research your company carefully before signing anything.
For those who are considering extended travel and annual travel insurance looks like a good option, it may be beneficial to hire a lawyer to help with the language of the contract. A lawyer can at least help you to understand the complicated nature of the contract, though there is likely little they can do to make changes. Unfortunately, insurance contracts are not as easily negotiated as many other types of contracts. They are more similar to telecommunications companies than, for instance, a job contract. In other words, the contract is really more about protecting them than outlining what they will provide to you. Nevertheless, insurance is a necessary requirement of travel, so you must eventually sign some contract. You may as well do the research and find the best one you can.
Before deciding on annual travel insurance, you need to determine approximately how much travelling you intend to do. It may be cheaper to opt for several single trip periods, instead of one overall. Your coverage will be more specific to the circumstance of each trip, and thus will leave less room for the insurance company to wiggle out of when it comes time to make a claim. Also, consider multi-trip insurance, which is similar to having several single trip plans outlined into one plan, with the periods in -between when you are back home not being charged.
There is a lot of number crunching and fine-print reading involved in all this, but that is the nature of insurance of any kind. Annual travel insurance is a fine option for many people, and there are a number of fine companies that deal with this kind of insurance. Your job is to find the one best suited to you , and read very carefully all that is laid out. If you find something you don't like, just keep searching. You may have to make some compromises, but at least you will be well informed about the extent of your coverage, in the event that some misfortune does befall you while travelling.
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