Global Travel Insurance Market: Lots of Untapped Potential Across the Industry – SkyQuest Technology

Westford, USA, July 27 2022 (GLOBE NEWSWIRE) — There’s no doubt that the travel world has seen a proliferation of luxury and budget accommodations in recent years. And with more people traveling for leisure, it stands to reason that there would be an increase in demand for travel insurance. According to the World Health Organization (WHO), approximately 1.5 billion people travel each year, and this figure is expected to increase significantly in the coming years. According to SkyQuest’s analysis of travel insurance market in 2020, 41% of travelers surveyed said they would take more risks if they knew their trip would be covered in the event of an emergency.

This increase in the need for travel insurance is likely due to a number of factors; namely, the increase in tourism and international travel, as well as personal factors such as incidents during travelers’ recent trips. According to CAA, a British travel insurance company, the average cost of an annual travel insurance policy has increased by 20% since 2014.

Despite this increase in demand in the travel insurance market, not all travelers purchase travel insurance. And even if they are, many travelers don’t seem to use it as much as they should. According to a study by Insure My Trip, only 55% of Canadians have travel insurance for a vacation in Europe and only 53% have coverage for a trip to Australia or New Zealand.

The study also found that only 27% of American adults have travel insurance, despite the fact that it could save them money in the event of an accident or illness abroad. This lack of interest in travel insurance may be due to a lack of knowledge about how to purchase it or uncertainty about whether the investment is worth it.

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At least 63% of people travel without travel insurance in developed countries

Demand for the travel market continues to grow globally, with the market expected to reach an annual value of $71.33 billion by 2028. In order to help understand travel insurance demand, technology SkyQuest conducted a survey with a sample of 10,000 people in the United States, Canada, India, China, United Kingdom, Germany and the Netherlands. The results of this study indicated that 63% of respondents had traveled without travel insurance or purchased only minimal coverage.

When considering whether or not to purchase travel insurance, respondents to the travel insurance market survey were most concerned about the potential costs associated with travel (54%) and personal safety (50% ). Only 15% of respondents felt they had to take action if something went wrong during their trip.

Based on this study of the travel insurance market, it can be inferred that there is a significant segment of the population that does not feel comfortable traveling without adequate protection against potential emergencies. In order to address this growing concern, it is likely that more insurers will start marketing their products specifically to those who are least likely to buy them, i.e. those who are least likely to buy them. need.

Less than 10% of people in Asia and Latin America have travel insurance

Developing countries have a very low penetration of travel insurance, which puts their citizens at a disadvantage when traveling. A World Bank study found that only around 10% of people in developing countries have travel insurance, compared to 36% in developed countries. In countries like Thailand, Cambodia, India and China, Brazil, Colombia, where people spend nearly $3 a day to survive, are found with the least penetration of travel insurance.

The situation is worse in the African travel insurance market. A recent SkyQuest study found that only 1.8% of travelers to Africa and 2.1% of travelers to Southeast Asia had travel insurance policies.

There are many reasons why people cannot purchase travel insurance. Some people in the travel insurance market may think it’s not necessary for them, given their lack of experience traveling outside of their own country. Others may think that any loss incurred while traveling will be covered by the government or their insurer anyway.

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Booking platforms have become the main distributor of travel insurance

As the travel insurance market evolves, so does the way people protect themselves against potential risks while abroad. One such recent trend has seen booking platforms take a leading role in providing travel insurance, both as an additional service for their customers and as a means of differentiating themselves from the competition.

Most notably, platform giants like Airbnb and TripAdvisor now offer their own dedicated travel insurance policies, which can be purchased directly through their respective websites or apps. This means that not only can customers purchase insurance from the same place they make their reservations, but they also enjoy additional discounts and benefits compared to purchasing stand-alone policies elsewhere.

In a recent SkyQuest Technology study of the travel insurance market, was found to be the most popular platform for purchasing travel insurance, with 59% of users saying they had purchased insurance through the site. In second place was Expedia, with 54% of users saying they had done the same.
In July 2022, BimaPlan partnered with Zingbus to provide travel insurance. This would help the company tap into the potential customer base that travels by road.

Booking platforms in the global travel insurance market have become valuable resources for travelers due to their extensive offerings and user-friendly interfaces. Not only are these sites great sources for finding accommodations and other rental items, but they also offer a wide range of travel services, such as airfares and vacation packages. Additionally, many of these sites offer add-on products like travel insurance, which can be essential to ensuring a safe and worry-free trip.

While there are plenty of other great travel websites out there, booking platforms are clearly leaders when it comes to providing essential products and services to travelers. With this in mind, SkyQuest has released a Travel Insurance Market report that focuses on consumer behavior, market analysis, travel insurance market penetration, consumer insights, trends, Market dynamics, opportunities, potential risks and challenges of the Travel Insurance market. The report would help companies formulate growth strategies by understanding the gap between demand and supply and identifying new revenue pockets to expand their reach.

Key players in the global travel insurance market

  • Partners Allianz (France)
  • American Express (USA)
  • American International Group Inc. (USA)
  • Arch Capital Group Ltd. (Bermuda)
  • Aviva PLC (UK)
  • Berkshire Hathaway Specialty Insurance (USA)
  • China Pacific Insurance Co., Ltd. (China)
  • Chubb Limited (Switzerland)
  • Assicurazioni Generali Group (Italy)
  • Groupama Sigorta AS (France)
  • HanseMerkur Insurance Group (Germany)
  • InsureandGo (UK)
  • Ping An Insurance Company of China, Ltd. (China)
  • Seven Corners Inc. (USA)
  • SOMPO Holdings, Inc. (Japan)
  • Travelex Insurance Services Inc. (USA)
  • Zurich Insurance Group Ltd (Switzerland)

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