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Covid-19 Insurtech News

Travel Insurers Need to Bump Up Covid Cover, as 55 % of Consumers Planning to Travel in 2021 Said it Would Be the Most Important Aspect of Travel Insurance

Travel Insurers Need to Bump Up Covid Cover, as 55 % of Consumers Planning to Travel in 2021 Said it Would Be the Most Important Aspect of Travel Insurance | Fintech Finance

According to new research published by leading digital marketing agency AccuraCast, the most important aspect of travel insurance for consumers looking to travel this year is a cancellation due to Covid restrictions (35%), followed closely by medical cover, including Covid cover (20%).

The survey of 1,500 people asked consumers what they would look for in a travel insurance policy for this year, but surprisingly the majority of respondents (42%) said they didn’t plan to travel at all in 2021, so wouldn’t have any need for travel insurance.

Coverage for delays was no longer a priority, with only 6% of respondents who were planning to travel, stating it was the most important aspect of a travel insurance policy.

Of those saying they would not travel in 2021, 50.5% were in the 65 years plus age group. Those aged 18 to 24 years old were most likely to travel (36% saying they would not travel). Respondents aged between 35 and 44 years were most likely to rank cancellations due to Covid restrictions as to their priority.

Farhad Divecha, managing director and founder, AccuraCast, said: “We ran our survey to find out what would be the most important aspect of travel insurance for people looking to get away in 2021. Surprisingly though, the results found that 41.5% of people weren’t planning on travelling in 2021 at all, so they wouldn’t need insurance.  The travel industry has already taken a massive hit from Covid, and the results of this survey show that 2021 isn’t necessarily going to get any easier. For those who are looking to travel, protection against Covid-related cancellations and illnesses are top of the priority list, meaning that insurers need to make sure their policies have this covered if they want consumers to feel safe when travelling this year.”

At the bottom of the priority list for consumers planning to travel was cover for delays (6%) and lost baggage cover (7%). Cover for general cancellations and medical cover were ranked 15% and 9.6% respectively.

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