If you are confused or complacent about your travel insurance coverage, you’re in similar company with eight in 10 Australians not fully understanding what is covered, and one in five admitting they have no idea what travel insurance protects them for.
The new iSelect survey also found 51 per cent of Aussie travellers only take out travel insurance for overseas trips, leaving them unprotected on domestic trips, despite local travel claims costing more than international ones.
These figures reveal a mix of confusion and complacency around travel insurance, even as Aussies face extreme weather events, global geopolitical tensions, flight cancellations and ongoing disruptions. And some pretty hefty insurance payouts for overseas mishaps and misadventures.
With travel becoming more unpredictable, iSelect spokesperson Hannah Norton said the knowledge gap leaves many people exposed to potentially costly and stressful situations. And it’s where advisors can highlight how these uncertainties make comprehensive coverage more important than ever.
“Australians love to think of themselves as savvy travellers, but the data shows that when it comes to insurance, many are leaving themselves exposed,” she said.
“It’s clear that many view travel insurance as ‘nice to have’ rather than essential. But overlooking it could leave them far more financially exposed, should something go wrong on their trip.
“Travel insurance is there to protect you when things don’t go to plan, but it’s crucial to understand what you’re covered for.
“Travelling with only a partial safety net leaves people exposed to cancellations, delays, lost luggage or medical emergencies, and for those who don’t know their coverage, it could mean facing unexpected costs and stress with a false sense of security,” she said.
