So you’re about to head off on your next interstate holiday? You have your flights booked, your accommodation sorted and your clothes, devices and other essentials packed. But there’s one other box an increasing number of Aussies are ticking before jetting off within Australia: travel insurance.
Unlike its international counterpart, domestic travel insurance has long been overlooked. Not so anymore, a new study has found.
Conducted by travel insurance provider InsureandGo, the survey revealed that two in three (68 per cent) Aussies intend to purchase domestic travel insurance for their next Australian vacation.
According to InsureandGo Chief Commercial Officer Jonathan Etkind, domestic holidays have increasingly become riskier due to such things as flight delays and cancellations, misplaced luggage and extreme weather events. Travellers are also considering potential disruptions caused by labour shortages and industrial action.
“Last year, many travellers were let down by the frequency of cancelled or delayed flights, ongoing flooding and natural disasters as well as patterns of lost or delayed luggage – mostly during peak holiday periods,” Etkind said.
“As risks of personal financial losses increased, our survey shows last year’s logistical problems are still at the top of mind for many travellers, who will be expecting delays over easter once again and will take action to protect themselves in the event of a travel mishap, through travel insurance.”
NOT a generational thing
Older Australians lead the way for domestic insurance – but not by much. According to the study, seven in ten (70 per cent) over-50s said they would seek out domestic policies. But even most 31-50-year-olds (68 per cent) and under-30s (66 per cent) are looking at the same option.
Specifically, more than half (52 per cent) of those polled flagged the cost of lost luggage as a valuable insurance claim to them.
Almost half (42 per cent) also saw value in insurance that covers the cost of stolen items.
Meanwhile, nearly one in three (29 per cent) valued coverage for car hire insurance excess costs in the event of an accident.
Taking into account the opinions of over 1,000 Australian travellers, the study revealed South Australian respondents to be the likeliest (at 75 per cent) to take out insurance for domestic travel this year.
In December, Canstar revealed the best value travel insurance policies.
