Australian Gen Zers and Millennials are propelling the international travel rebound with almost half (49%) taking an overseas trip in 2023. A whopping 76 per cent of Aussies aged 18-29 are travelling just as much as pre-pandemic while nearly one in five (18%) travelled overseas even more.
In contrast, just 23 per cent of those aged over 70 were least likely to have travelled overseas in the last year and 67 per cent indicated they were travelling less than pre-COVID, according to a new 1Cover Travel Insurance survey.
While older Aussies travel overseas less frequently, over-70s who travelled overseas are more likely to take longer journeys of 15-39 days and more than one-third (34%) had taken a cruise in the past 12 months, providing a great opportunity for travel advisors to provide guidance and expertise.
Keen and confident to travel
However, despite their eagerness and confidence in travel, the survey also found that young Aussies who travelled overseas were also the least likely to be covered with at least 30 per cent heading abroad without travel insurance.
The data corresponds to a recent DFAT survey that showed those aged between 18-29 were the most likely to forgo travel insurance.
The top reasons for not taking out cover were “going on a very short trip” and “not thinking it was good value for money”.
For young Aussies who travelled overseas, adventure was the top driver for overseas trips, followed by visiting family and friends and exploring other cultures.
The types of activities also depended on their destination with those travelling to New Zealand, the US, and the UK being more likely to hire a car, while those travelling to Bali or Thailand had a higher chance of riding a scooter or motorbike.
Risky gamble on unpredictable travel
1Cover Travel Insurance spokesperson Natalie Smith said that failing to pack travel insurance due to a false sense of security was leaving young travellers at immense risk.
“It’s dangerously misguided to assume you won’t need travel insurance, regardless of your destination or trip length. Travel is unpredictable and assuming you’re impervious to risk can leave you hugely exposed in the event of an emergency,” she said.
Smith says another common assumption was that reciprocal healthcare agreements for Australians, which grant certain medical healthcare benefits in other countries, could substitute for travel insurance.
“Relying solely on reciprocal healthcare coverage does not replace the need for travel insurance. For instance, it would not cover medical evacuations and it is unlikely to cover non-emergency treatments, medications or specialised care.
“In an emergency scenario, you could still be left with extremely high, out-of-pocket medical costs.”
Earlier this year, 1Cover data found more than a quarter of Aussies (28%) take out a policy just three days before departure, while nine per cent purchase cover on the day.
