Only 24 per cent of people purchased travel insurance for their most recent trips, and 92 per cent plan to buy it for future journeys, according to a report by ICICI Lombard. The report titled “Research around Travel Behaviors” sheds light on travel preferences of individuals aged 21 to 55 years. Almost 50 per cent of respondents faced an issue while purchasing their travel insurance, ICICI Lombard said in a press release on Wednesday citing the study.
The study interviewed 757 individuals who made at least one international non-work-related trip over the past year and those planning international travel in the next one to two years.
Furthermore, of some 50 per cent of respondents who faced an issue while buying travel insurance, an overwhelming 80 per cent said they found purchasing travel insurance the most
difficult when someone else is booking their insurance coverage.
Southeast Asia and the Middle East emerged as the top choices for travellers. European destinations are also popular, particularly among North Indian travellers. Additionally, the study unveiled that 47 per cent of respondents intended to travel during the summer, coinciding with school holidays, while the monsoon season is the least popular travel season. The younger people prefer to travel to the Middle East, while the middle-aged group leans towards Southeast Asia.
Respondents with kids are more inclined to have more than two trips a year. Those aged 21 to 55 stand out, with 61 per cent saying they undertake two or more trips annually. Similarly, such trips are one in three for those aged 45 and above. Those who take two or more trips have shorter vacations, 11 to 12 days. People taking one trip annually spend 13-14 days on vacation.
The research underscores the significant role travel destinations play in travellers’ decisions to purchase insurance. As much as 71 per cent of respondents noted that their choice of destination determines the need for travel insurance. The strongest inclination to buy insurance was observed when travellers planned to visit Australia or New Zealand, at 83 per cent. The Middle East saw the lowest demand for insurance, with 74 per cent.
Two in five respondents encountered issues while planning their latest international travel. For younger travellers, visa applications and finalising bookings posed the biggest problems (both at 51 per cent). In contrast, the middle-aged group struggled with airline bookings and arranging logistics between cities at 48 per cent each. Both age groups saw fewer travel insurance issues.
Interestingly, customers who were married without children seemed to face the most challenges, with 48 per cent reporting issues. A highly faced problem identified was arranging logistics or transport between cities, regardless of whether travellers handled it independently or through travel agencies or a comprehensive tour package.