Report Overview

The global travel insurance market size was valued at USD 17.8 billion in 2021 and is expected to grow at a CAGR of 15.4% from 2022 to 2030. Factors such as the rising demand for tourism and technological development are driving the demand for the travel insurance market. Additionally, the increasing travel laws and regulations by the government for travelers and travel insurance providers are fueling the demand for travel insurance worldwide.

The outbreak of coronavirus had an adverse impact on the travel insurance market. In 2020, the pandemic had a significant impact on the worldwide travel and transportation sector, resulting in a travel disruption. On the other hand, the travel insurance market experienced growth due to the increased demand for travel protection and medical insurance while traveling during the post-pandemic.

Gather more insights about the market drivers, restrains and growth of the Global Travel Insurance Market

U.S. travel insurance market size, by insurance coverage, 2020 - 2030 (USD Million)

Insurance Coverage Insights

The market is segmented based on insurance coverage into single-trip travel insurance, annual multi-trip travel insurance, and long-stay travel insurance. The single-trip travel insurance segment dominated the market with a share of 60.1% and is expected to register the highest CAGR of 16.0% during the forecast period. The growth of the single-trip travel insurance segment can be attributed to the factors such as loss of baggage, emergency dental treatment costs, personal liability cover, fire cover, trip interruption or cancellation, missed flight connection, and many more such services.

Distribution Channels Insights

Based on distribution channels, the market is segmented into insurance intermediaries, insurance companies, banks, insurance brokers, and insurance aggregators. The insurance companies segment dominated the market with a revenue share of 34.8% in 2021 and is projected to retain its position during the forecast period. The growth of this segment can be attributed to the factors such as increasing consolidating risk among numerous policyholders and the setting up of premiums according to the likelihood that a specific occurrence will occur and will lead to typical financial loss.

End-Users Insights

Based on end-users, the market is segmented into education travelers, business travelers, senior citizens, family travelers, and others. The other sub-segment further comprises individuals and groups. The senior citizens segment accounted for the largest revenue of USD 5,805.5 million in 2021 and is projected to expand at a CAGR of 13.9% during the forecast period. The services offered like emergency evacuation, subsidies on tickets, trip cancellation coverage, and coverage for luggage loss are fueling the market growth of this segment.

Regional Insights

Europe dominated the market with a share of 36.1% in 2021 and is anticipated to expand at a CAGR of over 14.3% during the forecast period. Factors such as increasing travel & tourism led to the growth of wealth, modern communication, and peace among the neighboring. According to a survey conducted in June 2020, covering 2,636 respondents and 87 different third-country nationals, by the Research and Statistical Department of SchengenVisaInfo.com, 62% of travelers intended to visit Europe soon after the European governments reopened the borders due to the COVID-19 pandemic.

Key Companies & Market Share Insights

The competitive landscape of the travel insurance market is fragmented, featuring several global as well as regional players. The key participants are entering into strategic collaborations, partnerships, and mergers & acquisitions to expand their business footprint and survive the highly competitive environment. Moreover, service providers are investing considerably in research & development activities to incorporate new technologies in their offerings and develop advanced solutions to gain a competitive advantage over other market players.

In July 2022, One80 Intermediaries, a specialty insurance broker, announced the acquisition of SelmanCo, an insurance administrator. With the acquisition of SelmanCo, it focuses on expanding its presence in the affinity market, enhancing the employee benefits space as well as the insurance offering to retired members of the U.S. Armed forces and family.

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Some prominent players in the travel insurance market are:

  • Allianz
  • American International Group, Inc.
  • AXA
  • ASSICURAZIONI GENERALI S.P.A.
  • USI Insurance Services, LLC
  • battleface
  • Insure & Go Insurance Services Limited
  • Seven Corners Inc.
  • Travel Insured International
  • Zurich
  • Delphi Financial Group, Inc.
  • Ping An Insurance (Group) Company of China, Ltd.

Travel Insurance Market Segmentation

Grand View Research has segmented the global travel insurance market based on insurance coverage, distribution channel, end-users, and region:

Insurance Coverage Outlook (Revenue, USD Million, 2017 - 2030)

  • Single-trip Travel Insurance
  • Annual Multi-trip Travel Insurance
  • Long-stay Travel Insurance

Distribution Channel Outlook (Revenue, USD Million, 2017 - 2030)

  • Insurance Intermediaries
  • Insurance Companies
  • Banks
  • Insurance Brokers
  • Insurance Aggregators

End-Users Outlook (Revenue, USD Million, 2017 - 2030)

  • Education Travelers
  • Business Travelers
  • Senior Citizens
  • Family Travelers
  • Others

Regional Outlook (Revenue, USD Million, 2017 - 2030)

  • North America
    • U.S.
    • Canada
  • Europe
    • U.K.
    • Germany
  • Asia Pacific
    • China
    • India
    • Japan
  • Latin America
    • Brazil
  • Middle East & Africa

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Recent Developments

  • In September 2022, battleface launched a brand new customisable travel insurance product to avoid unnecessary costs, and meet specific needs of the business travel sector
  • In August 2022, Generali acquired majority stakes in the AXA-Affin joint ventures in Malaysia to widen its leadership position in high potential markets including travel insurance, and others
  • In July 2021, Allianz acquired Westpac’s general insurance business to increase the range of products including travel insurance, and other general insurances offered by Allianz through Westpac, and expand its customer base

About Grand View Research

Grand View Research is a full-time market research and consulting company registered in San Francisco, California. The company fully offers market reports, both customized and syndicates, based on intense data analysis. It also offers consulting services to business communities and academic institutions and helps them understand the global and business scenario to a significant extent. The company operates across multitude of domains such as Chemicals, Materials, Food and Beverages, Consumer Goods, Healthcare, and Information Technology to offer consulting services.

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