Indonesia remained the most visited destination for Australian travellers in 2024, with significant growth in both travel insurance sales and claims, according to data released by 1Cover Travel Insurance.
Policy sales to Indonesia rose 25% year-on-year, and were 50% higher than pre-pandemic figures. Bali was identified as the primary location within the region drawing Australian tourists.
According to the Australian Bureau of Statistics, Indonesia attracted nearly 135,000 Australian travellers in November 2024 alone. This made it the top overseas destination for Australians that month, ahead of Japan and Thailand.
Natalie Ball, chief operating officer at 1Cover, said travellers are increasingly exploring Indonesia’s smaller islands, which often lack advanced healthcare facilities.
“We’ve seen a marked interest in travel to Indonesia’s smaller islands as travellers seek authentic, affordable experiences. However, claims have skyrocketed, along with cases of gastro, falls, and scooter accidents. We also saw a troubling spike in dengue fever, especially in parts of Bali,” she said.
Alongside the increase in visits, travel insurance claims linked to Indonesia also rose sharply. In 2024, 1Cover reported a 40% rise in claims compared to the previous year.
The majority of claims were related to medical incidents, including illness and accidents involving scooters. The insurer said common issues such as food-related illness and road traffic incidents continued to be primary drivers of medical claims.
Ball said travel to Bali continues to grow due to affordability, but incidents requiring medical attention remain common.
“Indonesia, and Bali, specifically, remains a top Aussie favourite, thanks to its affordability. But despite the low cost of travel, the cost of a medical incident in Indonesia can be staggeringly high. Common issues like Bali belly and the high frequency of traffic accidents on Bali’s roads mean that Aussies are often likely to require medical help while enjoying their getaway,” she said.
One of the insurer’s most costly claims last year involved a traveller in Lombok who fell seriously ill and required both intubation and air evacuation. The resulting claim exceeded $287,000.
Natural events are also impacting travel to the region. The eruption of Mount Lewotobi Laki-Laki in November 2024 caused widespread flight cancellations from Bali, disrupting travel plans for many.
Ball noted that such volcanic activity is a recurring challenge in the region and a key reason to consider insurance that covers cancellations and delays.
She added: “It’s crucial for travellers to remember that remote islands may not have adequate medical facilities requiring air transfers, and hospitals in Bali and throughout Indonesia may refuse treatment without proof of coverage, so make sure you double-check you have sufficient travel insurance before you go.”
