As international travel demand surges, new research reveals that Australians are prioritising overseas trips despite financial pressures, while many risk travelling uninsured.
A report by financial comparison site Mozo analysed 166 travel insurance policies from 51 providers and surveyed 1,425 Australians about their travel insurance habits. The findings indicate that while travellers are eager to explore, many are making critical decisions based on price rather than coverage, potentially leaving them vulnerable to unexpected costs.
According to the latest Australian Bureau of Statistics data, over 912,000 Australians returned from overseas in November 2024, marking a 7.4% increase from pre-COVID 2019 levels. Indonesia remains the top destination, attracting nearly 135,000 Australian visitors in November. Japan and Thailand also saw notable increases, with travel to Japan rising by 34% and Thailand by 20% since 2022.
“Even with the cost-of-living crunch, Aussies aren’t putting their passports away, so our latest
research helps travellers through the clutter, to find the best coverage at the best price,” said Mozo money expert Rachel Wastell. “Australians are still prioritising travel, and with the cost of living already a major concern, travellers should be looking for every opportunity to save on travel insurance.”
Mozo’s research highlights significant savings available for travellers who compare insurance policies. For a two-week trip, choosing the best-value policy could save Australians between $130 and $157, depending on their destination.
The report found that:
Despite these savings opportunities, 57% of Australians prioritise price over coverage when selecting a policy. Only 20% of travellers read their Product Disclosure Statement (PDS) in full, leaving many unaware of policy limitations.
“This lack of awareness could leave travellers exposed to unexpected costs, especially if they
assume they’re covered for things they’re not,” noted Wastell.
The report also found that 13% of Australians travel without insurance, while 14% rely on credit card coverage, which may have restrictions.
“Many travellers miss out on significant savings simply by not shopping around. By taking the time
to compare policies, you can find great value without compromising on protection for your trip,” said Wastell.
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