Consumers now consider travel insurance as an essential component of their vacation plans after their experiences during the COVID-19 pandemic.
A recent study by Allianz Global Assistance revealed 89% of Canadians plan to secure travel insurance for their next trip.
Additionally, 74% said having travel insurance is equally or more important post-pandemic, while 32% said it is more crucial than before the pandemic.
This increased awareness presents a unique opportunity for brokers as the travel industry springs back to life from pent-up demand, according to Chris Van Kooten, CEO of Allianz Global Assistance.
“Our latest study revealed that Canadian households are projected to spend over $14 billion on vacations this year – that’s more than pre-pandemic vacation spending,” he told Insurance Business.
“With rising costs, protecting your travel investment with insurance has never been more important, and travellers who once left their vacations to chance are looking for security more than ever. There’s never been a better time to expand your offering with travel insurance.”
Van Kooten said brokers can capitalize on this trend by providing comprehensive protection, as well as seizing cross-selling opportunities when engaging with clients about their individual vacations or recurring annual trips. One way to do this is by offering auto-renewing annual travel insurance plans.
“When we talk about the future of travel insurance, we talk about making it more convenient and accessible,” said Van Kooten. “Brokers are a seamless bridge for this current gap in the market. For that reason, it’s important that you’re picking the right partner to help grow your business and make selling simpler.”
Read the full report to learn more about consumers’ evolving perceptions about travel insurance and how brokers can make the most out of this new opportunity.
