Majority of Australians Travel Without Insurance, Citing Cost as the Main Barrier
Travel is gradually returning to pre-pandemic levels, but a recent survey conducted by comparison website Finder has revealed that most Australians are not taking out travel insurance before embarking on their trips. The nationally representative survey of 1,056 people conducted in November found that 59% of Australians, equivalent to almost 12 million people, have traveled without insurance.
Among those surveyed, 40% stated that the main reason for not getting travel insurance was the high cost associated with it. Additionally, 14% mentioned that they were unsure about what travel insurance covers, 13% believed that nothing bad would happen to them during their trip, and 8% found the process of organizing insurance too complicated.
While 32% of respondents said they always purchase travel insurance, and an additional 9% mentioned being covered by their credit card, the majority of Australians still choose to forgo insurance. This trend is particularly prominent among millennials (49%) and Gen Z (41%), who cited cost as the primary deterrent. On the other hand, 48% of baby boomers stated that they always take out travel insurance.
Gary Ross Hunter, an insurance expert at Finder, emphasized the importance of travel insurance as travel resumes. He warned that unforeseen mishaps can lead to significant financial stress if travelers are not adequately covered. Hunter highlighted the potential costs associated with medical emergencies abroad, which can amount to tens of thousands of dollars without proper insurance coverage.
Despite the perceived high cost, Hunter argued that travel insurance is a small price to pay for peace of mind. He advised travelers to consider their specific needs when selecting a policy and to shop around for the best coverage options.
According to Finder research from September, the average cost of travel insurance for Australians is $235.37. However, this cost can vary depending on factors such as age, destination, trip duration, and pre-existing medical conditions.
The Australian Government’s Stance on Travel Insurance
The Australian government’s Smartraveller website emphasizes the importance of travel insurance for Australians going overseas. It states that travel insurance is as crucial as having a passport and expects all Australians traveling abroad to have appropriate coverage. The website warns that if travelers cannot afford insurance, they cannot afford to travel.
Smartraveller also highlights the need for personal responsibility when traveling and advises against relying solely on consular services in case of emergencies or financial difficulties. A recent report from the Department of Foreign Affairs and Trade revealed various incidents where Australians faced challenges abroad, including lost passports, hospitalization, and natural disasters.
The report identified Southeast Asia as a common region where Australians experienced serious illnesses or required hospital treatment, with Thailand being the most dangerous destination. Brazil was noted as the country where Australians were most likely to have their possessions stolen, followed by Italy, the Philippines, Vietnam, and South Africa. The United States, Italy, the United Kingdom, France, and Spain were the top countries where Australians needed emergency passports due to loss or theft.
Conclusion
Despite the financial concerns associated with travel insurance, it remains a crucial aspect of responsible travel. As Australians resume their jet-setting ways, it is essential to prioritize adequate coverage to protect against unforeseen circumstances. By considering their specific needs, comparing policies, and finding the right coverage, travelers can ensure peace of mind during their journeys.
About the Author
John Doe is an experienced travel writer and insurance expert at Finder. With a passion for exploring new destinations and a deep understanding of the insurance industry, John provides valuable insights and advice to help travelers make informed decisions about their coverage options.
George Barham, an accomplished journalist and avid gambling enthusiast, serves as the esteemed Editor-in-Chief at fly-to-australia.com, Australia’s leading source for comprehensive gambling news and insights. With an unwavering passion for both the written word and the ever-evolving world of betting and gaming, George brings a wealth of knowledge and expertise to the helm of our editorial team.
