Travel Insurance Industry

The global travel insurance market size was estimated at USD 27.05 billion in 2024 and is projected to grow at a CAGR of 15.4% from 2025 to 2030. The growth of the market can be attributed to the growing popularity of travel and tourism and the subsequent awareness about buying dedicated insurance coverage covering various unforeseen events, such as flight delays, loss of luggage and other personal effects, and cancellation of trips, occurring while traveling. Furthermore, the adoption of travel insurance is gaining traction as advances in technology are allowing to bundle travel insurance purchases with online ticket booking, thereby contributing to the growth of the market.

Several insurance companies across the globe are striking partnerships with other insurance companies to launch travel insurance policies and provide comprehensive coverage at competitive rates. For instance, in October 2023, Trawick International, an insurance company, announced its partnership with STARR INTERNATIONAL COMPANY, INC., an insurer, to launch three new travel insurance policies underwritten by STARR’s U.S. subsidiary, Starr Indemnity & Liability Company. The newly launched trip cancellation policies, backed by the "A" (excellent) rating from A.M. Best, are called Safe Travels Defend, Safe Travels Armor, and Safe Travels Protect. These policies offer reliable and comprehensive coverage at competitive rates.

Insurance companies are integrating cloud computing into advanced analytics for enhanced results. The insurance industry's core skills and outdated business models can be transformed into a new and flexible model. Therefore, cloud, mobility, and advanced analytics are being incorporated to drive efficiency, security, and cost efficiency. In addition, insurance businesses are adopting the test-and-learn process to stratify massive unstructured data influxes using real-time data analysis. With the use of cutting-edge analytics software, insurance businesses can easily eliminate flaws in the execution of core operations, such as insurance underwriting.

A key trend in the market is the shift toward digital solutions, which streamline the purchase, claims, and customer service processes. Insurers are heavily investing in AI-driven technologies to enhance customer experiences, improve response times, and detect fraud more efficiently. Digital platforms are now providing on-demand insurance solutions and integrating with online travel booking sites, making travel insurance a seamless add-on during the booking process. As a result, travel insurance is becoming more accessible and user-friendly, especially for digitally savvy consumers who prioritize convenience.

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

Travel Insurance Market Segments Highlights:

• In terms of insurance coverage, the single-trip insurance coverage segment held the largest revenue share of 61.1% in 2024 and is projected to expand at the highest CAGR of 16.0% during the forecast period. The adoption of travel insurance is skyrocketing, and organizations are developing and adding more benefits, such as travel insurance for sports activities. Annual multi-trip travel insurance segment is anticipated to grow at a significant CAGR during the forecast period.
• In terms of distribution channels, Insurance companies held the largest market share in 2024 and is projected to maintain its dominance during the forecast period. The market growth of this segment can be attributed to the demand for trusted sources for the distribution of these policies, as they have an authorized set of packages and can rightly advise the customers about the travel insurance plans
• In terms of end-users, The senior citizens segment dominated the market in 2024. This growth is attributed to the increase in numerous policy plans for senior citizens, such as COVID-19 insurance cover and emergency medical covers. In addition, services like emergency evacuation, subsidies in tickets, trip cancellation coverage, and coverage for luggage loss have a positive impact on the market
• The business travelers segment is anticipated to grow at a significant CAGR during the forecast period. The surge in numbers of business trips in recent years and the increasing number of business travel insurance product offerings by the industry players are the key factors driving the growth of this segment. For instance, in March 2021, Travel Insured International’s launched a new product, Worldwide Trip Protector, to enhance various insurance policies for families, business travelers, and other travelers
• Europe captured the highest market share of 35.1% in 2024 and is expected to retain its position during the forecast period. This can be attributed to the existence of numerous travel insurance companies as well as the high adoption rate as a result of government policies that encourage travel insurance usage throughout the region. For instance, in April 2022, the Insurance Regulatory and Development Authority of India announced that it will reform regulations and capital requirements and introduce new solutions to expand the penetration of insurance and provide insurers with more flexibility

Travel Insurance Market Report Segmentation

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

Travel Insurance Coverage Outlook (Revenue, USD Million, 2018 - 2030)

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

Travel Insurance Distribution Channel Outlook (Revenue, USD Million, 2018 - 2030)

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

Travel Insurance End Use Outlook (Revenue, USD Million, 2018 - 2030)

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

Travel Insurance Regional Outlook (Revenue, USD Million, 2018 - 2030)

• North America
  • US
  • Canada
  • Mexico
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Ireland
• Asia Pacific
  • China
  • India
  • Japan
  • Australia
  • New Zealand
• Latin America
  • Brazil
• Middle East and Africa (MEA)
  • Kingdom of Saudi Arabia (KSA)
  • UAE
  • South Africa

Key Travel Insurance Company Insights

Some of the key companies in the travel insurance market include Allianz, American International Group, Inc., AXA, ASSICURAZIONI GENERALI S.P.A., and others. Prominent players dominate with comprehensive coverage options, leveraging extensive distribution networks and strong brand trust to capture significant portions of the market. Companies with integrated digital platforms and advanced data analytics have been particularly successful as they streamline the customer journey from policy selection to claims processing, catering to tech-savvy travelers seeking convenience. Additionally, partnerships with airlines, travel agencies, and banks have proven to be strategic for expanding market reach and enhancing product visibility at critical touchpoints.

• Allianz provides a broad array of coverage options tailored to meet the needs of diverse travelers, including those seeking comprehensive protection for leisure, business, and adventure trips. Allianz has also embraced digital innovation, providing a seamless online platform and mobile app to simplify policy management, claim filing, and service access, which makes it a popular choice for tech-savvy travelers looking for convenience alongside comprehensive protection.
• American International Group, Inc. offers a range of travel insurance solutions designed to address the specific needs of travelers worldwide, including policies focused on comprehensive medical coverage, trip cancellation, and personal liability. Known for its robust financial backing, the company is equipped to support travelers in complex or high-risk situations, making it an appealing choice for international travelers and expatriates.

Key Travel Insurance Company Insights

• 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.

Recent Developments

• In December 2023, World Nomads launched Travel Wiser, an ultimate online travel companion. Travel Wiser offers practical advice, survival tips to navigate unexpected situations, and wellness guidance to enhance customers’ journeys. With Travel Wiser, travelers can access wellness content that addresses various needs, such as combating altitude sickness and overcoming loneliness during solo trips.
• In January 2023, BATTLEFACE UNDERWRITING SERVICES SRL launched a new technology-enabled platform as a service called Robin Assist. Robin Assist leverages Application Programming Interface (API) and is apt for general agents, insurance brokers, and enterprise partners involved in providing travel insurance. It supports customer service and emergency claims.

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