2023 Set to Be Most Expensive Summer Yet For Travelers

2023 Set to Be Most Expensive Summer Yet For Travelers

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ST. PETERSBURG, Fla. May 1, 2023 — New data reveals travelers are spending more on their trips this summer than ever before.

Squaremouth.com, the leading US travel insurance marketplace, reports that travelers are spending more than $9,300 on average on their trips this summer.

Analyzing destinations, expenses and demographics from thousands of travel insurance policies purchased for trips this summer, Squaremouth reveals  the three most notable summer travel trends of 2023. 

Summer Travelers See Higher Trips Costs in 2023

Notable Stats: 

  • Average trip costs for policies purchased on Squaremouth have surpassed $9,000 for the first summer on record
  • The average summer trip cost in 2023 is 6.8% higher than last year, and 26.7% higher than 2021
  • Inflation and the overall rising cost of travel are the key drivers of higher trip costs, leading to travel insurance premiums increasing respectively

Average Summer Trip Cost & Travel Insurance Premiums By Year

YearAverage Trip Cost*YOY ChangeAverage PremiumYOY Change
*Average trip cost data only reflects policies sold with an insured trip cost

Over 75% of Summer Travelers Are Heading Abroad 

In 2023, 76.4% of trips planned by Squaremouth customers this summer are heading abroad. 

Notable Stats: 

  • 8 of the 10 most popular international destinations this summer are European countries, accounting for 42% of all summer travel insurance sales
  • Italy is the most popular international summer destination for the second summer in a row

Top 10 International Summer Destinations for 2023

Destination% of Sales
United Kingdom5.42%

More Boomers, Less Gen Z & Millennials Traveling This Summer

Data reveals a shift in traveler demographics this summer, led by the return of Baby Boomers.

Notable Stats: 

  • Baby Boomers account for 40% of all summer travelers this year, compared to 33% last summer and 29% in 2021
  • The percentage of Gen X, Gen Z, and Millennial travelers taking a summer trip has fallen for the second consecutive summer
Percent of All Travelers
Baby Boomers39.70%33.31%29.41%
Gen X22.27%24.01%24.59%
Gen Z15.17%18.03%19.26%
Gen Alpha5.14%5.13%5.84%

Methodology: Squaremouth Analytics compared travel insurance sales data of thousands of policies purchased on squaremouth.com each year before April 19, with travel dates between June 23rd and September 21st.

Notes to editors

Available Topic Expert: Steven Benna, inhouse data specialist is available for comment and interview. sbenna@squaremouth.com (727) 619-7262

About Squaremouth: Squaremouth.com has insured over 3 million travelers. Using Squaremouth’s intuitive quoting and comparison engine, award-winning support team, and verified customer reviews, travelers can save time and money to find the best travel insurance policy for their trip.