ST. PETERSBURG, Fla. May 20, 2020 — States, countries, and cruise lines are beginning to open for summer travel, but travel insurance consumer trends show COVID-19 concerns remain top of mind.
Travel insurance comparison site, Squaremouth.com, reveals how COVID-19 has changed travel this summer.
Summer Travel Plummets Due to COVID-19 Pandemic
COVID-19 caused travel restrictions and border closures that brought travel to a standstill.
- A drastic 90% decrease in travel insurance policies purchased for summer trips highlights the extent to which travel has halted.
Coverage for COVID-19 is Top Concern
The coronavirus pandemic is the top concern for travelers planning summer trips.
- 36% of travelers looked for a policy that specifically included cancellation or medical coverage in the event they contract COVID-19 or are quarantined.
“Cancel for Any Reason” Purchases Spike
Cancel for Any Reason policies cost 40% more than standard travel insurance policies, but are the best option for COVID-related cancellation coverage.
- A third of all policies purchased for summer travel include Cancel for Any Reason coverage.
- Travelers purchasing pricey Cancel for Any Reason coverage increased over 680% compared to last summer.
Domestic Travel Increases as International Travel Declines
Unlike previous years, travelers plan to spend summer close to home.
- Domestic trips account for 48% of all planned summer travel, up from just 15% in 2019.
- Travelers planning international trips are still staying close, as Mexico and Canada are the top international destinations for summer travel.
Travelers planning summer vacations can still purchase a policy that can provide coverage for some top COVID-19 concerns, including cancellation and medical coverage if a traveler contracts the virus or is quarantined. Travelers can search for policies that include this coverage here.
Methodology: Data is based on travel insurance policies purchased through Squaremouth.com between April 1 and May 10, 2020, for travel in June, July, or August 2020. Statistics reflect year-over-year changes unless otherwise noted.