Industry Analysis & Industry Trends
The path trodden by the Travel Insurance industry in the past five years has been full of ups and downs. Seesawing revenue in the past five years can largely be attributed to the volatility of the financial market, rather than the underlying demand for travel insurance products. IBISWorld estimates industry revenue to grow at an annualised rate of 3.6% in the five years through 2012-13. Industry revenue is expected to grow by 0.2% in 2012-13 to reach $743.8 million.
The global financial crisis did not exhaust Australians' enthusiasm for travel. The number of international travels taken by Australians almost doubled between 2007 and 2012. This is mainly attributed to a strong Australian dollar, which makes overseas travel relatively cheaper... purchase to read more
Industry Report - Industry Products Chapter
The Travel Insurance industry is characterised by premiums paid covering a range of insurance options. These insurance options are aimed to cover unlikely unfortunate circumstances that would befall the insurance buyer, reducing his or her hardship as a result.
IBISWorld expects that the largest product segment in the industry is made up of premiums associated with cancellation insurance. This product segment accounts for the purchase of cancellation insurance to cover the unfortunate circumstance that travel plans must be cancelled ahead of time or during the trip itself. This would typically include coverage for expenses such as cancellation fees for flights or hotels, or other bookings ahead of time... purchase to read more