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 can largely be attributed to the volatility of the financial market, rather than the underlying demand for travel insurance products. Overall, IBISWorld estimates that industry revenue will grow at an annualised 1.3% over the five years through 2013-14. Revenue is forecast to grow by 2.0% in 2013-14, to reach $772.6 million.
The global financial crisis did not exhaust Australians' enthusiasm for travel. The number of international trips taken by Australians has increased at an annualised 8.8% over the past five years. This is mainly attributed to a strong Australian dollar, which makes overseas travel relatively cheaper... purchase to read more
Industry Report - Industry Analysis Chapter
Despite the glumness of many economies around the world, Australians are still voyaging abroad. As a result, the Travel Insurance industry, which piggybacks on demand for travel products, has grown in the past five years. However, revenue volatility has been very high during this period. Although underlying demand for travel insurance products is strong, the industry has been rattled by a volatile financial market, which it heavily invests in. Fortunately, profit margins have remained relatively stable due to operators' ability to pass on price rises and manage costs effectively. Overall, industry revenue is expected to grow by an annualised 1.3% over the five years through 2013-14, to reach $772.6 million... purchase to read more