The demand for travel insurance has surged, driven by a significant increase in customer inquiries and a growing trend among travelers to secure their journeys. According to Policybazaar.ae, a leading insurance marketplace in the Middle East, the number of inquiries for travel insurance has skyrocketed by 182% compared to last year. This surge is primarily fueled by travelers aged between 25 and 40, who constitute 85% of the inquiries.
Policybazaar.ae has identified the top travel destinations for UAE residents in 2024: Azerbaijan, Georgia, USA, and Armenia. The average travel duration for these trips is at least nine days, reflecting a preference for shorter, more frequent vacations.
This trend can be attributed to the extreme summer temperatures and the onset of summer holidays, prompting families and individuals to seek cooler destinations. Additionally, the shift towards online channels for purchasing travel insurance has encouraged insurers to innovate their long-term strategies.
A notable trend is the rise in remote work, particularly among individuals below the age of 40. As more people blend work and leisure, the demand for comprehensive travel insurance is escalating. This trend is further supported by the increase in leisure travel, amplifying the need for travel insurance to safeguard against unforeseen events that could disrupt plans.
The family travelers segment has emerged as the largest share of the market, accounting for 60% and significantly contributing to market revenue. This highlights the importance of travel insurance in ensuring well-planned and risk-mitigated travel experiences for families, enabling better preparation and peace of mind for all family members.
