Today’s revival of tourism is contributing to the growth of the global travel insurance market, according to the newly published report of the Business Research Company ‘Travel Insurance Global Market Report 2022’.
It only makes sense that the growth of travel itself and travel insurance would go hand in hand. Travel insurance companies complement the tourism sector by offering travelers package plans that cover issues such as medical emergencies, flight cancellations or delays, lost passports and misplacing or losing their luggage.
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The report notes that in 2019, the last “normal” year before the pandemic, the United Nations World Tourism Organization (UNWTO) recorded 1.5 billion international tourist arrivals worldwide, representing a four percent increase compared to the previous year. .
With the travel sector continuing to rebound throughout 2022 and on track to reach pre-pandemic revenue levels in 2023, the travel insurance market will grow along with it, especially given the unpredictability of continued air travel, the state of the economy and the ongoing Russian war against Ukraine.
The Business Research Company reports that the global travel insurance market size is projected to grow from $16.05 billion in 2021 to $18.81 billion in 2022 at a compound annual growth rate (CAGR) of 17.2 percent. And, looking further ahead, the global travel insurance market share is projected to grow up to USD 32.61 billion by 2026 at a CAGR of 14.7 percent.
Key Market Trend: Advanced Technologies
In examining the key trends affecting today’s market, The Business Research Company noted that many of the major players in the travel insurance sector are prioritizing the incorporation of new technologies within their operations to strengthen their market position. . The report highlights an example where a company has implemented a cashless claims settlement process based on artificial intelligence (AI), thereby automating the claims authorization process. To enable this innovation, the company has used various algorithms using cognitive computing, along with Intelligent Character Recognition (ICR) and Optical Character Recognition (OCR).
Major players in the travel insurance market
According to The Business Research Company, today’s top players in the travel insurance market are: Allianz SE, American Express Company, American International Group Inc., Assicurazioni Generali SPA, Atlas Travel Insurance, Aviva plc, Axa SA, Bajaj Finserv Limited, Berkshire Hathaway Specialty Insurance Company, Chubb Limited, Generali Group, Insure & Go Insurance Services Limited, MAPFRE, Prudential Financial Inc., Saga Plc, Seven Corners Inc., Crum & Forster, Travelex Insurance Services Inc., USI Affinity Inc., Zurich Insurance , and Arch Capital Group Ltd.
Travel Insurance Market Segmentation
The Global Travel Insurance Market 2022 report also clarifies the differences between the various segments of the travel insurance market:
— By type: Domestic, International
— By Insurance Coverage: Single Trip Travel Insurance, Multi Trip Annual Travel Insurance, Long Stay Travel Insurance
— According to coverage: Medical expenses, trip cancellation, trip delay, property damage, others
— By End User: Senior Citizens, Corporate Travelers, Family Travelers, Education Travelers, Others
— By Distribution Channel: Insurance Intermediaries, Insurance Companies, Banks, Insurance Brokers, Others
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