Travel insurance sales have continued to rise despite the deafening sound of the global credit crunch which has reverberated throughout the industry of late.
In an industry irony, sales from travel insurance have remained positive although the overall travel market has contracted.
The situation is due in part to travellers acknowledging that if they found themselves in a crisis overseas they would be unable to afford harsh medical bills, cancellation fees or the replacement cost of lost or stolen goods.
Chris Noble, General Manager of leading online travel insurance provider, WorldNomads.com, says that his company has seen an increase in the number of travel insurance policies being taken out.
“As the credit crunch begins to hit people’s wallets, travellers are recognising they need to have adequate travel insurance to protect themselves while away,” says Chris.
“When dollars are scarce, travel insurance is even more vital, because it protects against those unexpected expenses that occur when something goes wrong while on the road.
“WorldNomads.com has experienced no downturn in the number of people taking out travel insurance; on the contrary, we continue to see an increase in the number of policies sold, which is pleasingly ironical.”
Over the past few months, WorldNomads.com has continued to see an increase in sales of travel insurance compared to the same period in 2007.
There was a 28.1% increase in sales in October 2008 over October 2007, which was part of an ongoing trend, with sales in August 2008 21% higher than August 2007.
During the first two weeks of December 2008, WorldNomads.com experienced a 34% increase in transactions compared to the same period in November this year.
“The figures clearly show that people still have the desire to keep travelling, but anecdotally, we know that travellers are also equally as keen to look after their wallet at the same time,” says Chris.
“With the recent volatility in many tourist destinations, safety and security has become top of mind for many travellers who may have previously not been so concerned.”
Source = e-Travel Blackboard: C.F