As international travel restrictions began to ease and Kiwis dusted off their passports, New Zealand’s largest travel insurance and assistance provider, Allianz Partners saw a 25% uplift in policies sold from 1 June to 30 September compared to the same period in 2019,
as Kiwis prioritised travel insurance post-pandemic.
Research1 by Allianz Partners has revealed that 96% of Kiwis surveyed said they were eager to travel within the next year, with visiting family and friends the key motivation (40%). Nearly half saw international travel as a way to ‘refresh myself’ (47%) or as an opportunity to ‘boost overall wellbeing’ (29%). With so many longing for rest and recuperation, the most popular holiday type was one with a beach or resort (30%).
With the affordability of accommodation and airfares the key deciding factor when booking a holiday for 62%, proximity has dictated the top destinations booked in the June quarter. Australia was the top destination, making up 27% of all travel insurance policies sold by Allianz Partners in the June to September quarter. This was followed by Fiji at 11% - with a staggering 200% increase compared to bookings during the same period in 2019.
“A holiday might be just what the doctor ordered for many New Zealanders, but with the rising cost of living and a weak New Zealand dollar, it’s not surprising that Australia and Fiji are the top choices. These destinations are closer, where Kiwis can stay for longer, or travel more frequently, as we know they are wanting to23,” says David Wallace, New Zealand Chief Sales Officer for Allianz Partners.
But concerns around COVID-19 still linger, with more than one-third (34%) wary it might negatively impact their next international trip. One in four (26%) said they would consider countries’ COVID-19 restrictions, including testing and vaccination policies, when selecting their next travel destination and of those aged 65 or above, 24% feel it is very important to only visit countries that they felt responded well to the pandemic.
“Naturally, there are still concerns about how COVID-19 might interfere with travel plans. Catching COVID-19 and becoming very ill overseas is just one consideration. We are also seeing how travel can be interrupted by lost or significantly delayed baggage, cancelled flights, and other issues that are linked to staff shortages, as the impacts of the pandemic continue to linger,” says David.
The biggest increase in uptake of travel insurance is from younger New Zealanders who are now much more risk-averse when it comes to international travel. Allianz Partners experienced a 53% increase in policies sold to 18-30-year-olds, and a 98% increase in policies sold to 31-40 year olds, for the June to September quarter of this year compared to pre-pandemic 2019 levels.
Allianz Partners was one of the first travel insurers to provide selected epidemic and pandemic cover, including for COVID-19, in October 2020.
1 This survey was conducted by Kantar. The sample comprised a nationally representative sample of 500 New Zealanders
aged 18 years and older.
2 28% of survey respondents intend to travel internationally more frequently.
3 35% of survey respondents intend to travel internationally for longer.
