Will there be the usual demand for travel insurance in 2021?
It’s a good question, as government mood music is basically try a week at Pontins, or face 10 years in jail. But seriously, back in the real world, Pipslay has been doing some consumer research on UK travel plans. They asked just over 6000 people online about their travel plans, here are the highlights;
The availability of vaccines has given a fresh lease of life to the travel industry that is desperately seeking to revive itself amid the ongoing pandemic. This report delves into the Britons’ travel plans as they look forward to the end of the third national lockdown. Travel companies can leverage this data in their decision-making.
With PM Boris Johnson planning a roadmap out of restrictions, Britons are hoping for a lockdown-free summer this year. Travel trends, however, may change considerably with several pandemic-related factors like finances, fears of virus strains, and travel restrictions weighing down on the plans. Additionally, the mandatory quarantine for British residents arriving from COVID hotspots may force many holidaymakers to opt for UK destinations over foreign locations. Amid all these changes and uncertainties, how are Britons planning to unwind post the third lockdown? Piplsay polled 6,073 people nationwide to get some insights. Here is a summary of what we found:
What can we learn from this? Well it’s encouraging that 13% of people have already booked some sort of holiday, which indicates there is a stubborn determination to escape lockdown, no matter what. The big trend is car related trips, as 42% state they plan to escape in the family motor, most likely using the channel ferries and tunnel – assuming the French don’t blockade it with seafood of course. Only joking Msr Macron, please don’t do that.
For those brokers and insurers who can offer a flexible travel product that covers the car’s repatriation AS WELL as the people repatriation, the rewards could be handsome. Bolt-on flexible cover like daily payments if stranded abroad due to strikes, lockdowns, breakdowns etc and you could be onto a winner.
Interesting that 6% say they are going to use a rental car. Savvy travellers are already thinking that simply walking away from a rental car and losing a £500 deposit, plus the hire fee, is a better strategy. The alternative could be losing their own car by having to abandon it, and then fly/train/ferry/coach it back to Blighty.
So there is another opportunity for commercial insurers to offer cover to car rental companies for this risk, since even a locally hired car could end up travelling from Spain to France, or Portugal perhaps – and then becoming stranded there. Getting that vehicle back costs time and money.
As ever, remember the Fred Pontin maxim; book early folks! If lockdown on overseas travel formally ends there will be a stampede online for limited flights, hotel rooms and whatever else is left from a decimated travel sector.