Majority of Australians underinsured or travelling without travel insurance according to new survey

Drawbacks of driving a scooter. A woman being injured while falling from the scooter
Edited by Travel Weekly


    A new survey has revealed a concerning trend of uninsured travel among Australians, with a significant number of people putting themselves at risk by travelling overseas without adequate protection.

    The survey of 1000 travellers, conducted by Quantum Market Research on behalf of the Insurance Council of Australia and the Department of Foreign Affairs and Trade’s Smartraveller, found that one in six Australians (16 per cent) were not covered by any form of travel insurance on their last overseas trip.

    Key survey findings include:

    • One in six (16 per cent) Australians were not covered by any form of travel insurance on their last overseas trip.
    • Younger travellers (aged under 30) were most likely to travel without insurance (60 per cent).
    • Even among insured travellers, many are overconfident about their coverage and have not properly read their policy documents (19 per cent).
    • The rising cost of travel is prompting more Australians to travel without insurance or to take risks that may not be covered (34 per cent).
    • The majority (86 per cent) of travellers will find ways to keep costs down while travelling, which may increase their exposure to risk.

    This lack of coverage was particularly prevalent among younger travellers, with more than half (60%) of those aged under 30 saying they would consider travelling overseas without insurance in the future.

    The survey also found that even among those who do have travel insurance, many are overconfident about their coverage and have not properly read their policy documents.

    Just one in five (19 per cent) of insured travellers said they had spent time reading every detail of their product disclosure statement (PDS) before travelling.

    The survey found that one in seven (15%) recent travellers who went without insurance said they did so because they couldn’t afford it.

    In addition, a third (34 per cent) of travellers said they will consider travelling without insurance to save money in response to the rising cost of travel.

    “These findings are concerning, as they suggest that a significant number of Australians are putting themselves at risk by travelling without considering potential health and safety risks or purchasing travel insurance,” ICA CEO Andrew Hall said.

    “Things we take for granted in Australia, such as the public health system, are not free or even available to you once you leave the country. Personal responsibility plays a big part in your travel plans and it’s important to read the details of your policy, so you know you are covered.”

    “Travel insurance is as important as your passport – it can provide valuable protection in the event of an unexpected event, such as a medical emergency, lost luggage, or flight cancellation,” he said.

    “As we head into the holiday season, we urge all Australians to make sure they are properly insured before travelling overseas and to be aware of the risks they are taking.”

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