Why Are Americans Still Traveling Despite Rising Costs? New Data Points to Friends and Family

ST. PETERSBURG, Fla., Oct. 22, 2026 /PRNewswire/ -- Even as travel costs hit record highs this year, Americans aren't backing away from their trips. Squaremouth's Q3 2026 data shows insured trips up 12.9% year over year, with an average trip costing more than $7,400.

But what's driving travelers to keep spending? After surveying over 3,000 customers post-purchase, Squaremouth found that making memories with family and friends is the top reason people prioritize travel across all generations. Those same family and friends are also fueling travel FOMO (fear of missing out), which nearly 8 in 10 (78%) travelers say they've experienced.

Key Findings

1. Friends and family drive travel FOMO, not influencers. Travel FOMO is driven by people travelers know, not what they see online.

• Friends and family sharing their trips causes travel FOMO more than social media, online articles, and TV and movies combined.
• That influence grows with age. Among Boomers and the Silent Generation, friends and family cause 41% of travel FOMO, compared with 36% for Gen X, 33% for Millennials, and 31% for Gen Z.

2. Gen Z feels travel FOMO most often. While friends and family have a stronger impact on older generations, Gen Z experiences it more often.

• 40% of Gen Z travelers experience FOMO at least monthly, nearly twice the rate of Boomers (23%).
• Overall, 28% of travelers feel travel FOMO at least once a month, and 7% feel it almost daily.

3. Why people travel changes with age. Younger travelers travel to escape, while older travelers can't imagine life without it. 

• After making memories with friends and family, the next biggest reason flips with age. Escaping the stress of daily life drives 36% of Gen Z's travel, compared with 33% for Millennials, 32% for Gen X, and 22% or less for older generations.
• Conversely, "I can't imagine life without travel" accounts for 31% of the Silent Generation's motivation and 27% of Boomers, compared with just 15% of Gen Z.

4. COVID is no longer a reason people travel. The pandemic grounded travel for much of 2020 and 2021 and taught people not to put off trips. Six years later, that lesson has faded as a motivator.

• The COVID lockdown years ranked last of all available motivators to travel for every generation, cited in just 5% of responses.

"Travel FOMO is often blamed on social media and influencers, but our data tells a different story," said Jackie Mondelli, Chief Marketing Officer at Squaremouth. "Friends and family drive more travel FOMO than social media, articles, and TV combined. Whether it's because they're trying to keep up with the Joneses or simply want to make memories with loved ones, travelers are prioritizing shared experiences, even as costs remain high."

For more insights and commentary on the motivations behind travel in 2026, connect with our team.

About Squaremouth
For over 20 years, Squaremouth has helped more than 4.4 million travelers quote, compare, and purchase travel insurance online. Renowned for award-winning customer service, transparency, and an unbiased approach, Squaremouth has led travel insurance comparison since 2003. As America's largest travel insurance marketplace, Squaremouth.com features more providers and plans than any other platform.

Contact
Lauren McCormick
Manager of Public Relations
[email protected]

SOURCE Squaremouth