Younger Demographics Show Highest Ever Interest in Travel Insurance
- Baby Boomers no longer the leading travel insurance market
- Trip cost and spending continue to drop from 2020
ST. PETERSBURG, Fla., April 29, 2021 /PRNewswire/ -- Squaremouth reports that Millennials and Gen Z travelers are showing more interest in travel insurance than ever before. Covid-19 has changed almost every aspect of the travel industry, leading to a significant shift in who is traveling amid the pandemic and buying travel insurance.
Squaremouth.com hosts the largest number of travel insurance providers and policies that offer coverage related to the Covid-19 pandemic. Squaremouth Analytics has compared thousands of travel insurance policies purchased pre-and-post-pandemic to identify changes and trends in travel insurance, revealing how both consumers and travel insurance providers are responding to the impact of Covid-19. The key trends are:
Younger travelers are most comfortable traveling amid the pandemic
- Millennials and Gen Z travelers account for more than 40% of travel insurance policy purchases through Squaremouth.com in 2021, compared to under 30% in 2020
- Just 24% of travelers this year are Baby Boomers, compared to 40% in 2020
Traveler Share by Generation
Generation | % of Travelers 2021 | % of Travelers 2020 |
Gen Alpha (born 2013 or later) | 5% | 3% |
Gen Z (born 1997 through 2012) | 18% | 12% |
Millennial (born 1981 through 1996) | 23% | 18% |
Gen X (born 1965 through 1980) | 27% | 20% |
Baby Boomers (born 1946 - 1964) | 24% | 40% |
Silent (born 1945 or before) | 3% | 7% |
Most Travelers are Spending Less on Trips
- The average trip cost in 2021 is down to $3,951, a 6% drop from the same period in 2020, partially due to travelers taking shorter trips in 2021
- Travelers in the Gen Z, Millennial, Gen X, and Baby Boomer demographics are all spending less on trips this year compared to last year
Average Trip Cost per Traveler by Generation
Generation | Average Trip Cost Per Traveler 2021 | Average Trip Cost Per Traveler 2020 |
Gen Alpha (born 2013 or later) | $1,167 | $999 |
Gen Z (born 1997 through 2012) | $1,521 | $1,695 |
Millennial (born 1981 through 1996) | $1,561 | $1,637 |
Gen X (born 1965 through 1980) | $1,759 | $1,914 |
Baby Boomers (born 1946 - 1964) | $2,469 | $2,740 |
Silent (born 1945 or before) | $3,218 | $2,892 |
"Overall, we've seen an uptick in travel across all age groups since the rollout of the Covid-19 vaccine," says Squaremouth Lead Data Analyst, Steven Benna. "Although older travelers are showing that they are more willing to travel than they were a few months ago, younger travelers are still the most comfortable taking trips right now."
Squaremouth maintains a large portfolio of travel insurance products that offer coverage related to the Covid-19 pandemic, including cancellation and emergency medical benefits for contracting the virus, and Cancel For Any Reason coverage. Travelers can search for policies that include Covid-19-related coverage, including Cancel for Any Reason, here.
Notes to editors
Available Topic Expert: Steven Benna, inhouse data specialist is available for comment and interview. [email protected] +1 (727) 619-7262
Research Methodology: Squaremouth.com hosts the largest number of travel insurance providers and policies that offer coverage related to the Covid-19 pandemic. Squaremouth Analytics has compared thousands of travel insurance policies purchased pre-and-post-pandemic to identify changes and trends in travel insurance. If you would like a copy of the raw data, please get in touch by emailing [email protected].
Other Relevant Research:
- How the Covid-19 Vaccine Rollout is Changing Traveler Behavior
- Where Travelers are Heading in 2021
- Impacts of Covid-19 Vaccine Rollout Already Felt on Travel
ABOUT SQUAREMOUTH
Squaremouth compares travel insurance policies from every major travel insurance provider in the United States. Using Squaremouth's comparison engine and third-party customer reviews, travelers can research and compare travel insurance policies side-by-side. More information can be found at www.squaremouth.com.
SOURCE Squaremouth
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