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Young Australians Lead Travel Recovery but Fall Short on Insurance Coverage

by Celia
DOMINIC KAMONJO Why Travel Insurance is a lifesaver Against Unforeseen Pitfalls

Young Australians are leading the charge in the country’s travel rebound, with international travel rates returning to pre-pandemic levels. A recent survey conducted by 1Cover Travel Insurance highlights this trend, revealing that younger travelers are more active than their older counterparts.

The survey, which involved 1,000 Australians, found that 40% of respondents had traveled overseas in the past year. Among those aged 18 to 29, nearly half (49%) took international trips, compared to only 23% of individuals over 70. The data shows that 76% of those under 29 are traveling as frequently as they did before the COVID-19 pandemic, with 18% reporting an increase in their travel frequency.

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In contrast, older Australians have reduced their travel significantly.

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Only 2% of those over 70 reported traveling more than before the pandemic, while 67% indicated they are traveling less.

Natalie Smith, head travel expert at 1Cover, noted the stark difference between younger and older travelers. “The data shows that young travelers are by far the most eager when it comes to taking back their missed travel years. By contrast, senior travelers are traveling internationally less than they did prior to the pandemic,” she stated.

Younger Australians are also characterized by their adventurous spirit. The survey revealed that 38% of respondents aged 18 to 29 cited “adventure” as their primary reason for travel. Popular activities among this group include moped riding (17%) and skiing or snowboarding (14%).

Despite their enthusiasm for travel, younger Australians are notably less likely to purchase travel insurance. The report found that 30% of travelers aged 18 to 29 did not have insurance on their most recent overseas trip, exposing them to potential financial risks in emergencies. Smith expressed concern about this trend, highlighting the steep medical expenses young travelers could face if an emergency occurs abroad, which can reach hundreds of thousands of dollars.

“It’s dangerously misguided to assume you won’t need travel insurance, regardless of your destination or trip length. Travel is unpredictable, and assuming you’re impervious to risk can leave you hugely exposed in the event of an emergency,” she warned. Smith emphasized the risks of traveling without insurance, particularly the misconception that reciprocal healthcare agreements with some countries can replace insurance. “For instance, it would not cover medical evacuations, and it is unlikely to cover non-emergency treatments, medications, or specialized care. In an emergency scenario, you could still be left with extremely high out-of-pocket medical costs,” she added.

Additionally, a separate survey by 1Cover explored Australians’ attitudes toward sustainable travel. While 60% of respondents deemed sustainability important, it had little influence on their travel decisions.

Only 31% said they would pay more for a sustainable holiday, while 10% prioritized cost savings, even if it meant choosing less environmentally friendly options.

Smith noted that the current travel climate is primarily shaped by cost and experience, with sustainability taking a backseat.

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According to the 1Cover report, 83% of respondents purchased travel insurance, primarily due to concerns about medical coverage, luggage protection, and potential travel delays.

She also highlighted the environmental benefits of responsible travel, which includes having adequate insurance.

Sustainable travel does not always have to be more expensive, Smith explained. Simple choices, such as using public transport, supporting local businesses, or opting for direct flights, can help travelers reduce their environmental impact without significantly increasing costs.

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