A rise in tourism travel is fuelling the growth in the travel insurance market, a report from Research and Markets has revealed.
The global travel insurance market grew from $19.14bn in 2022 to $22.44bn in 2023 at a compound annual growth rate (CAGR) of 17.3%. The travel insurance market is expected to grow to $40.58bn in 2027 at a CAGR of 16.0%.
The report revealed that the incorporation of advanced technologies has emerged as the key trend gaining popularity in the travel insurance platform.
Major companies operating in the travel insurance sector are focused on new technologies to strengthen their position in the market.
The rise in tourism is fuelling the growth of the travel insurance market.
Research and Markets said that travel insurance helps the tourism sector by providing financial help through certain packages that help travellers in medical emergencies, passport loss, flight cancellation, and misplaced or lost luggage.
For instance, according to a report published by the United Nations World Trade Organization (UNWTO) in 2022, global tourism increased from 400 million in 2020 to 415 million in 2021, showing an increase of 4% in 2021 over the previous year. Therefore, the rise in tourism is driving the growth of the travel insurance market.
According to the report, Major players in the travel insurance market are Allianz SE, American Express Company, American International Group Inc., Assicurazioni Generali S.P.A, Atlas Travel Insurance, Aviva plc, Axa S.A., Bajaj Finserv Limited, Berkshire Hathaway Specialty Insurance Company, Chubb Limited, Generali Group, Insure & Go Insurance Services Limited, MAPFRE, Prudential Financial Inc., Saga PLC., Seven Corners Inc., Crum & Forster, Travelex Insurance Services Inc., USI Affinity Inc., Zurich Insurance, and Arch Capital Group Ltd.
Earlier this year, battleface, a global travel insurance company, partnered with BringFido to provide pet travel insurance coverage.
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