Majority of Respondents Likely to Repurchase Travel Insurance in the Future
Richmond, Virginia, November 3, 2021 – A recent analysis of Allianz Partners USA customers revealed new insight on a number of consumer trends, noting that 84% of customers surveyed are likely or may be likely to repurchase travel insurance in the future. The travel insurance and assistance provider surveyed* a segment of their retail channel customer base about purchasing behavior, travel concerns, what they look for in a travel insurance policy, as well as the most typically booked reservations when working with a travel advisor.
According to Allianz’s survey, the top three travel concerns include flight cancellation, delay or missed connection (55%); an epidemic, like COVID-19, impacting travel plans (43%); and needing medical attention during a trip (32%). When asked what benefits customers would like to see in their travel insurance plan, the top responses included trip cancellation due to sick/injured family member or self (65%); trip cancellation due to an epidemic (57%); and medical emergency payment (42%).
In response to changing customer demand, Allianz formalized temporary accommodations introduced in March 2020 for many of its products (varies by product and state) with an Epidemic Coverage Endorsement. These enhanced products add or modify covered reasons to address many of the epidemic-related situations customers are concerned about. Depending on the product, these covered reasons may include coverage for illness either before or during a trip, coverage for medical emergencies and emergency medical evacuations, coverage for mandatory individually-ordered quarantines, and denied boarding due to suspected illness.** The enhancements were finalized in March 2021 and have been rolled out across several product portfolios.
“We adapted to the changing travel landscape to better accommodate customers as they navigate travel during and beyond the COVID-19 crisis,” said Daniel Durazo, director of marketing and communications at Allianz Partners USA. “Understanding our customers’ needs is crucial to providing innovative products that our valued travel advisor partners can offer to make their clients feel more confident in their travels.”
While 45% of respondents had purchased travel insurance previously, 48% of respondents were first time purchasers of travel insurance, according to the survey, which also noted that when offered travel insurance plans from multiple providers, recommendations from travel agents, friends and family proved to be the most influential reason customers chose Allianz over other insurance providers, followed by a prior positive experience, an affordable price and robust benefits.
When asked what types of reservations they typically book through a travel agent, the survey found hotel/lodging reservations (53%) topped the list, followed closely by flights (52%), cruises (24%), tours (19%) and rental cars (12%).
“Travel advisors provide tremendous value in helping clients navigate travel insurance options and to find the best plan,” said Richard Aquino, vice president, head of sales at Allianz Partners. “From coordinating transportation, to activities and vacation itineraries, travel advisors are experts – wonderful resources that can help travelers.”
The survey also revealed insight into how customers would prefer to receive policy information prior to purchasing a plan in the future and what they consider to be the most important services in a travel insurance mobile app. In the future, the top format is digital, with only 5% of respondents noting they would want print brochures. Filing a claim, viewing policy information and locating hospitals or other assistance were the most important services customers look for in a travel insurance app, which are all features in Allianz Partners’ award-winning TravelSmart App.
Allianz offers travel insurance** through leading travel agents, online travel agencies, other travel suppliers, directly to consumers and through several major U.S. airlines. For additional information, please visit www.allianztravelinsurance.com.
*Methodology: This press release examines results from an Allianz Partners survey of a random sample of 1,196 customers who purchased a policy through a travel advisor or other retail distribution partner between 8/1/20 – 4/30/21. The survey ran from May-June 2021, and asked questions about purchasing behavior.
About Allianz Partners
Allianz Partners (AGA Service Company) is a leading consumer specialty insurance and assistance company with operation centers in 35 countries. In the United States, the company offers Allianz Travel-branded travel protection plans and serves millions of customers each year. In addition to travel protection, the company offers tuition insurance, event ticket protection, registration protection for endurance events and unique travel assistance services such as international medical assistance and concierge services. The company also serves as an outsource provider for in-bound call center services and claims administration for property and casualty insurers and credit card companies. AGA Service Company is doing business as Allianz Global Assistance Insurance Agency in California (License # 0B01400) and Massachusetts.