Travel Insurance Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Coverage Type, By Provider, By End User, By Region & Competition, 2021-2031F

Description

The Global Travel Insurance Market is projected to experience substantial growth, expanding from USD 32.14 Billion in 2025 to USD 76.54 Billion by 2031 at a CAGR of 15.56%. Travel insurance functions as a financial safeguard, reimbursing policyholders for unforeseen losses such as medical emergencies, trip cancellations, and lost luggage during domestic or international journeys. This market expansion is primarily driven by the recovery of global tourism, increased consumer awareness of health risks following the pandemic, and the implementation of mandatory insurance requirements for visa applications in several countries. Illustrating this upward trend, the U.S. Travel Insurance Association reported that consumer spending on travel protection in the United States reached $5.56 billion for the previous year in 2025.

Market Overview
Forecast Period	2027-2031
Market Size 2025	USD 32.14 Billion
Market Size 2031	USD 76.54 Billion
CAGR 2026-2031	15.56%
Fastest Growing Segment	Business Travelers
Largest Market	Europe

However, the market faces a significant hurdle due to the rising cost of claims associated with global medical inflation. Insurers are contending with higher payouts for medical treatments abroad, which necessitates increased premium rates. These higher costs may negatively impact affordability for budget-conscious travelers and limit market penetration in price-sensitive sectors, potentially impeding the broader expansion of the industry.

Market Driver

The resurgence of international tourism and robust post-pandemic travel demand serves as the primary catalyst for the Global Travel Insurance Market. With borders fully reopened and consumer confidence stabilizing, there has been a notable increase in trip planning and interest in financial protection, particularly among younger demographics who prioritize safety. This shift is expanding the consumer base; according to Berkshire Hathaway Travel Protection, the intent to purchase travel insurance among Gen Z travelers increased by 24 percent in 2025 compared to the prior year. Furthermore, Allianz Partners noted in the 'European Vacation Confidence Index - Summer 2025' that 75 percent of Europeans planned to travel between June and September, highlighting the strong momentum in tourism that fuels policy sales.

Additionally, escalating international healthcare costs and medical inflation are significantly shaping market dynamics by increasing claim severity and driving premium adjustments. As medical expenses rise globally, the financial risk for uninsured travelers becomes prohibitive, reinforcing the necessity of comprehensive medical coverage. Insurers observe a direct correlation between these rising costs and claim disbursements, necessitating higher coverage limits. According to Squaremouth's January 2025 report, travel insurance payouts rose to an average of $2,609, a 37 percent increase driven largely by higher trip and medical costs, justifying the need for robust emergency protection.

Market Challenge

A major obstacle hindering the growth of the Global Travel Insurance Market is the escalating cost of claims resulting from global medical inflation. As healthcare costs surge worldwide, insurers are forced to absorb significantly higher payouts for overseas medical treatments and emergency repatriations. This financial pressure requires an upward adjustment in pricing models, leading to increased premium rates for travelers. Such price hikes directly reduce the affordability of travel protection plans, particularly for budget-conscious consumers and families, thereby dampening the adoption rate of these essential financial products.

Recent industry data underscores the magnitude of this financial burden. In 2025, the Association of British Insurers reported that member companies paid out £472 million in travel insurance claims for the preceding year, with medical expenses alone accounting for £262 million of that total. This substantial expenditure highlights the operational strain on insurers. Consequently, as coverage becomes prohibitively expensive for a wider segment of the population, market penetration slows, effectively countering the growth potential otherwise offered by the resurgence in global tourism.

Market Trends

The adoption of parametric insurance is fundamentally transforming the market by shifting from traditional indemnity models to automated, event-triggered payouts. This mechanism enables insurers to settle claims immediately upon verifiable triggers, such as flight delays or weather disruptions, thereby eliminating long processing times and administrative burdens. This efficiency is driving the adoption of premium products among travelers seeking convenience and rapid liquidity. According to a May 2025 report by Blink Parametric, the integration of these automated solutions led to an 11 percent increase in the take-up of premium products offering flight disruption cover.

Simultaneously, the market is witnessing a decisive shift toward mobile-first claims management and integrated digital travel companions. Insurers are transitioning from being static policy providers to active journey partners by embedding real-time safety alerts, telemedicine access, and instant claim filing capabilities directly into mobile applications. This evolution meets the modern traveler's expectation for immediate support and seamless digital interaction. Allianz Partners highlighted this trend in December 2025, recording a 250 percent increase in travel app downloads between 2024 and 2025, demonstrating a rapid consumer pivot toward app-centric insurance ecosystems.

Key Market Players

Allianz
American International Group, Inc.
AXA
ASSICURAZIONI GENERALI S.P.A.
USI Insurance Services, LLC
battleface
Insure & Go Insurance Services Limited
Seven Corners Inc.
Travel Insured International
Zurich
Delphi Financial Group, Inc.
Ping An Insurance (Group) Company of China, Ltd.

Report Scope

In this report, the Global Travel Insurance Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

Travel Insurance Market, By Coverage Type

Single Trip Travel Insurance
Annual Multi-trip Travel Insurance
Long Stay Travel Insurance

Travel Insurance Market, By Provider

Banks
Insurance Companies
Insurance Intermediaries
Others (Insurance Aggregators, etc.)

Travel Insurance Market, By End User

Education Travelers
Business Travelers
Family Travelers
Others (Senior Citizens, etc.)

Travel Insurance Market, By Region

North America
- United States
- Canada
- Mexico
Europe
- France
- United Kingdom
- Italy
- Germany
- Spain
Asia Pacific
- China
- India
- Japan
- Australia
- South Korea
South America
- Brazil
- Argentina
- Colombia
Middle East & Africa
- South Africa
- Saudi Arabia
- UAE

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the Global Travel Insurance Market.

Available Customizations:

Global Travel Insurance Market report with the given market data, TechSci Research offers customizations according to a company's specific needs. The following customization options are available for the report:

1. Product Overview

1.1. Market Definition
1.2. Scope of the Market
- 1.2.1. Markets Covered
- 1.2.2. Years Considered for Study
- 1.2.3. Key Market Segmentations

2. Research Methodology

2.1. Objective of the Study
2.2. Baseline Methodology
2.3. Key Industry Partners
2.4. Major Association and Secondary Sources
2.5. Forecasting Methodology
2.6. Data Triangulation & Validation
2.7. Assumptions and Limitations

3. Executive Summary

3.1. Overview of the Market
3.2. Overview of Key Market Segmentations
3.3. Overview of Key Market Players
3.4. Overview of Key Regions/Countries
3.5. Overview of Market Drivers, Challenges, Trends

4. Voice of Customer

5. Global Travel Insurance Market Outlook

5.1. Market Size & Forecast
- 5.1.1. By Value
5.2. Market Share & Forecast
- 5.2.1. By Coverage Type (Single Trip Travel Insurance, Annual Multi-trip Travel Insurance, Long Stay Travel Insurance)
- 5.2.2. By Provider (Banks, Insurance Companies, Insurance Intermediaries, Others (Insurance Aggregators, etc.))
- 5.2.3. By End User (Education Travelers, Business Travelers, Family Travelers, Others (Senior Citizens, etc.))
- 5.2.4. By Region
- 5.2.5. By Company (2025)
5.3. Market Map

6. North America Travel Insurance Market Outlook

6.1. Market Size & Forecast
- 6.1.1. By Value
6.2. Market Share & Forecast
- 6.2.1. By Coverage Type
- 6.2.2. By Provider
- 6.2.3. By End User
- 6.2.4. By Country
6.3. North America: Country Analysis
- 6.3.1. United States Travel Insurance Market Outlook
  - 6.3.1.1. Market Size & Forecast
    - 6.3.1.1.1. By Value
  - 6.3.1.2. Market Share & Forecast
    - 6.3.1.2.1. By Coverage Type
    - 6.3.1.2.2. By Provider
    - 6.3.1.2.3. By End User
- 6.3.2. Canada Travel Insurance Market Outlook
  - 6.3.2.1. Market Size & Forecast
    - 6.3.2.1.1. By Value
  - 6.3.2.2. Market Share & Forecast
    - 6.3.2.2.1. By Coverage Type
    - 6.3.2.2.2. By Provider
    - 6.3.2.2.3. By End User
- 6.3.3. Mexico Travel Insurance Market Outlook
  - 6.3.3.1. Market Size & Forecast
    - 6.3.3.1.1. By Value
  - 6.3.3.2. Market Share & Forecast
    - 6.3.3.2.1. By Coverage Type
    - 6.3.3.2.2. By Provider
    - 6.3.3.2.3. By End User

7. Europe Travel Insurance Market Outlook

7.1. Market Size & Forecast
- 7.1.1. By Value
7.2. Market Share & Forecast
- 7.2.1. By Coverage Type
- 7.2.2. By Provider
- 7.2.3. By End User
- 7.2.4. By Country
7.3. Europe: Country Analysis
- 7.3.1. Germany Travel Insurance Market Outlook
  - 7.3.1.1. Market Size & Forecast
    - 7.3.1.1.1. By Value
  - 7.3.1.2. Market Share & Forecast
    - 7.3.1.2.1. By Coverage Type
    - 7.3.1.2.2. By Provider
    - 7.3.1.2.3. By End User
- 7.3.2. France Travel Insurance Market Outlook
  - 7.3.2.1. Market Size & Forecast
    - 7.3.2.1.1. By Value
  - 7.3.2.2. Market Share & Forecast
    - 7.3.2.2.1. By Coverage Type
    - 7.3.2.2.2. By Provider
    - 7.3.2.2.3. By End User
- 7.3.3. United Kingdom Travel Insurance Market Outlook
  - 7.3.3.1. Market Size & Forecast
    - 7.3.3.1.1. By Value
  - 7.3.3.2. Market Share & Forecast
    - 7.3.3.2.1. By Coverage Type
    - 7.3.3.2.2. By Provider
    - 7.3.3.2.3. By End User
- 7.3.4. Italy Travel Insurance Market Outlook
  - 7.3.4.1. Market Size & Forecast
    - 7.3.4.1.1. By Value
  - 7.3.4.2. Market Share & Forecast
    - 7.3.4.2.1. By Coverage Type
    - 7.3.4.2.2. By Provider
    - 7.3.4.2.3. By End User
- 7.3.5. Spain Travel Insurance Market Outlook
  - 7.3.5.1. Market Size & Forecast
    - 7.3.5.1.1. By Value
  - 7.3.5.2. Market Share & Forecast
    - 7.3.5.2.1. By Coverage Type
    - 7.3.5.2.2. By Provider
    - 7.3.5.2.3. By End User

8. Asia Pacific Travel Insurance Market Outlook

8.1. Market Size & Forecast
- 8.1.1. By Value
8.2. Market Share & Forecast
- 8.2.1. By Coverage Type
- 8.2.2. By Provider
- 8.2.3. By End User
- 8.2.4. By Country
8.3. Asia Pacific: Country Analysis
- 8.3.1. China Travel Insurance Market Outlook
  - 8.3.1.1. Market Size & Forecast
    - 8.3.1.1.1. By Value
  - 8.3.1.2. Market Share & Forecast
    - 8.3.1.2.1. By Coverage Type
    - 8.3.1.2.2. By Provider
    - 8.3.1.2.3. By End User
- 8.3.2. India Travel Insurance Market Outlook
  - 8.3.2.1. Market Size & Forecast
    - 8.3.2.1.1. By Value
  - 8.3.2.2. Market Share & Forecast
    - 8.3.2.2.1. By Coverage Type
    - 8.3.2.2.2. By Provider
    - 8.3.2.2.3. By End User
- 8.3.3. Japan Travel Insurance Market Outlook
  - 8.3.3.1. Market Size & Forecast
    - 8.3.3.1.1. By Value
  - 8.3.3.2. Market Share & Forecast
    - 8.3.3.2.1. By Coverage Type
    - 8.3.3.2.2. By Provider
    - 8.3.3.2.3. By End User
- 8.3.4. South Korea Travel Insurance Market Outlook
  - 8.3.4.1. Market Size & Forecast
    - 8.3.4.1.1. By Value
  - 8.3.4.2. Market Share & Forecast
    - 8.3.4.2.1. By Coverage Type
    - 8.3.4.2.2. By Provider
    - 8.3.4.2.3. By End User
- 8.3.5. Australia Travel Insurance Market Outlook
  - 8.3.5.1. Market Size & Forecast
    - 8.3.5.1.1. By Value
  - 8.3.5.2. Market Share & Forecast
    - 8.3.5.2.1. By Coverage Type
    - 8.3.5.2.2. By Provider
    - 8.3.5.2.3. By End User

9. Middle East & Africa Travel Insurance Market Outlook

9.1. Market Size & Forecast
- 9.1.1. By Value
9.2. Market Share & Forecast
- 9.2.1. By Coverage Type
- 9.2.2. By Provider
- 9.2.3. By End User
- 9.2.4. By Country
9.3. Middle East & Africa: Country Analysis
- 9.3.1. Saudi Arabia Travel Insurance Market Outlook
  - 9.3.1.1. Market Size & Forecast
    - 9.3.1.1.1. By Value
  - 9.3.1.2. Market Share & Forecast
    - 9.3.1.2.1. By Coverage Type
    - 9.3.1.2.2. By Provider
    - 9.3.1.2.3. By End User
- 9.3.2. UAE Travel Insurance Market Outlook
  - 9.3.2.1. Market Size & Forecast
    - 9.3.2.1.1. By Value
  - 9.3.2.2. Market Share & Forecast
    - 9.3.2.2.1. By Coverage Type
    - 9.3.2.2.2. By Provider
    - 9.3.2.2.3. By End User
- 9.3.3. South Africa Travel Insurance Market Outlook
  - 9.3.3.1. Market Size & Forecast
    - 9.3.3.1.1. By Value
  - 9.3.3.2. Market Share & Forecast
    - 9.3.3.2.1. By Coverage Type
    - 9.3.3.2.2. By Provider
    - 9.3.3.2.3. By End User

10. South America Travel Insurance Market Outlook

10.1. Market Size & Forecast
- 10.1.1. By Value
10.2. Market Share & Forecast
- 10.2.1. By Coverage Type
- 10.2.2. By Provider
- 10.2.3. By End User
- 10.2.4. By Country
10.3. South America: Country Analysis
- 10.3.1. Brazil Travel Insurance Market Outlook
  - 10.3.1.1. Market Size & Forecast
    - 10.3.1.1.1. By Value
  - 10.3.1.2. Market Share & Forecast
    - 10.3.1.2.1. By Coverage Type
    - 10.3.1.2.2. By Provider
    - 10.3.1.2.3. By End User
- 10.3.2. Colombia Travel Insurance Market Outlook
  - 10.3.2.1. Market Size & Forecast
    - 10.3.2.1.1. By Value
  - 10.3.2.2. Market Share & Forecast
    - 10.3.2.2.1. By Coverage Type
    - 10.3.2.2.2. By Provider
    - 10.3.2.2.3. By End User
- 10.3.3. Argentina Travel Insurance Market Outlook
  - 10.3.3.1. Market Size & Forecast
    - 10.3.3.1.1. By Value
  - 10.3.3.2. Market Share & Forecast
    - 10.3.3.2.1. By Coverage Type
    - 10.3.3.2.2. By Provider
    - 10.3.3.2.3. By End User

11. Market Dynamics

11.1. Drivers
11.2. Challenges

12. Market Trends & Developments

12.1. Merger & Acquisition (If Any)
12.2. Product Launches (If Any)
12.3. Recent Developments

13. Global Travel Insurance Market: SWOT Analysis

14. Porter's Five Forces Analysis

14.1. Competition in the Industry
14.2. Potential of New Entrants
14.3. Power of Suppliers
14.4. Power of Customers
14.5. Threat of Substitute Products

15. Competitive Landscape

15.1. Allianz
- 15.1.1. Business Overview
- 15.1.2. Products & Services
- 15.1.3. Recent Developments
- 15.1.4. Key Personnel
- 15.1.5. SWOT Analysis
15.2. American International Group, Inc.
15.3. AXA
15.4. ASSICURAZIONI GENERALI S.P.A.
15.5. USI Insurance Services, LLC
15.6. battleface
15.7. Insure & Go Insurance Services Limited
15.8. Seven Corners Inc.
15.9. Travel Insured International
15.10. Zurich
15.11. Delphi Financial Group, Inc.
15.12. Ping An Insurance (Group) Company of China, Ltd.