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Costly dom. travel disruptions twice as common as int’l: study

Taking off overseas may be more expensive than holidaying locally, but when it comes to disruptions to itineraries, it is domestic travel that is hurting Aussies travellers most, a new study has found. 


Conducted by InsureandGo, the study found that twice as many Australians are left out of pocket by major disruptions to local travel than by international travel.



According to data from the travel insurer, between January 2016 and June 2018, out-of-pocket costs caused by trip cancellations and delays made up more than half (54%) of all domestic travel claims, compared to just one in five (19%) disruption claims for US travel, one in five (20%) for Asia, and one in four (28%) for other regions abroad. 


Disruptions were defined as delays of more than 12 hours, and partial or entire trip cancellations made during or before travel. 


InsureandGo managing director Raphael Bandeira said too many Aussies were forgoing travel insurance for local holidays.


“Flight delays, for instance, have now become common – particularly in Queensland,” he remarked. 


“Travellers need to know that many pre-paid travel costs can be reimbursed by their insurer should a delay occur. 


“With domestic cover starting from as little as $32, it could be the difference between the price of a lunch and price of thousands of dollars in pre-paid tours and accommodation.”


Less than 15% of travel insurance claims in Australia are denied. 


To help travellers get what they’re entitled to from their insurer following a disruption, InsureandGo recommends holidaymakers get insurance as soon as they book; ensure coverage extends to all destinations and activities; reveal all pre-existing medical conditions; lower excess; report incidents ASAP (or within 24 hours); keep receipts and travel contracts; register claims within 30 days; and know your exclusions.   


Do you take out or sell domestic travel insurance policies? 


Written by: Mark Harada
Published: 25 September 2018

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