United Kingdom (UK) Travel Insurance Market Size, Trends, Competitor Dynamics and Opportunities

1.1 Market overview
1.2 Key findings
1.3 Critical success factors

2.1 The UK travel insurance market contracted to a record low in 2021
2.2 The number of single-trip policies written experienced the greatest contraction in 2021
2.3 Multi-trip policies accounted for 90.0% of the market in 2021
2.4 The average single-trip premium rose by 77.0% owing to an increased number of claims
2.5 Premiums decreased across most age groups in 2021
2.6 The FCA has introduced mandatory travel insurance signposting rules
2.7 The number of travel insurance claims fell by 69.5% in 2021
2.8 The cost of claims fell by 57.4% in 2021
2.9 The average value of claims paid increased by 40% in 2021
2.10 Travel insurance complaints increased, partly due to a lack of understanding around coverage
2.11 Fewer consumers traveled abroad in 2021
2.12 The impact of economic, sociopolitical, and health events on travel
2.13 A lower exchange rate will make travel more expensive for UK citizens
2.14 The cost-of-living crisis will impact travel habits
2.15 Despite Brexit, UK citizens will still be able to access medical care in the EU
2.16 Insurers must target domestic holidaymakers more effectively

3.1 Munich Re is the largest underwriter in the market by premiums
3.2 U K Insurance underwrote the highest number of policies
3.3 Nationwide sold the largest number of travel insurance policies
3.4 Chubb launched Pay As You Roam travel insurance
3.5 Travel insurers included specific COVID-19 features for new travel policies in 2021
3.6 Embedded insurance can benefit the travel insurance industry
3.7 The trend towards digitalization has been accelerated by the COVID-19 pandemic

4.1 The travel insurance market is set to recover to reach GBP503.1 million by 2026f
4.2 Technological opportunities in the market
4.3 AI can help prevent fraudulent claims

5.1 Abbreviations and acronyms
5.2 Methodology
5.3 Secondary sources
5.4 Further reading

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Table 1: UK travel insurance market GWP and annual growth rate, 2017-21
Table 2: UK travel insurance policies written and annual growth rate, 2017-21
Table 3: Average premiums and percentage change by policy type, 2017-21
Table 4: Average premiums and percentage change by age group, 2019-21
Table 5: Number of visits abroad by region (000s), 2017-21
Table 6: Nationwide FlexPlus travel insurance coverage, 2021
Table 7: Staysure annual comprehensive coverage, 2021
Table 8: Admiral’s annual coverage, 2021

Figure 1: The UK travel insurance market contracted by 30.1% in 2021
Figure 2: The number of written policies continued to fall in 2021
Figure 3: Multi-trip policies remain the travel insurance market leader
Figure 4: Multi-trip policy average premiums recorded a CAGR of 3.8% between 2017 and 2021
Figure 5: The number of claims decreased by 69.5% in 2021
Figure 6: Cancellations accounted for 50.0% of travel insurance claims in 2021
Figure 7: The cost of claims plummeted in 2021
Figure 8: The average value of medical expense claims rose by 6.3% in 2021
Figure 9: Outbound tourism decreased in 2021 for all regions
Figure 10: The proportion of trips accounted for by visiting friends and relatives has increased sharply, while the number of holiday trips has fallen
Figure 11: The unemployment rate fell to 3.8% in Q2 2022
Figure 12: Real weekly earnings continue to fall in 2022 as inflation becomes more severe
Figure 13: The pound hit an all-time low against the dollar in Q3 2022
Figure 14: Consumer price inflation will peak in 2022
Figure 15: Most individuals would not consider purchasing travel insurance for domestic travel
Figure 16: Great Lakes Munich Re remains the leading underwriter by travel insurance premiums
Figure 17: U K Insurance underwrote the largest share of contracts sold in 2021
Figure 18: Travel insurance is set to recover in 2022 after the sharp 2021 decline
Figure 19: Forecasting methodology