Australia and Canada Travel Insurance Market Report and Forecast 2025-2034

Australia and Canada Travel Insurance Market Report and Forecast 2025-2034

Market Outlook

According to the report by Expert Market Research (EMR), the Australia and Canada travel insurance market size reached a value of nearly USD 1,820.59 million in 2024. Aided by the increasing awareness of the importance of travel insurance and the growing demand for comprehensive coverage, the market is projected to grow at a CAGR of 23.4% between 2025 and 2034 to reach a value of around USD 14179.47 million by 2034.

Travel insurance provides financial protection against unforeseen circumstances such as medical emergencies, trip cancellations, lost luggage, and other travel-related risks. It plays a crucial role in ensuring travellers' safety and financial security, particularly in countries like Australia and Canada, where healthcare costs for non-residents can be significantly high. The increasing number of international travellers, including tourists, business professionals, and students, has led to a rising demand for comprehensive travel insurance policies.

The high cost of medical treatments in Australia and Canada is a primary factor driving travellers to opt for comprehensive travel insurance. Without insurance, foreign travellers face expensive medical bills, especially for emergency hospitalisations, surgeries, or specialist consultations. Travel insurance policies offering cashless hospitalisation and direct billing services are gaining traction, ensuring financial security for travellers. This is leading to the growth of Australia and Canada travel insurance market.

Frequent occurrences of flight cancellations, natural disasters, pandemics, and geopolitical tensions have made travel unpredictable. As a result, trip protection policies covering delays, cancellations, and emergency evacuations have become essential. Travellers are increasingly investing in comprehensive travel insurance that ensures financial protection against unforeseen disruptions. This is further accelerating the Australia and Canada travel insurance market development.

Both Australia and Canada have government-mandated insurance policies for specific visa categories. The OSHC policy for students in Australia and mandatory medical insurance for Super Visa applicants in Canada are key regulatory factors driving the Australia and Canada travel insurance market growth. Additionally, several countries now require proof of travel insurance as a prerequisite for visa approval, further driving the market demand.

The rapid digitalisation of the insurance industry has made travel insurance more accessible and affordable. Leading insurance providers are leveraging e-commerce platforms, AI-driven chatbots, and mobile applications to offer instant policy issuance, real-time claim processing, and personalised insurance packages. This has significantly increased insurance penetration, particularly among millennials and Gen Z travellers. This is one of the key Australia and Canada travel insurance market trends.

The increasing number of senior citizens travelling abroad has led to a surge in demand for travel insurance policies covering pre-existing medical conditions. Many insurers now offer specialised senior travel insurance plans that include extended medical coverage, emergency repatriation, and healthcare assistance. The rise in post-retirement travel is expected to favourably shape the Australia and Canada travel insurance market dynamics.

Leading airlines, travel agencies, and insurance companies are forming strategic partnerships to offer bundled travel insurance packages. Many airlines now offer insurance add-ons during flight bookings, making it easier for travellers to secure coverage. Such collaborations are enhancing market reach and improving customer convenience, thereby creating a favourable Australia and Canada travel insurance market outlook.

The increasing number of corporate travellers, expatriates, and remote workers has led to a surge in demand for business travel insurance. Companies are now investing in corporate travel policies that cover business interruptions, emergency medical expenses, and liability protection. With Australia and Canada serving as major hubs for global trade, the rise in cross-border business travel is driving market growth, particularly in sectors such as finance, technology, and consulting. This is expected to increase the Australia and Canada travel insurance market revenue in the coming years.

With a rise in adventure tourism in Australia and Canada, including skiing, scuba diving, and trekking, there is an increasing need for specialised travel insurance policies covering high-risk activities. Insurance providers are now offering tailored policies for adventure enthusiasts, ensuring coverage for injuries, equipment damage, and emergency evacuations. The growing preference for experience-based travel is expected to further drive demand for adventure travel insurance in the coming years.

The Australia and Canada travel insurance market expansion is being driven by rising international travel, increasing risk awareness, evolving digital insurance platforms, and stringent visa regulations. The expansion of tailored insurance solutions and the integration of COVID-19 coverage, adventure travel policies, and corporate insurance plans are key trends shaping the future of the industry. With the growing emphasis on health security, financial protection, and seamless digital experiences, the market is expected to see sustained growth over the forecast period.

Market Segmentation

The market can be divided based on type, application, and country.

Market Breakup by Type

• Single Trip
• Annual Multi-Trip
• Long-Stay

Market Breakup by Application

• Insurance Companies
• Banks
• Online
• Others

Market Breakup by Region

• Australia

o New South Wales

o Victoria

o Queensland

o Australian Capital Territory

o Western Australia

o Others

• Canada

o Northern Canada

o British Columbia

o Alberta

o The Prairies

o Central Canada

o Atlantic Canada

Competitive Landscape

The EMR report looks into the market shares, plant turnarounds, capacities, investments, and mergers and acquisitions, among other major developments, of the leading companies operating in the Australia and Canada travel insurance market. Some of the major players explored in the report by Expert Market Research are as follows:

• Allianz
• AIG
• Cover-More
• Travel Guard
• AXA
• Others

About Us

Acquire unparalleled access to critical industry insights with our comprehensive market research reports, meticulously prepared by a team of seasoned experts. These reports are designed to equip decision-makers with an in-depth understanding of prevailing market trends, competitive landscapes, and growth opportunities.

Our high-quality, data-driven analysis provides the essential framework for organisations seeking to make informed and strategic decisions in an increasingly complex and rapidly evolving business environment. By investing in our market research reports, you can ensure your organisation remains agile, proactive, and poised for success in today's competitive market.

Don't miss the opportunity to elevate your business intelligence and strengthen your strategic planning. Secure your organisation's future success by acquiring one of our Expert Market Research reports today.

*We at Expert Market Research always strive to provide you with the latest information. The numbers in the article are only indicative and may be different from the actual report.