United Kingdom (UK) Travel Insurance Distribution Dynamics 2023

United Kingdom (UK) Travel Insurance Distribution Dynamics 2023

Summary

This report explores consumer purchasing behaviors and preferences for travel insurance. New trends and innovations are highlighted, as well as the key factors that will influence the market over the next few years.

In 2023, PCWs remained the preferred pre-purchase activity, as cited by 43.3% of respondents. Consumers favor PCWs due to price being such a prominent factor in their decision-making process. However, usage of PCWs declined by 2.5pp in 2023. In 2023, the proportion of consumers who called their existing provider and visited their existing provider’s website both increased in popularity compared to 2022. This suggests that consumers are seeking increased detail from their provider about their coverage levels, policy options, and premium pricing.

Scope

• In 2023, 24.6% of travel insurance purchases were via PCWs. However, PCWs’ market share decreased by 1.8pp compared to 2022.
• In 2023, the proportion of customers who renewed automatically increased by 6.8pp compared to 2022.
• Tesco Bank entered the top 10 in 2023, replacing Coverwise.

Reasons to Buy

• Understand consumer purchasing decisions in the travel insurance space and how these will influence the market over the next few years
• Improve customer engagement by recognizing what is most important to them and how insurers can adapt their products and services to meet their needs
• Compare the Net Promoter Scores of key providers
• Discover which providers lead the way in the travel insurance space and learn about new product innovations
• Adapt your distribution strategy to ensure it still meets customer purchasing behaviors.