Kathmandu. The Asia-Pacific region has played a leading role with 22 per cent growth in the global travel insurance market.
According to a report prepared by Allied Market Research, the asia-pacific region’s contribution to the global travel insurance market is higher than other regions. According to the report, the asia pacific travel insurance market is projected to register the fastest growth from 2022 to 2032 with a compound annual growth rate (CAGR) of 22.1 percent.
Higher incomes, higher quality of travel and increasing demand for travel insurance awareness, especially in China and India, are expected to drive growth across the Asia Pacific region.
The global travel insurance market is projected to collect $107 billion in annual total insurance premiums by 2032. Which is almost seven times higher than the 2022 level of 20.1 percent growth.
This increase will be sustained by increasing population awareness of travel-related risks such as population traveling internationally for both business and entertainment, medical crises and travel cancellations. These factors are fuelling the demand for travel insurance as a financial security.
In 2022, insurance intermediaries accounted for nearly one-third of global travel insurance revenues. They have the largest market share due to their extensive network, personal services and strong customer base.
The segment is expected to maintain its lead during 2023. Meanwhile, insurance aggregators are projected to register the highest growth rate of 23.0 per cent from 2023 to 2032. Because their standard skills provide additional convenience and options considering the amount of different types of policies to compare.
