Understanding the Journey Insurance coverage Hole: Assembly Fashionable Travellers’ Wants
Philippines – Klook, Asia’s main platform for experiences and journey providers, reveals key findings below a brand new analysis performed by Klook Shield, its travel-first insurance coverage arm. Exploring shopper attitudes, behaviours, and life impacting journey insurance coverage immediately, ‘Journey Troubles Past Misplaced Baggage 2024’1 seems into the gaps and dynamic safety wants of Millennial and GenZ travellers who are sometimes uncovered to larger danger than earlier generations of travellers.

Journey Troubles Past Misplaced Baggage 2024
“Millennials and GenZs are in search of journey insurance coverage that goes past defending their common security, they need to be fearless and expertise the fun. They’re tech-savvy and impartial travellers that embrace unpredictable journey and exploratory spirit. That is why there’s a spot available in the market for various kinds of journey insurance coverage that displays their journey habits alongside elevating the standard of their vacation,” stated Chuan Sheng (C.S.) Soong, Chief Govt Officer of Klook Shield.
- Conventional journey insurance coverage doesn’t meet the wants of contemporary vacationers immediately, discouraging 17% of respondents from buying it collectively, making them compromise on their freedom and aspirations. 21% of respondents throughout Singapore, Hong Kong, the Philippines, Malaysia, and South Korea need much less conventional journey insurance coverage.
- Millennials and GenZs have dynamic and numerous safety wants throughout their travels, partly on account of an elevated urge for food for native experiences and journey, exposing them to extra danger than vacationers from older generations.
- New standards for journey insurance coverage have emerged, as 38% need their insurance coverage to incorporate extra trendy journey dangers like local weather disasters and journey scams, to protection for what they go away behind on their holidays – from pets to their home.
Travelling in 2024 comes with a couple of added layers of danger in comparison with earlier years. Amongst many elements, local weather change, financial pressures and well being considerations have all led to disrupted journey plans and probably impacting security in sure locations. Examples embody lethal flight turbulence, elevated crime charges in excessive vacationer areas, and well being dangers corresponding to climate-sensitive infectious illnesses.
Key findings from the report are under.

Conventional journey insurance coverage fails to maintain up with the fast-evolving wants of contemporary travellers immediately.
1In affiliation with Canvas8, the analysis was performed with 2,500 respondents aged 18 – 80 throughout Singapore, Hong Kong, the Philippines, Malaysia and South Korea.
Millennials and GenZs have ushered in a brand new solution to journey and amongst all surveyed, 21% expressed their need for much less conventional journey insurance coverage as a result of these merchandise are inclined to comply with a cookie-cutter strategy that’s now outdated. Particularly, 34.1% need the method of getting journey insurance coverage to be pleasurable, adopted by 12.7% and eight.1% who desire a extra progressive and transformational supplier respectively.
Difficulties in making claims (25%), understanding what is roofed (22%), and having processes which might be too advanced (22%) or too lengthy (20%) have been key elements in discouraging trendy travellers from buying journey insurance coverage. Contemplating that comfort and adaptability are excessive priorities for Millennials and Gen Zs, the complexities behind conventional journey insurance coverage don’t even meet their primary preferences as a shopper. Moreover, 75% of travellers choose to e book elements of their journeys (flights, lodging, insurance coverage) multi function place, with 28% of these respondents ‘strongly agreeing’.
Malaysia (36%), Singapore (34%), and Hong Kong (21%) are the highest markets with travellers highlighting issue in making claims. On the identical time, the Philippines has a whopping 40% of travellers who’re extra value-conscious, rating worth as the highest purpose.

Millennials and Gen Zs want totally different safety and preparation from unexpected occasions as they’re uncovered to larger danger.
48% of travellers below the age of 35 are sometimes drawn to journey journey, and uncovered to extra danger throughout trip on account of solo or unplanned ventures. This consists of actions like excessive sports activities, off-the-beaten-path locations, and bodily demanding experiences. Though thrilling, these actions inherently carry a better danger of harm or accidents, when in comparison with extra conventional sightseeing. Moreover, the frustration of undesirable, surprising moments or lack of reaching journey targets can wreck a complete journey.
As much as 46% of these surveyed take a leisure journey at the least as soon as each 3 months, which could possibly be something from an in a single day keep to a backpacking journey. This causes some to prioritise funds journey which might contain staying in less-regulated lodging or transportation choices with decrease security requirements.
In addition to travelling on a whim, Millennials and Gen Z closely depend on expertise for navigation, communication, and even reserving actions. Dependence on telephone battery life or restricted web entry in distant areas might pose additional challenges in emergencies. Different new dangers corresponding to ride-share scams, misrepresentation of lodging on web sites, and poor security requirements from journey suppliers will more and more drive demand for cover towards them.
Sharing what might be achieved to vary the inflexible state of journey insurance coverage immediately given the heightened danger elements, C.S. Soong stated, “Journey insurance coverage positively must be modernised for a greater travelling expertise. Klook Shield is the world’s first journey insurance coverage that insures the great occasions for travellers, providing 100% refunds for actions that fall by means of on account of dangerous climate situations, or if travellers don’t see a shark throughout whale shark diving. It’s journey insurance coverage that’s well-thought out and created primarily based on our deep understanding of travellers’ wants, derived from our world consumer database and over half 1,000,000 experiences obtainable on our platform”.

Majority of travellers are unmotivated to purchase journey insurance coverage that’s at the moment obtainable available in the market, with some leaving buying selections to the final minute.
Regardless of the tradition of over-preparedness and meticulous planning in Asian households, travellers from Hong Kong, Malaysia, the Philippines, in addition to Singapore who prepared the ground in frequent journey, wait lower than a month previous to make selections on journey insurance coverage. Additionally it is discovered that Singaporeans (30%), Hong Kongers (36%), Malaysians (37%) and Filipinos (36%) purchase protection simply days to per week earlier than their journeys.
One-fifth expressed considerations over the complexity of creating insurance coverage claims, whereas 32% indicated a powerful desire for seamless, easy-to-claim insurance policies. These findings underscore a a lot greater alternative available in the market.
Commenting on this, C.S. Soong analysed that, “There’s a want for brand new journey insurance coverage requirements, as travellers are dragging their ft to buy journey insurance coverage, feeling overwhelmed by choices and nonetheless not discovering what they want. Our analysis has made us conscious that journey seekers particularly, have had dangerous experiences with journey insurance coverage prior to now on account of their claims falling out of the insurance coverage protection scope, or difficulties find appropriate insurance coverage within the first place. There’s a hole available in the market for journey insurance coverage that may tackle such wants, and folks should have insurance coverage that enables them to benefit from the adventures that they need with out having to fret concerning the aftermath”.
Klook Shield has a better strategy to insurance coverage that additionally caters to Millennial and GenZ journey habits. With this new normal, travellers could make smarter decisions that enrich their vacation experiences with insurance coverage options that may perceive and anticipate journey that’s centred round enjoyable actions and significant experiences.
Commissioned by award-winning shopper insights company, Canvas8, this analysis was performed amongst a pattern of two,500 respondents in February 2024 throughout 5 markets in Asia (Singapore, Malaysia, the Philippines, Hong Kong and South Korea).
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