Travel insurers ‘dealt with one new claim every two minutes typically in 2022’
That's according to the Association of British Insurers
Last year travel insurers dealt with a new claim every two minutes typically, according to analysis from the Association of British Insurers (ABI).
The number and cost of claims rose significantly, reflecting a return to pre-pandemic travel levels, after lower claims due to the Covid travel restrictions, the ABI said.
Travel insurers dealt with 362,000 claims in 2022, surging by 148% compared with 2021.
Total claim payouts, at £352 million, leapt by 230% on the total recorded by the ABI in 2021.
Holidaymakers are also being reminded to take details of their insurer with them when they go abroad.
The ABI highlighted one significant payout for emergency overseas medical treatment covered by travel insurance, which came to £250,000.
Someone visiting Thailand suffered a serious blood infection needing intensive medical treatment and an air ambulance back to the UK. The total bill, paid by the travel insurer, was £250,000.
In another case, a holidaymaker in Spain needed private medical treatment for a kidney infection. This cost £15,000, covered by travel insurance.
It also said that last year there were big rises in cancellation and medical expenses claims.
The number of cancellation claims, at 129,000, rose by 75% on 2021. There were 112,000 medical claims, a leap of 235%, with payouts totalling £197 million.
Spain, the United States, Greece and France were the top overseas destinations in 2022 for people making medical claims on their travel insurance.
The average travel insurance claim last year was the highest on the ABI’s records going back to 2004, at £973. The average emergency medical treatment claim was £1,750, also the highest on record.
Claim payouts tend to rise with age, with an average claim value of £571 for holidaymakers aged 36 to 40, rising to £1,950 for holidaymakers aged 71 to 75.
Louise Clark, the ABI’s policy adviser, general insurance, said: “Most holidaymakers remember their travels for all the right reasons, but for a few it turns into the stuff of nightmares.
“No one wants to think of anything spoiling their holiday, but if it does, you could be left counting the cost for many years. The risk of falling seriously ill or injured while overseas can be financially horrendous, as well as very stressful. Travel insurance should always be an essential holiday purchase, and never a nice-to-have.”
Published: by Radio NewsHub