Study Period | 2020 - 2030 |
Base Year For Estimation | 2024 |
Forecast Data Period | 2025 - 2030 |
Market Size (2025) | USD 576.97 Million EUR |
Market Size (2030) | USD 737.43 Million EUR |
CAGR (2025 - 2030) | 5.03 % |
Market Concentration | Medium |
Major Players*Disclaimer: Major Players sorted in no particular order |
UK Travel Insurance Market Analysis
The UK Travel Insurance Market size in terms of gross written premiums value is expected to grow from EUR 576.97 million in 2025 to EUR 737.43 million by 2030, at a CAGR of 5.03% during the forecast period (2025-2030).
The UK travel insurance landscape is experiencing significant digital transformation, with insurers increasingly adopting cloud computing, robotics, and intelligent automation to enhance operational efficiency. Insurance companies are witnessing a direct correlation between digital innovation and profitability, though the sector still shows room for growth in technological penetration. According to recent industry data, only 18% of employees in personal line insurers hold digital and analytical skills, with merely 6% working in digital roles. The implementation of advanced technologies such as machine learning has expanded significantly, with applications almost tripling in 2023 compared to previous years, particularly in fraud detection, customer-facing applications, and insurance pricing.
Consumer behavior in the UK travel insurance market has evolved substantially, with a marked shift towards digital engagement and increased scrutiny of policy terms. Recent surveys indicate that 74% of travelers are now more likely to examine the terms and conditions of potential coverage than in previous years, demonstrating a growing emphasis on informed decision-making. Additionally, 71% of British clients of digital banks have expressed interest in receiving transaction-based digital insurance offers, highlighting the potential for innovative distribution models. This shift in consumer preferences has prompted insurers to focus on transparency and digital accessibility in their product offerings.
The distribution landscape is undergoing a significant transformation, with traditional channels being complemented by digital platforms and innovative partnerships. In September 2023, AXA Partners expanded its collaboration with Trip.com to broaden travel insurance distribution across Europe, offering comprehensive coverage including medical, cancellation, and luggage protection. The market has witnessed a notable increase in package holiday users, reaching 11.1 million in 2022, with projections indicating continued growth. This trend has prompted insurers to develop more integrated distribution strategies, combining digital platforms with traditional channels to meet diverse consumer preferences.
Insurance providers are responding to evolving market demands with innovative product development and service enhancement. Insurers are increasingly incorporating data analytics and artificial intelligence to offer more personalized coverage options and streamlined claims processes. The industry has witnessed a significant focus on developing comprehensive digital platforms, with insurers investing in user-friendly workflows for customer-facing processes, including underwriting, policy issuance, and claims management. This technological integration has enabled insurers to offer more flexible and customized products, with features such as real-time policy adjustments and automated claims processing becoming increasingly common in the market. The role of insurtech is pivotal in driving these advancements, as insurance technology continues to reshape the landscape of insurance services.
UK Travel Insurance Market Trends
The Positive Impact of Online Media
The rise of social media has fundamentally transformed how travelers research, plan, and share their travel experiences, subsequently driving the growth of travel insurance adoption. Social media platforms have become integral to the vacation experience, with travelers utilizing these channels to research destinations, share updates, interact with travel companies, and upload journey photographs. From a business perspective, social media has provided insurance companies with a powerful tool to reach and sell to passengers, offer deals, deliver enhanced customer experiences, and participate in improving people's travel experiences. The proliferation of Instagram-ready sights across the United Kingdom, including English Heritage, Grey's Monument, Victoria Memorial, Alfred the Great Statue, The Beatles Pier Head, and Peel Monument, continues to fuel travel social media shares and generate authentic travel advice, warnings, and trip highlights that provide more credibility than traditional channels.
The digital transformation of travel planning and digital insurance purchasing has been further accelerated by the sophistication of search engines and travel sites. Research indicates that 88% of internet searchers spend more time on websites containing video content, representing a significant driver for the tourism industry. Video content provides a more immersive view of cities, hotels, and locations compared to static photographs, with the promise of virtual and augmented reality poised to further accelerate this trend. This shift towards digital channels has empowered travelers to research and book all aspects of their trips online, often at more competitive prices than traditional tour packages or agent bookings, while maintaining the flexibility to customize their travel experiences. The insurance industry has adapted to this digital transformation, with companies developing user-friendly workflows for customer-facing processes, including underwriting, policy issuance, endorsements, and claims, ensuring a streamlined customer experience across all touchpoints. The integration of insurance technology has further enhanced these processes, enabling more efficient insurance services.
Segment Analysis: By Coverage Type
Annual Multi-trip Segment in UK Travel Insurance Market
The Annual Multi-trip travel insurance segment dominates the UK travel insurance market, commanding approximately 80% of the total market share in 2024. This segment has emerged as the preferred choice for frequent travelers, offering comprehensive coverage for multiple trips throughout the year with a single policy. The segment's strong performance is driven by its cost-effectiveness for customers who travel more than once annually, as it typically proves more economical than purchasing separate single-trip policies. The segment is also experiencing the fastest growth trajectory, projected to grow at around 5% from 2024-2029, driven by increasing awareness among travelers about the benefits of annual coverage, particularly for business travelers and families who make multiple trips per year. Insurance providers are enhancing their annual multi-trip offerings with features such as extended coverage periods of up to 31 days per trip, comprehensive medical emergency coverage, and inclusion of various activities and sports coverage, making these policies more attractive to diverse customer segments.
Single-trip Segment in UK Travel Insurance Market
The Single-trip travel insurance segment serves as an essential component of the UK travel insurance market, catering to occasional travelers and those requiring coverage for specific one-time journeys. This segment offers tailored coverage for individual trips, with policies typically lasting from 7 to 180 days, providing flexibility for various travel durations. Insurance providers in this segment have adapted their offerings to include comprehensive coverage options, including medical expenses up to EUR 2.27 million in Europe and EUR 5.68 million worldwide, personal liability coverage of EUR 1.14 million, and protection for cancellations, curtailments, and missed departures. The segment particularly appeals to budget-conscious travelers and those who travel infrequently, as it allows them to pay only for the coverage they need for specific trips rather than committing to an annual policy.
Segment Analysis: By Distribution Channel
Insurance Brokers Segment in UK Travel Insurance Market
Insurance brokers represent the dominant force in the UK travel insurance market, commanding approximately 28% market share in 2024. This segment's prominence can be attributed to brokers' unique position in serving customer needs through comprehensive guidance, access to adequate insurance coverage, and effective risk management. Insurance brokers in the UK contribute significantly to the economy, organizing 72% of all general insurance with premiums that account for 92% of all commercial insurance activity. The segment is experiencing robust growth with a projected growth rate of nearly 6% through 2029, driven by brokers' ability to provide customers with multiple options and recommendations leveraging their extensive knowledge and expertise. This growth trajectory is particularly notable in cases where planned trips or travelers fall outside the typical clientele of mainstream travel insurance providers. Insurance brokers' strength lies in their ability to explain complex and diverse products, making them particularly valuable in the UK travel insurance market, which features various policy types including coverage for cancellation, medical expenses, liability, missed departure, repatriation, and lost baggage.
Remaining Segments in Distribution Channel
The UK travel insurance market's distribution landscape is further diversified through several other significant channels. Insurance companies operate through direct operations, complementing their established broker networks by offering products directly to customers through digital platforms and call centers. Insurance intermediaries play a crucial role by connecting clients with insurance providers and handling various aspects of the insurance process, from claims management to premium collection. Banks have established themselves as strong players, particularly in the context of packaged bank accounts where travel insurance is offered as a value-added service. Other distribution channels, including travel agencies, web aggregators, airlines, and retailers, contribute to the market's accessibility by providing customers with various touchpoints for purchasing travel insurance, though these channels often face regulatory scrutiny regarding the clarity of information provided and the quality of customer service.
Segment Analysis: By End User
Family Travelers Segment in UK Travel Insurance Market
The family travelers segment has emerged as a dominant force in the UK travel insurance market, commanding approximately 38% of the market share in 2024. This substantial market presence is driven by the increasing trend of family package holiday bookings, with around 11.1 million users of package holidays recorded in the UK. The segment's strength is further reinforced by the comprehensive coverage options offered by insurers, including protection for multiple family members under a single policy, often automatically including children under 17 years old when traveling with a parent. Insurance providers have adapted their offerings to cater to diverse family needs, covering aspects such as trip cancellations, medical emergencies, lost baggage, and other unforeseen events that might affect family vacations. The segment's robust performance is also attributed to the growing awareness among families about the importance of travel protection, especially for international trips and package holidays.
Education Travelers Segment in UK Travel Insurance Market
The education travelers segment is demonstrating remarkable growth potential in the UK travel insurance market, with an expected growth rate of approximately 6% during the forecast period 2024-2029. This accelerated growth is primarily driven by the UK's position as a premier destination for international education, hosting over 605,000 international students. The segment's expansion is supported by comprehensive insurance policies specifically designed for students, covering extended stays, multiple trips between home and university, and academic-related travel requirements. Insurance providers are increasingly tailoring their products to address the unique needs of student travelers, including coverage for study materials, electronics, and extended medical care. The segment's growth is further bolstered by mandatory insurance requirements from educational institutions and the rising awareness among students about the importance of travel protection while studying abroad.
Remaining Segments in End User Market Segmentation
The senior citizens segment represents a crucial component of the UK travel insurance market, characterized by specialized coverage options tailored to address age-specific travel needs and medical considerations. Insurance providers offer comprehensive packages for this segment, often including enhanced medical coverage, pre-existing condition coverage, and specialized assistance services. The market also encompasses various other end users, including business travelers and individual tourists, who contribute significantly to the market's diversity. These segments benefit from customized insurance products that cater to their specific travel patterns, risk profiles, and coverage requirements, ranging from single-trip policies to annual multi-trip coverage options. The varied nature of these segments helps maintain market stability and drives innovation in insurance product development.
UK Travel Insurance Industry Overview
Top Companies in UK Travel Insurance Market
The UK travel insurance market features prominent players including Munich Re, Allianz, Chubb, Aviva, Saga PLC, Post Office, RAC Insurance, Admiral Insurance, AllClear Travel Insurance, and ABTA. These companies are increasingly focusing on product innovation through the integration of digital technologies and insurtech solutions to enhance customer experience. The industry is witnessing a significant shift towards online platforms and mobile applications for policy distribution and claims processing. Companies are forming strategic partnerships with travel operators, airlines, and digital platforms to expand their distribution networks. Market leaders are investing heavily in research and development to develop advanced technological solutions while simultaneously expanding their regional presence through both offline and online sales channels. The competitive landscape is characterized by continuous efforts to diversify product offerings and improve service delivery through technological advancement and customer-centric approaches.
Fragmented Market with Strong Digital Evolution
The UK travel insurance market exhibits a fragmented structure with numerous companies competing for market share, though a few major players maintain significant influence. Traditional insurers face increasing competition from technology-savvy new entrants, particularly insurtech companies, which are predominantly based in the United Kingdom. The market is experiencing a transformation with the emergence of financial technology companies and the potential entry of big tech companies like Amazon and Google, leading to increased merger and acquisition activities as traditional insurers seek to maintain their competitive position through strategic partnerships and technological integration.
The competitive dynamics are further shaped by banks and insurers dominating insurance sales, with companies like Nationwide maintaining strong market positions through bundled bank accounts offering travel insurance as part of their service packages. The market is witnessing a shift in distribution channels, with online aggregators and direct-to-consumer platforms gaining prominence. Traditional insurers are responding by developing their digital capabilities and forming partnerships with technology providers to enhance their market presence and operational efficiency.
Innovation and Adaptability Drive Market Success
Success in the UK travel insurance market increasingly depends on companies' ability to leverage technological advancements and adapt to changing consumer preferences. Incumbents are focusing on developing user-friendly workflows for customer-facing processes, including underwriting, policy issuance, and claims management. The integration of cloud computing, robotics, intelligent automation, advanced analytics, and blockchain technology has become crucial for maintaining a competitive advantage. Companies are also investing in personalized insurance solutions and enhanced digital capabilities to meet the growing demand for customized coverage options.
Market participants must navigate regulatory requirements while maintaining operational efficiency and customer satisfaction. The ability to offer innovative products that address emerging risks, particularly in response to events like the COVID-19 pandemic, has become a key differentiator. Companies are increasingly focusing on building a strong digital presence and developing omnichannel distribution strategies to reach diverse customer segments. The success of market contenders relies on their ability to differentiate themselves through superior customer service, technological innovation, and strategic partnerships while maintaining competitive pricing and comprehensive coverage options.
UK Travel Insurance Market Leaders
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Munich RE
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Allianz
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Chubb
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Aviva
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Saga PLC
- *Disclaimer: Major Players sorted in no particular order
UK Travel Insurance Market News
- October 2023: Munich Re, a world-renowned reinsurance company, has joined forces with the world-renowned International SOS, an international leader in health and security, to create an integrated policy solution for the management of epidemics and pandemics. As a result of this new collaboration between the two companies, International SOS is now offering health advisory services for Munich Re's policyholders affected by the pandemic.
- December 2023: Chubb has entered into a strategic partnership with NetSPI, a leading provider of advanced attack surface management (APM) and penetration testing services. NetSPI's flexible solutions are designed to meet the needs of businesses of all sizes and across a variety of industries, according to a Chubb news release. This partnership provides clients with the assurance that they can identify vulnerabilities, security vulnerabilities, and risk exposure before it becomes a claim.
UK Travel Insurance Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions and Market Definition
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
- 4.1 Market Overview
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4.2 Market Drivers
- 4.2.1 Population Growth and the Emergence of Tourism are Driving the Market
- 4.2.2 The Positive Impact of Online Media
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4.3 Market Restraints
- 4.3.1 Change in Regulatory Environment
- 4.3.2 Rising Technological Advancements are Difficult to Cope With
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4.4 Porter's Five Forces Analysis
- 4.4.1 Threat of New Entrants
- 4.4.2 Bargaining Power of Buyers/Consumers
- 4.4.3 Bargaining Power of Suppliers
- 4.4.4 Threat of Substitute Products
- 4.4.5 Intensity of Competitive Rivalry
- 4.5 Insights into Technological Advancements in the Industry
- 4.6 Impact of COVID-19 on the Market
5. MARKET SEGMENTATION
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5.1 By Type
- 5.1.1 Single-Trip Travel Insurance
- 5.1.2 Annual Multi-Trip Travel Insurance
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5.2 By Distribution Channel
- 5.2.1 Insurance Companies
- 5.2.2 Insurance Intermediaries
- 5.2.3 Banks
- 5.2.4 Insurance Brokers
- 5.2.5 Others
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5.3 By End User
- 5.3.1 Senior Citizens
- 5.3.2 Education Travelers
- 5.3.3 Family Travelers
- 5.3.4 Others
6. COMPETITIVE LANDSCAPE
- 6.1 Market Concentration Overview
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6.2 Company Profiles
- 6.2.1 Munich RE
- 6.2.2 Allianz
- 6.2.3 Chubb
- 6.2.4 Aviva
- 6.2.5 Saga PLC
- 6.2.6 Prudential Guarantee
- 6.2.7 KBC Group
- 6.2.8 Europ Assistance
- 6.2.9 AllClear
- 6.2.10 ABTA*
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
8. DISCLAIMER AND ABOUT US
UK Travel Insurance Industry Segmentation
The report offers a complete background analysis of the travel insurance market, which includes an assessment of the emerging market trends by segments, significant changes in the market dynamics, and the market overview. The Travel insurance market is segmented by type (single-trip travel insurance and annual multi-trip travel insurance), by distribution channel (insurance companies, insurance intermediaries, banks, insurance brokers, and other distribution channels), by end-user (senior citizens, education travelers, business travelers, family travelers, and other end users).
By Type | Single-Trip Travel Insurance |
Annual Multi-Trip Travel Insurance | |
By Distribution Channel | Insurance Companies |
Insurance Intermediaries | |
Banks | |
Insurance Brokers | |
Others | |
By End User | Senior Citizens |
Education Travelers | |
Family Travelers | |
Others |
UK Travel Insurance Market Research Faqs
How big is the UK Travel Insurance Market?
The UK Travel Insurance Market size is expected to reach EUR 576.97 million in 2025 and grow at a CAGR of 5.03% to reach EUR 737.43 million by 2030.
What is the current UK Travel Insurance Market size?
In 2025, the UK Travel Insurance Market size is expected to reach EUR 576.97 million.
Who are the key players in UK Travel Insurance Market?
Munich RE, Allianz, Chubb, Aviva and Saga PLC are the major companies operating in the UK Travel Insurance Market.
What years does this UK Travel Insurance Market cover, and what was the market size in 2024?
In 2024, the UK Travel Insurance Market size was estimated at EUR 547.95 million. The report covers the UK Travel Insurance Market historical market size for years: 2020, 2021, 2022, 2023 and 2024. The report also forecasts the UK Travel Insurance Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
Our Best Selling Reports
UK Travel Insurance Market Research
Mordor Intelligence brings extensive expertise in analyzing the travel insurance industry. We leverage advanced insurance technology and insurtech solutions to deliver comprehensive market insights. Our research covers the evolution of digital insurance platforms, insurance aggregator services, and emerging parametric insurance models. The report provides a detailed analysis of how insurance services are adapting to changing consumer needs. This includes integration with health insurance, medical insurance, and accident insurance offerings. Available as an easy-to-read report PDF for download, this analysis covers technological innovations, regulatory frameworks, and strategic developments in the UK market.
Stakeholders benefit from our thorough examination of microinsurance opportunities, reinsurance dynamics, and emerging distribution channels. The report delivers actionable insights for insurance providers, technology vendors, and investors. It is supported by extensive data on consumer behavior and market trends. Our analysis includes detailed assessments of insurance brokerage operations, impacts of technological advancements, and competitive positioning strategies. The comprehensive coverage ensures decision-makers can effectively navigate the rapidly evolving landscape of travel insurance solutions while maintaining a competitive advantage in this dynamic market segment.