Seven Corners has seen purchases from almost every country in the world. The top five countries with the highest number of Plus policies purchased include:
- US – 51 per cent of total policies sold
- Canada – six per cent of total policies sold
- India – five per cent of total policies sold
- UK – three per cent of total policies sold
- Israel – three per cent of total policies sold
It’s encouraging to see that although travel decreased significantly in 2020, many people who needed to travel internationally were able to do so, and with peace of mind thanks to the protection that travel insurance offers.
Customers take the lead in the claims process
Seven Corners experienced a 1000-per-cent increase in contacts from customers early in the pandemic. To address their customers’ increased needs and improve service levels, the organisation expanded their self-service options. With this change in 2020, Seven Corners saw a more than 1000-per-cent increase in customers exercising self-service options for submitting claims and updating their purchase.
This trend is not limited to travel in the pandemic world either. It also represents a general customer trend over the past several years as customers have become more service-oriented, seeking to take immediate action themselves instead of interacting with a customer representative.
Trip cancellation remains a key benefit
In 2020, approximately 87 per cent of all claims Seven Corners received were for trip cancellation, making it the most important benefit for trip insurance purchasers. Additionally, this benefit begins working for travellers the day after a plan is bought and continues until trip departure, providing a long window of protection.
“Trip cancellation protection is especially relevant in a post-pandemic world with a large number of unknowns still remaining when it comes to travel,” said Jeremy Murchland, President of Seven Corners. “To get the most from your coverage, it’s important to buy the insurance as soon as possible so you have the option to cancel and recoup your non-refundable trip expenses for the entire time that precedes your departure.”
Cancel for Any Reason (CFAR) coverage became more popular in 2020
As consumers started to learn more about the need for travel insurance during the pandemic, they also discovered the benefit of CFAR coverage, which is the only coverage option that allows travellers to cancel for any reason of their choosing, including fear of travel.
Travel insurance is a type of named perils plan, typically covering only the listed reasons for cancellation. CFAR provides an expansion of coverage by allowing the insured to cancel for any reason they wish. As a result of CFAR’s increase in popularity, Seven Corners saw a 180-per-cent increase in the sale of plans with CFAR in 2020 compared to 2019. This trend has continued into 2021.
Seven Corners’ data shows the average age of a trip protection plan purchaser is 43 years old, while the average age for consumers who buy a medical only plan for their trip is slightly younger at 39 years of age.
The average cost of a trip is approximately US$3,000, indicating this is a material amount for most travellers as they buy trip insurance to protect their non-refundable trip expenses if they need to cancel or interrupt their trip. With a trip protection plan, they also receive coverage for their baggage and personal effects and medical expenses if they become sick or hurt while travelling.