Following the news that Caribbean destinations are launching travel insurance offerings as part of their mandatory travel insurance requirements now applicable to inbound travellers, Squaremouth notes that ‘the most popular form of cover’ is, however, not included with these offerings, and, as such, this form of cover isn’t always enough.
“The coverage provided by mandatory insurance is often limited, as it typically only covers medical emergencies that occur in the destination,” Squaremouth says, noting that following the impacts of Covid-19, the majority of travellers are prioritising trip cancellation coverage too.
Travellers willing to pay more to have travel flexibility
“Cancellation coverage has become so important to travellers; they are willing to pay more in order to have complete flexibility to cancel. Squaremouth reports a 524-per-cent increase in policies purchased with the Cancel for Any Reason upgrade, which allows travellers to cancel their trip up until two days prior to departure and receive 75-per-cent reimbursement,” Squaremouth said.
Indeed, Squaremouth notes that 80 per cent of all travel insurance policies purchased since the pandemic began have included coverage to cancel a trip – there’s no denying the demand is there.
“Travellers visiting these destinations that also want cancellation coverage can save money by purchasing a policy that includes trip cancellation benefits with low or no medical coverage,” Squaremouth advised.
Perhaps travellers planning trips to Jamaica, which is one of the Caribbean destinations that has recently launched mandatory travel insurance requirements, will look to purchase additional trip cancellation cover, as Squaremouth suggests. Insurers should market their offerings accordingly.