Nib Travel posts AUD$19.7 million in losses
Specialist insurer Nib Travel has posted a full-year loss of $19.7 million, reversing last year’s profit of $6.6 million, following a plunge in operating margins as Covid-19 restrictions brought global travel to a standstill
The insurer includes the brands World Nomads, Travel Insurance Direct and SureSave. The global impacts of Covid-19 caused significant disruption across all Nib businesses, with Travel hit the hardest. It was focused on reducing operational expenses, shrinking its cost base, and improving operating efficiency in preparation for any return to travel.
MD Mark Fitzgibbin said: “The crisis has required extraordinary agility and adaptation.”
Chairman Steven Crane added that there were ‘clearly hurdles across the group, most notably Nib Travel which is operating in a very difficult market’. “The devastation of Covid-19 made 2020 as extraordinary as any I’ve ever encountered,” he said. “The pandemic has devastated consumer confidence and destroyed or put at risk so many businesses.”
Travel insurers worldwide are facing difficulties as travel remains restricted across the globe. However, some insurers are coming up with innovative ideas to keep afloat, including working with countries such as Turkey, to offer insurance to travellers, leaving some hope for the future of travel insurers.