Annual multi-trip travel insurance is now outpacing the traditional single-trip policy, reveals Club Direct.
Increases in personal disposable income and foreign travel lie behind the switch, coupled with a growth in consumer awareness of the price benefits of annual insurance, which can cost as little as £40.
The survey of 1,000 consumers, carried out this month, showed that, of those people who travel abroad on holiday, 51% took one trip, 28% took two and 21% took three or more foreign holidays each year.
Club Direct managing director Brent Escott said: “With 49% of those people taking foreign holidays taking more than one trip in a year, growth in annual travel insurance is now leaving traditional single-trip policies standing.”
In 1997, annual policies accounted for 20% of sales, with the remainder being single trips. This year, that proportion is already up to 50% and the figure is still growing.
Market analyst Mintel estimates that foreign holidays are now taken by around 42% of adults aged over 16.
Record rises in employment and income also appear to be encouraging UK residents to travel abroad more often.