November and December of last year was a tough time to travel, as things like bad weather, lost baggage and canceled flights upended a ridiculous amount of holiday travel plans. And people are scarred from the experience. According to Reuters, travel insurance policies are expected to jump in 2023 as jetsetters take measures to protect themselves from the airlines’ mistakes.
Per flight tracking website FlightAware, flight cancellations jumped 73% in 2022 from a year earlier. And, as year-end cancellations and luggage woes rocked airports across the country, the sale of travel insurance policies jumped 16% in the two-week period between December 26, 2022, and January 8, 2023, according to policy comparison site Squaremouth. In 2022, travel insurance policies were up 81% from the year before.
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Believe it or not, Spirit isn’t the least trustworthy“We expect demand for travel insurance could increase by another 30% this year,” Steven Benna, Squaremouth’s marketing manager, told Reuters.
The increase in demand for travel insurance could make policies more expensive, especially after recovering from losses following a large number of claims from last year. But according to Insuremytrips’ senior vice president Suzanne Morrow, some insurance companies might adjust their policies or benefits instead of raising prices. “For example, if a plan has a travel delay benefit that kicks in after three hours, they may increase the delay requirement to six hours,” she told Reuters.
If you do decide to buy travel insurance this year, be sure to read the fine print so you know exactly what you’re getting.
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