India travel insurance Market Expected to reach $66,198.92 Million by 2033 - Allied Market Research

According to a recent report published by Allied Market Research, titled, “India Travel Insurance Market by Component, Solution Type, Deployment Mode, Organization Size, Industry Vertical and Type: Global Opportunity Analysis and Industry Forecast, 2024–2033,” the India travel insurance market was valued for $153.86 million in 2023 and is estimated to reach $456.48 million by 2033, exhibiting a CAGR of 11.3%% from 2024 to 2033.

Travel Insurance is a type of insurance that covers different risks while traveling. It covers medical expenses, lost luggage, flight cancellations, and other losses that a traveller can incur while traveling. From the day of departure until the tourist returns to the destination, travel insurance is often purchased. Purchasing travel insurance guarantees full coverage in the case of an emergency travel. In accordance with the traveller’s needs, unique plans may cover additional risks. The traveller’s chosen policy and plan will determine the extent to which these risks are covered. Moreover, digital technologies such as IoT, data analytics, and other technologies are increasingly transforming the insurance industry. By implementing digital technologies, insurers can enhance customer experience and efficiency in customer acquisition, underwriting, claims processing, and policy administration. Overall, the India travel insurance market is driven by the need for intelligent and automated systems that can process and analyse vast amounts of data in real-time, enabling organizations to make informed decisions and take actions based on data-driven insights.  

Furthermore, major market players are undertaking various strategies to increase the competition and offer enhanced services to their customers. For instance, in January 2024, online travel booking platform EaseMyTrip.com launched its subsidiary EaseMyTrip Insurance Broker Pvt Ltd. The company termed it a "strategic move" to diversify its service portfolio and tap into the insurance market by creating a specialized product to solve customer needs.

On the basis of insurance cover, the single-trip travel insurance segment is the highest-growing segment. Single-trip travel insurance policies are often more affordable than annual or multi-trip policies, making them an effective option for occasional travellers. With the rise of online insurance platforms, purchasing single-trip travel insurance has become more convenient and accessible. These factors are expected to propel the growth of single-trip travel insurance segment growth in the India travel insurance market.

On the basis of the distribution channel, the insurance intermediaries segment is expected to grow at a significant growth rate during the forecast period. The proliferation of digital technology has helped insurance intermediaries to offer products directly to consumers through online platforms, mobile apps, and digital marketing channels. Customers may easily investigate, evaluate, and purchase travel insurance products from smartphones.

Key Findings of the Study

• By insurance cover, the single-trip travel insurance segment accounted for the India travel insurance market share in 2023.
• By distribution channel, the insurance intermediaries segment accounted for the India travel insurance market share in 2023.
• By end user, the family travellers segment accounted for the India travel insurance market share in 2023.
• By mode, the online segment generated the highest revenue in 2023.

The key players profiled in the India travel insurance market analysis are India travel insurance market such as ICICI Lombard General Insurance Company Limited, Bajaj Allianz General Insurance Company Limited, HDFC ERGO General Insurance Company Limited, TATA AIG GENERAL INSURANCE COMPANY LIMITED, Care Health Insurance Ltd., SBI General Insurance Company Limited, Go Digit General Insurance Limited, Universal Sompo General Insurance Company Limited, Niva Bupa Health Insurance Company Limited, and ManipalCigna Health Insurance Company Limited. These players have adopted various strategies to increase their market penetration and strengthen their position in the India travel insurance industry.