Those were the surprising results of a new survey carried out by iSelect, the Aussie comparison service.
The survey also found more than half only take out insurance for overseas trips, leaving domestic travel completely unprotected, despite rising risks like extreme weather, cancellations and global disruptions.
“We understand that living costs have climbed and Aussies are hunting for last-minute travel deals for greater value but skipping on travel insurance opens people up to the potential of considerably more pain – both financially and emotionally,” said Hannah Norton, iSelect spokesperson.
“Travel insurance is there to protect you when things don’t go to plan, but it’s crucial to understand what you’re covered for because there can be a big difference between policies and providers.”
The research found that eight in 10 of those surveyed didn’t fully understanding what is covered and one in five admitted they have no idea what travel insurance protects them for.
As household budgets tighten, with 56% of Australians recently dipping into their savings just to cover everyday expenses, it’s clear that many view travel insurance as ‘nice to have’ rather than essential.
“Travelling with only a partial safety net leaves people exposed to cancellations, delays, lost luggage, or medical emergencies and for those who don’t know their coverage, it could mean facing unexpected costs and stress with a false sense of security,” added Ms Norton.
