This trend is reflected in the surge of insurance purchases.
In 2026, the adoption of travel insurance among Indian travellers increased by 22% year-on-year, as reported by Policybazaar. This highlights a growing awareness of travel-related risks and the necessity for financial safeguards during overseas trips.
Despite the rising uncertainties in travel, many travellers are not cancelling their trips. Instead, they are choosing to invest in more robust insurance policies that provide coverage against trip delays, cancellations, medical emergencies, and other unpredictable events.
According to data from travel protection provider Asego, the ratio of trip cancellations decreased to 6.8% this year, down from 8.3% the previous year, indicating that travellers are proceeding with their planned trips despite disruptions.
“Travellers are increasingly aware of the risks involved in international travel and are opting for enhanced protection against unexpected occurrences,” stated Dev Karvat, founder and CEO of Asego.
This shift is also observable in policy selections, with many choosing plans that offer benefits such as emergency medical assistance, evacuation support, trip cancellation coverage, and compensation for travel delays, as noted by industry experts.
Parikshit Kohli, Sales Director, Travel at Allianz Partners India, a Business-to-Business-to-Consumer (B2B2C) firm, mentioned that medical emergencies, flight cancellations, baggage delays, and the loss of travel documents remain the most common causes of unexpected costs during international trips.
“International medical care can be exorbitantly priced. Additionally, flight disruptions and baggage delays often result in unexpected out-of-pocket expenses,” Kohli explained.
Experts in the industry suggest that travellers are also being more strategic about when they purchase travel insurance. Policies acquired shortly after booking flights or holiday packages may offer pre-departure benefits, such as coverage for cancellations due to specified unforeseen circumstances.
Premiums typically depend on various factors, including destination, trip duration, traveller age, coverage limits, and any additional benefits selected.
This trend emerges as international travel remains robust, despite occasional disruptions in global aviation networks. Rather than reducing their travel plans, consumers seem to be prioritizing financial protection and assistance services to navigate unexpected challenges while abroad.
