American’s confidence in Summer travel holds steady at record level


Allianz Partners’ 14th Annual Vacation Confidence Index Reports Six in Ten Plan to Take a Summer Vacation This Year Even as Inflation Rages

 

Richmond, Virginia, June 28, 2022 Americans have enjoyed a lengthy love affair with travel, and this year, most aren’t letting anything interfere with their long-awaited getaway plans. Allianz Partners USA’s 14th Annual Vacation Confidence Index* indicates that vacation confidence remains at an all-time high, with 60% of Americans intending to book a summer trip in 2022.

“Our survey affirms that summer vacation is a quintessential part of the American lifestyle,” said Daniel Durazo, director of external communications at Allianz Partners USA. “Confidence remains high as travelers rediscover the value and joy of travel this summer, primed as the season of adventure to make sun-kissed memories that last.”

Historically, summer vacation confidence hovered around 43% during the previous decade (2010 – 2019) before falling to a record low of 26% during the COVID-19 pandemic (2020). In 2021, revenge travel plans fueled the dramatic spike to 60%, and continued pent-up desire and restored access to destinations have kept the measurement at that same level this year. The survey also revealed that 76% of the Americans who believe vacation is important typically travel during the summer.

In a separate survey** conducted by Allianz Partners, the travel and assistance company found that the perceived importance of a summer vacation differs widely by country of residence. Spain (89%), Italy (88%) and the United Kingdom (84%) lead the way for placing the greatest value on summer travel, and United States travelers rank fourth (83%). 

Link to download infographic: HERE

Vacation confidence begins to wane with maturity and the added responsibilities associated with cultivating both careers and families. As a result, those expressing the highest levels of confidence in summer 2022 travel are younger. In the 18 – 34 age bracket, 69% report they plan to vacation, followed by 64% of those ages 35 – 54 and just half of Americans ages 55 or older.

Not surprisingly, income also plays a role in confidence with 73% of those earning $100K or more expected to enjoy a summer vacation this year, compared to 60% of Americans who earn between $50K and $100K, followed by just under half (45%) of those making less than $50K annually. The gender gap shifted only slightly in 2022 with 65% of men versus 56% of women who believe a summer vacation is do-able.

 

Link to download infographic: HERE 

Key factors affecting 2022 travel plans

A host of factors continue to impact travel this year from inflation-fueled price hikes to possible lingering COVID concerns. Americans not planning a summer vacation have shifted their reasoning in 2022. The majority of them (57%) now cite not wanting to spend money as the primary rationale, jumping 19 points versus last year and likely influenced by recent inflationary pressures.

Among Americans who lack confidence in any summer travel plans, 68% indicated they have scaled back due to inflation. Among those scaling back but still traveling anyway, average spending dips to just $2,099 compared to $3,164 for those who are not adjusting due to inflation (33% less).

Avoiding taking time off from work (11%), personal obligations outside of work (7%) and the time and stress of vacation planning (10%) are among the other justifications offered by Americans not confident about traveling this year. Finally, “other” reasons (likely including COVID-19) contributing to lack of confidence in taking a vacation dropped 12 points from 2021 (32% versus 44%), at least partly crediting the impact of worldwide vaccinations and established preventive measures within the travel space. Older Americans are most-likely to select an “other” reason not to embark on a summer travel outing, which may point to concerns around more vulnerable health issues.

Link to download infographic:  HERE 

The Vacation Confidence Index has been conducted each summer since 2009 by national polling firm Ipsos Public Affairs on behalf of Allianz Partners USA. A vacation is defined as leisure travel of at least a week to a destination at least 100 miles from home.

In March 2021, Allianz Partners announced enhancements*** to many of its travel insurance products in most states through an Epidemic Coverage Endorsement. Products that include this endorsement may provide coverage to customers who become ill with COVID-19 or a future epidemic, are individually ordered to quarantine, or are denied boarding due to a suspected illness. These products also may cover emergency medical care and transportation or provide reimbursement for change fees and loyalty points deposit fees if the customer becomes ill with an epidemic disease. Availability of the Epidemic Coverage Endorsement, and specific covered reasons under that endorsement, varies by product and by state. See your plan for details.

Allianz Partners offers travel insurance through most major U.S. airlines, leading travel agents, online travel agencies, hotel companies, cruise lines and directly to consumers. For more information on Allianz and available travel policies, please visit http://allianztravelinsurance.com/.

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*Methodology: These are the findings of an Ipsos poll conducted on behalf of Allianz Partners USA. For this survey, a sample of 2,011 Americans aged 18+ was interviewed from May 2 to 4, 2022, via the Ipsos Online Omnibus. The precision of Ipsos online polls is measured using a credibility interval. In this case, the results are accurate to within +/- 2.5 percentage points, 19 times out of 20, of what the results would have been had all American adults been polled. Quota sampling and weighting were employed in order to balance demographics and ensure that the sample’s composition reflects that of the actual U.S. population, according to data from the U.S. Census Bureau. Credibility intervals are wider among subsets of the population.

**Methodology: The 2nd International Travel Confidence Index carried out on behalf of Allianz Partners, is intended to understand and assess the perception of summer holidays throughout various European countries and the United States of America. The study was carried out on a sample of 9,107 persons, in France (1,019 persons), in Germany (1,020 persons), in the United-Kingdom (1,012 persons), in Italy (1,025 persons), in Spain (1,015 persons), in the Netherlands (1,003 persons), in Austria (1,003 persons), in Switzerland (1,005 persons) and in the United States of America (1,005 persons) from May 3 to 11, 2022. The samples were drawn up according to the quota method, with regard to the criteria of sex, age, socio-professional category, region of residence and size of agglomeration in France; sex, age, region and income in other countries. The interviews were performed using a self-administered online questionnaire via the CAWI (Computer Assisted Web Interview) system.

 

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About Allianz Partners
In the United States, Allianz Partners USA (AGA Service Company) offers Allianz Travel-branded travel protection plans and serves millions of customers each year. In addition to travel protection, the company offers event ticket protection, registration protection for endurance events and unique travel assistance services such as international medical assistance and concierge services. AGA Service Company is doing business as Allianz Global Assistance Insurance Agency in California (License # 0B01400) and Massachusetts. Allianz Partners USA is part of the Allianz Partners group. Allianz Partners is a world leader in B2B2C insurance and assistance, offering global solutions that span international health and life, travel insurance, mobility and assistance. Customer driven, our innovative experts are redefining insurance services by delivering future-ready, high-tech, high-touch products and solutions that go beyond traditional insurance. Present in over 75 countries, our 19,400 employees speak 70 languages, handle over 58 million cases each year, and are motivated to go the extra mile to offer peace of mind to our customers around the world. 

*** While the new Epidemic Coverage Endorsement adds certain covered reasons that apply to specific epidemic-related situations, products otherwise generally do not cover claims due to known, foreseeable, or expected events, epidemics, government prohibitions, warnings, or travel advisories, or fear of travel, and coverage can vary by state. Please see our Coverage Alert for information about other temporary accommodations that may be available.  Benefits for quarantines only apply when an eligible traveler is specifically named and individually ordered to quarantine by order or official directive of a government, public regulatory authority, or the captain of a commercial vessel on which that eligible traveler is booked to travel during the covered trip, based on that eligible traveler’s exposure to COVID-19. The benefit does not cover travel restrictions (whether or not they are referred to as “quarantine”) that apply generally or broadly (a) to some segment or all of a population, geographical area, building, or vessel (including without limitation shelter-in-place, stay-at-home, safer-at-home, or other similar restriction), or (b) based on to, from, or through where the person is traveling. Coverage may not cover the full cost of your quarantine and is subject to applicable benefit limits. See your plan for details.

For Allianz Partners USA products offered and sold in the U.S.: Terms, conditions, and exclusions apply to all plans. Plans are available only to U.S. residents. Not all plans are available in all jurisdictions. Availability of Epidemic Coverage Endorsement, including specific benefits and covered reasons described here, varies by product and by state. Products may not include all benefits or covered reasons described here. All benefits are subject to maximum limits of liability, which may in some cases be subject to sublimits and daily maximums. Benefits and limits vary by plan. For a complete description of the coverage and benefit limits offered under your specific plan, carefully review your plan’s Letter of Confirmation/Declarations and Certificate of Insurance/Policy. Insurance coverage is underwritten by BCS Insurance Company (OH, Administrative Office: Oakbrook Terrace, IL), rated "A" (Excellent) by A.M. Best Co., under BCS Form No. 52.201 series or 52.401 series, or Jefferson Insurance Company (NY, Administrative Office: Richmond, VA), rated "A+" (Superior) by A.M. Best Co., under Jefferson Form No. 101‐C series or 101‐P series, depending on state of residence. A+ (Superior) and A (Excellent) are the 2nd and 3rd highest, respectively, of A.M. Best’s 13 Financial Strength Ratings. Except as otherwise specified, AGA Service Company d/b/a Allianz Global Assistance is the licensed producer and administrator of Allianz Travel-branded travel protection plans in the U.S. and an affiliate of Jefferson Insurance Company. Allianz Global Assistance, TravelSmart, and AgentSmart are marks of AGA Service Company or its affiliates. The insured shall not receive any special benefit or advantage due to the affiliation between Allianz Global Assistance and Jefferson Insurance Company. Plans include insurance and assistance services. Noninsurance benefits/products are provided and serviced by Allianz Global Assistance. SmartBenefits proactive payments and “no receipts” payments available only on certain plans. For plans that include proactive payments: when you opt in and provide flight information, Allianz Global Assistance will monitor flights and send flight status and benefit alerts, including alerts about flight delays that qualify for automated travel delay payments. Standard message/data rates apply to SMS alerts. Automated claims and payment system availability is not guaranteed and is subject to our sole discretion. All claims subject to policy terms, conditions, and exclusions.