Aug 16, 2021

Allianz Customers Bullish On Travel, Two-Thirds Are Planning Trips

Allianz Partners Customers Gain Confidence to Travel, With More than Half Expecting To Resume Pre-COVID-19 Cruise Levels by End of 2021

Richmond, VA, August 16 2021 — A new survey of Allianz Partners customers found they are growing more bullish on future travel plans. The travel insurance and assistance provider found that two-thirds of its customers plan to take a trip between now and November, and that a majority feel confident in resuming pre-COVID activity levels for travel, including a return to cruising by the end of 2021. The number of customers planning trips in 2021 tripled in July, compared to those in February who were planning trips for later this year.

According to Allianz Partners USA’s survey*, 66% of customers anticipate traveling in the next three months (by the end of October). Comparatively, when asked the same question in a similar survey in February 2021, 22% of customers felt they would travel within that same timeframe. Additionally, uncertainty over future travel has dropped by more than half, with just 7% of customers responding in the July survey they were not sure when they would next travel, versus 21% in February. 

When asked how long it would take to feel confident enough to resume travel at ‘pre-COVID-19 activity levels,’ a majority of respondents cited they were ‘confident now’ about staying in a hotel (84%), flying on an airplane (79%), staying in a rental property (78%) and traveling on a train (70%). Four in 10 (39%) customers said they were confident now about taking a cruise, with a higher citation among customers from the travel advisor retail channel customers, where 47% responded they were confident about taking a cruise now. More than half (53%) of respondents would feel comfortable to resume their ‘normal’ cruise activity levels by the end of 2021.

The survey revealed that customers plan to fly (67%, down from 71%) or drive (19%, down from 20%) to reach their destination, and cruising received a boost with 11% who plan to travel by cruise ship, compared to 7% in February. When asked about the effect COVID-19 has had on customers’ comfort level to take a cruise, almost a quarter (24%) indicated it has not impacted their comfort level, and of those who said they were less comfortable, 72% still plan to cruise again.

Allianz’s survey also revealed that domestic travel is the trip choice du jour for customers’ next trips, with more than half (55%) planning to stay within the continental United States. Mexico, the Caribbean and Hawaii continue as the second most popular options (24%, up from 21% in February), and 15% of customers indicated they would travel to Europe (up from 14% in February). 

The purpose for taking a trip has also shifted slightly: the survey found that 72% of respondents, up from 65% in February, said the purpose of taking a trip was to ‘take a vacation,’ with all “trips” defined in the survey as a stay, for at least two nights, at a destination more than 100 miles from home. The next most common response, to ‘visit friends or family,’ dropped to less than a quarter (24%) in July from 28% in February.

 “Americans are regaining ground on travel confidence, and our latest survey revealed that two-thirds of our customers plan to take a trip by November,” said Daniel Durazo, Director of Marketing and Communications at Allianz Partners USA. “Confidence and certainty around travel is returning, and we’re seeing customers rebound to pre-pandemic interest levels, which has the potential to fuel travel enthusiasm into 2022.”

Although Allianz travel insurance products** generally do not cover known, foreseeable, or expected events, epidemics, government prohibitions, warnings or travel advisories, or fear of travel, earlier this year Allianz Partners USA announced the rollout of its new Epidemic Coverage Endorsement, which adds enhancements for new purchasers of some of its travel insurance products that 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. This new coverage formalizes and adds to some of the temporary accommodations the company put into place in March 2020 to assist travelers who had been impacted by the COVID-19 crisis.

Allianz offers travel insurance through several major U.S. airlines, leading travel agents, online travel agencies, other travel suppliers and directly to consumers. For more information, please visit http://www.allianztravelinsurance.com.

 

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*Methodology: This press release examines results from an Allianz Partners survey of a random sample of 1,362 customers who purchased a policy through a travel advisor or other retail distribution partner between 10/1/20 – 4/30/21. The survey ran from 7/1/2021-7/25/2021, and asked several questions about when and how respondents will travel next. For consistency purposes, customers were provided with the following definition of travel: a trip to a destination that is more than 100 miles from your home and lasts for at least 2 nights. In addition, Allianz Travel analyzed the destinations selected during travel insurance quotes provided to its online customers during the second quarter of 2020.

About Allianz Partners
Allianz Partners (AGA Service Company) is a leading consumer specialty insurance and assistance company with operation centers in 35 countries. In the United States, the company offers Allianz Travel-branded travel protection plans and serves over 45 million customers annually. In addition to travel insurance, the company offers tuition insurance, event ticket protection, registration protection for endurance events and unique travel assistance services such as international medical assistance and concierge services. The company also serves as an outsource provider for in-bound call center services and claims administration for property and casualty insurers and credit card companies.

**Terms, conditions, and exclusions apply to all plans. Plans are available only to U.S. residents. Not all plans are available in all jurisdictions. 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. 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.

***Restrictions apply.  These accommodations are strictly applicable to COVID-19 and are only available for customers whose plan includes the applicable benefit.  All other terms, conditions, and exclusions of the plan apply as normal.  Please note, the described accommodations are an explicit and limited expression of donative intent only, which is for only the limited purposes expressly specified at the link below and for no other further purpose, express or implied.  Further, it is expressly not a guarantee of coverage or admission of legal or equitable liability.  Nothing contained or described at the link below, nor any payment made pursuant to the position described at the link below, is or should be construed to be a waiver of any term, condition, or exclusion of any plan, or any applicable rights, remedies, or defenses under any plan or at law or equity.  We and our applicable underwriters and reinsurers reserve all rights, remedies, and defenses under the plan and under applicable law and at equity.  For complete details, please visit: https://www.allianztravelinsurance.com/coverage-alerts/2019-novel-coronavirus.htm.

 

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