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How much is travel insurance?

Finder’s unique data tells us that the average travel insurance cost is $235.

The average cost of travel insurance for Australians in September 2023 is $235.37. But keep in mind, this is going to be different for everyone since the price is based on so many factors like your destination, length of your trip, your age and if you have any pre-existing medical conditions.

Finder has helped thousands of Aussies get peace of mind on their next trip.

Average cost of travel insurance= $235.37
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quick stat

How has the average price of travel insurance changed over time?

The average price of travel insurance has fluctuated drastically over time. According to our unique research, we can see the cost of travel insurance shift from June 2016. It starts high, but drops significantly and steadies throughout 2016 to 2019.

We then start to see the effects of the pandemic come through with travel insurance sales ceasing across the board. International borders had closed and leisure travel for most Australians was off the cards for more than a year.

When international borders opened and we started feeling more comfortable to travel, you can see that the average travel insurance premiums from January to September 2023 has been above $230 consistently.
Graphic showing an 87% increase in cost of travel insurance

Why is it more expensive now?

Since travel has resumed, policies are noticeably more expensive and the reason is simply because there's more financial risk when travelling now. This includes things like:

  • Increased number of airline cancellations/delays which has resulted in travellers missing events and losing prepaid accommodation
  • Increased incidents of airlines losing/delaying luggage, forcing travellers to re-buy essentials and claim the expense on travel insurance
  • Travellers getting diagnosed with COVID-19 before or during their travels which forces them to isolate and miss out on prepaid expenses

COVID continues to be one of the main reasons our customers claim, and it looks like it's going to affect travellers for some time to come. Taking a look at the data for our International Comprehensive policy, it's clear claims spiked as travellers really started to take off around the world again. And, while there's been a dramatic slump since September 22, COVID still makes up 11% of all claims paid to customers across the 2 markets. On average we are paying out claims for cancellation and travel disruption due to COVID to the value of $1,500, which is a sizeable cost.

Then versus now

We have historical data from 3 popular travel insurers in Australia, for a 2-week trip to Bali for a 30-year-old with a $200 excess back in April 2019. Using the same trip details, we've compared the price of travel insurance from then to October 2023.

This is 2019

CostPolicy typeFinder rating
Budget Direct Travel Insurance$84.10Comprehensive9.3
Fast Cover$58.90Comprehensive9.1
Zoom Travel Insurance$58.65Comprehensive9

This is 2023

CostPolicy typeFinder rating
Budget Direct Travel Insurance$142.04Comprehensiven/a
Fast Cover$135.99Comprehensive7.3
Zoom Travel Insurance$92.71Comprehensive4.5

*Please note that the methodology for the Finder rating has changed between then and now. The quotes shown on the 2023 table were last updated in October 2023.
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What impacts the cost of travel insurance premiums?

Travel insurers determine the cost of your premium based on your individual level of risk. Are you elderly? Or maybe someone who craves adventure? Perhaps even both. These factors play out in the cost of your travel insurance policy, but remember, there are ways to save and get better value – you just have to compare travel insurance.

Here are some things that can impact your travel insurance cost:
Infographic of factors that impact the cost of travel insurance

Do you need travel insurance?

Well, of course we're going to say yes, but we're not the only ones. Smartraveller's signature line is "If you can't afford travel insurance, you can't afford to travel".

That being said, only a few countries have mandated travel insurance as an entry requirement to enter the country. But if you're travelling with a private tour company, travel insurance is usually compulsory to join the tour.

Travel insurance should be included on everyone's holiday list – no matter where you're going. 1 in 3 Australians, equivalent to 3.5 million people, suffered a travel mishap while abroad in the past 12 months.

How can I keep the cost of travel insurance down?

If you're trying to get more bang for your buck, there are a few things that you can do to get more value out of your travel insurance.

  1. Compare travel insurance. We've got a nifty tool that can help you compare different travel insurers side-by-side so you can understand what benefits you're getting and at what cost.
  2. Look for discount codes. Travel insurers frequently offer discounts between 5% and 15% off their policies. This can really make a difference if you're someone who's high risk or if you're travelling for a long time.
  3. Play with your excess amounts. Have a think about how likely you are to make a claim on your policy. If it's very unlikely, opt for a higher excess – usually between $200 and $300. This will often give you a cheaper policy.
  4. Get last-minute travel insurance. This is riskier. Some insurers will automatically cover you for pre-departure cancellation, which means they could be covering you for longer than you need and charging you for it. But remember, this option leaves you at risk of not being covered if you do need that pre-departure cancellation.

What is the cost of travel insurance for seniors?

As part of the 2023 Finder Awards, we collected data on almost 200 quotes for seniors. We had a look at a single 79-year-old travelling for 2 weeks in Australia (domestic) and a few other destinations like New Zealand, Bali, Europe and the US (international).

We found the average cost of a seniors domestic policy was $510 and an international policy was steeper at $786.
Graphic comparing average cost of travel insurance for a senior travelling domestic ($510) and international ($786)

Frequently asked questions

Why you can trust Finder's travel insurance experts

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We're free

Our travel insurance engine is completely free to use. You pay the same as buying directly from the insurer. Better still, we regularly run exclusive deals that you won't find on any other site.
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We've researched and reviewed almost every travel insurer on the market as part of our Finder Awards and our in-house experts regularly appear on Sunrise, 7News and various news publications.
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We're independent

Unlike other comparison sites, we're not owned by an insurer. That means our opinions are our own and we work with lots of travel insurance brands, making it easier for you to find a good deal.
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We're here to help

Since 2014, we've helped over one million people find travel insurance by explaining your options simply. We'll never ask for your number or email to see prices. We're here to help you make a decision.

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2 Responses

    Default Gravatar
    BeverleyDecember 6, 2016

    Iwantalnsurancefora43and47yearoldstotasmania

      AvatarFinder
      RichardDecember 7, 2016Finder

      Hi Beverley,

      Thanks for getting in touch. To receive quote from the brands in our panel, please head over to our domestic travel insurance page.

      All the best,
      Richard

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