Demand for travel insurance among Singaporeans surging

Despite increase in fears, demand for this insurance is on the way up

Demand for travel insurance among Singaporeans surging

Insurance News

By Gabriel Olano

Despite a string of terror attacks all over the world in the past year, Singaporeans’ affinity for overseas travel remains unaffected with insurance companies reporting that demand for their travel insurance products has greatly increased.

According to AIG Singapore, it has seen a double-digit increase in purchases of its travel insurance product Travel Guard since 2015. The insurer sold around 800,000 Travel Guard policies in 2016, and it predicts that demand will grow by close to 10% for 2017.

Aon Risk Solutions, a global consultancy firm, has estimated that Singapore’s global terrorism insurance premiums are at around US$100 million.

Want the latest insurance industry news first? Sign up for our completely free newsletter service now

“This growth in demand is due to a number of factors, including higher mobility among Singaporeans who are travelling overseas more frequently, as well as greater awareness among consumers,” Ignatius Chng, head of group personal insurance at AIG Singapore, told Today. Travel risks are top-of-mind for many travellers, resulting in more of them insuring themselves against unforeseen circumstances.”

AIG Singapore revealed that travel insurance claims related to social and political disturbances have more than doubled since 2014. The most common travel disruptions were political instability, increased border security, and terrorist attacks.

Related stories:
Insurance dominates top financial Google search topics in Singapore
Top reinsurer to establish region HQ in ASEAN hub
Insurer reveals emerging risks in sector

Keep up with the latest news and events

Join our mailing list, it’s free!