A new survey commissioned by the Insurance Council of Australia (ICA) and the Department of Foreign Affairs and Trade’s (DFAT) Smartraveller program has found that a notable proportion of Australians are travelling internationally without insurance coverage.
The research, conducted by Quantum Market Research, surveyed 1,001 Australian travellers and revealed that 14% did not have insurance on their most recent overseas trip. Among travellers under 30, the rate was higher at 23%.
The survey explored the reasons behind the decision to travel uninsured. Of those who went without coverage, 65% said they considered buying insurance but ultimately chose not to.
The most common reason, cited by 31% of these respondents, was the belief that their destination was safe enough to forgo coverage.
Risk-taking behaviour was also evident in the findings. Nearly half of respondents (45%) indicated a willingness to take risks for the sake of memorable experiences, such as sampling unfamiliar foods (49%) or visiting challenging environments (33%).
Additionally, 36% said they had observed positive portrayals of risky destinations in media or on social platforms.
The survey also examined attitudes toward medical tourism. Nearly half (46%) of respondents had either travelled or would consider travelling abroad for medical procedures, with dental care being the most frequently cited reason (30%).
The primary motivation for seeking medical treatment overseas was lower cost, mentioned by 69% of those open to medical tourism.
Alcohol consumption while travelling was common, with 70% of participants reporting they drank alcohol overseas.
However, only 43% understood that travel insurance policies can differ significantly in their treatment of alcohol-related incidents.
Notably, 39% of all surveyed travellers said they drank alcohol while either uninsured, outside their policy limits, or were unsure about their coverage.
The current international political climate has influenced travel behaviour. The survey found that 56% of respondents had decided to avoid certain countries due to political instability, while 53% felt less comfortable about travelling overseas.
Additionally, 41% said global events had made them less likely to travel abroad at all.
Andrew Hall, CEO of the ICA, addressed the survey results by noting that travel – whether within Australia or abroad – is a significant part of many people’s lives. He emphasised that unforeseen events could occur even in places considered safe.
“Understanding your policy and assessing what kinds of activities you plan on undertaking while you’re travelling is the best way to make sure you’re protected,” he said.
Hall also advised travellers to review their policy exclusions and consider whether additional coverage is needed for planned activities.
“Check Product Disclosure Statements and speak directly to insurers with any questions,” he said.
Legal practitioner Peter Carter of Carter Capner Law urged travellers to examine their insurance policies carefully before departure.
He pointed out that these exclusions are sometimes embedded in policy documents and may not be obvious to policyholders.
“To receive the compensation needed to cover serious injury and the ongoing expenses, you may have to seek legal compensation upon your return, and you will have better prospects if this involves an Australian company,” Carter said, as reported by 9News.
