Berkshire Hathaway Travel Protection (BHTP) has revealed in its annual “State of Travel Insurance (SOTI) Report” that Gen Z is emerging as a key growth area for both travel suppliers and travel insurance providers in 2025 and beyond. The cohort, which has significantly increased both the number of trips taken and the amount spent on travel, is poised to become the fastest-growing consumer segment in travel intent, travel spending and travel insurance purchases.
According to the study, Gen Z travelers reported that they traveled more in 2024 compared to previous years and intend to travel even more in 2025—with the exception of taking road trips, which saw a slight decline. Even more notable, the survey indicated that as Gen Z’s travel increases, they are also purchasing more travel insurance to protect their travel investments and plan to further increase these policy purchases in 2025.
Key findings from the 2025 SOTI report include:
- Intent to purchase travel insurance among Gen Z rose by 24 percent from 2023 to 2024
- Gen Z was the only consumer segment surveyed that reported an increase in travel spend year-over-year, spending an average of more than $11,000 per trip in 2024
- Gen Z is increasingly looking to destinations in South Asia as some of the preferred places to visit
- 55 percent of Gen Z use social media as a key factor in planning their travel
- Travel for concerts and sporting events is on the rise, with Gen Z being especially active in attending these events; often these are costly trips, and travel insurance is particularly important in protecting these investments
BHTP’s State of Travel Insurance research has been conducted each fall since 2016 by Polymath Research + Marketing, using independent national panels surveying thousands of consumers on future expectations in travel insurance and travel habits. To determine this recent data, Polymath Research + Marketing analyzed a combination of State of Travel Insurance 2025 surveys from 1,838 travelers of all different earning levels and age groups.
For more information, visit www.bhtp.com.
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