New research from Berkshire Hathaway Travel Protection (BHTP) shows that demand for travel insurance is on the rise, driven especially by younger, more diverse consumers.
BHTP reported a 12% increase in purchased policies over 2025, a trend that has continued into 2026, with first-quarter purchases already up 7%. Interestingly, it’s Gen Z and millennial travelers who are tipping the scales, representing a shift in the typical travel insurance customer.
Our Analysis: Travelers Are Reacting to Growing Global Unpredictability
More travel insurance purchases, particularly among younger generations, likely reflects a growing nervousness amid ongoing world conflicts and increasingly unpredictable events both abroad and at home. Recent research has consistently shown that Americans are reluctant to give up travel — making spending sacrifices elsewhere as prices rise, or opting for domestic trips to avoid international complications — but BHTP’s study indicates that travelers of all ages are becoming more risk-aware, and perhaps more cautious overall. The travel industry will need to keep an eye on how these consumer sentiments could impact business in the months to come, if we see any more increasing instability.
What They Are Saying: Insurance Is Increasingly Viewed as a Travel Essential
“Travelers are not pulling back — they’re becoming more intentional about how they plan and protect their trips,” said Carol Mueller, head of marketing at Berkshire Hathaway Travel Protection. “As awareness of all types of potential disruptions grow, travel insurance is increasingly viewed as an essential part of the travel experience, particularly among younger and more frequent travelers.”
