India Travel Insurance Market by Age (Millennials, Generation X, and Baby Boomers), by Income Level (Low-income travelers, Middle-income travelers, and High-Income Travelers), by Coverage (Medical Coverage, Trip Cancellation Coverage, Baggage and Personal Belongings Coverage, and Others), by Days of Coverage (Short-Trip Insurance, and Others), and by Distributional Channel (Insurance Companies, and Others) – Opportunity Analysis and Industry Forecast, 2024–2030
Industry: BFSI | Publish Date: 19-Jul-2025 | No of Pages: 157 | No. of Tables: 120 | No. of Figures: 65 | Format: PDF | Report Code : BF1985
Market Overview
The India Travel Insurance Market size was valued at USD 364.8 million in 2023 and is predicted to reach USD 1005.9 million by 2030, with a CAGR of 14.0% from 2024 to 2030. Travel insurance serves as a specialized insurance product aimed at providing protection and coverage to travelers against a wide array of potential risks and unforeseen circumstances that may occur before or during their journeys. It plays a vital role in mitigating the financial impact of various travel-related emergencies, disruptions, and inconveniences, thereby ensuring that travelers can embark on their trips with confidence. One of its key advantages is its ability to offer financial reimbursement and assistance in the event of trip cancellations or interruptions. This coverage extends to unforeseen circumstances such as illness, injury, or emergencies, allowing travelers to recover non-refundable expenses incurred for flights, accommodations, and other pre-paid arrangements.
Digital and Embedded Platforms Simplify Access and Expand Reach
India’s growing digital infrastructure has made travel insurance more accessible than ever. Online platforms and mobile apps allow users to compare, customize, and purchase policies instantly, removing the need for paperwork or physical visits. Travelers can now buy insurance directly through airline or travel booking sites, thanks to embedded models that offer coverage as part of the checkout process. This seamless integration has made insurance more visible and easier to adopt, especially among younger and first-time buyer.
Insurers are also streamlining claims through digital tools and offering user-friendly apps for faster service. These innovations are helping reach travelers in smaller towns, where insurance was once less available. The ease, speed, and convenience of digital platforms are driving broader adoption, pushing insurers to stay competitive by improving online experiences and offering more tailored coverage options.
Personalized Coverage and Risk Awareness Boost Demand
Travelers today are more aware of the risks they face—be it trip cancellations, medical emergencies, or lost belongings. As a result, there’s growing demand for insurance that fits specific needs. Insurers are offering more flexible plans with optional add-ons for things like adventure activities, student travel, senior citizen needs, or international study interruptions. This shift from generic policies to personalized coverage reflects changing traveler expectations.
At the same time, insurers are using technology to better understand customer behavior and offer relevant products. Real-time customization, simple pricing, and targeted features are making policies more practical and attractive. As awareness grows and policies become easier to personalize, more travelers are viewing insurance as a necessary part of trip planning—driving consistent growth in the market.
Limited Trust in Claim Settlement Processes Hinders Consumer Confidence in India
A significant challenge facing the travel insurance market in India is the widespread skepticism around claim approvals and settlement timelines. Many travelers are hesitant to purchase insurance due to concerns over hidden exclusions, complicated documentation requirements, and delays in claim disbursal. This lack of trust is particularly evident among first-time buyers and travelers who have never filed a claim, leading to the perception that insurers may not provide adequate support when needed. These doubts often discourage travelers from considering insurance a reliable safeguard.
Although several insurers have begun digitizing their claims process and offering faster turnaround times, this progress remains uneven across the industry. For many consumers, a single negative review or unresolved complaint can undermine overall confidence. To address this, insurers must focus on simplifying claims procedures, offering transparent communication, and building a consistent record of prompt settlements. Strengthening customer service and leveraging technology for real-time claim tracking can also play a vital role in rebuilding trust and improving overall market participation.
Integration of AI-powered Personalization Unlocks Future Growth for India’s Travel Insurance Market
The growing adoption of artificial intelligence (AI) presents a major opportunity for advancing India’s travel insurance sector. By leveraging AI-driven tools, insurers can deliver personalized policy recommendations, dynamic pricing models, and real-time risk assessment tailored to individual travel behavior and preferences. This level of personalization not only improves customer engagement but also enhances policy relevance, making insurance more appealing to a broader range of travelers—from frequent fliers to first-time tourists.
AI can also streamline customer support through chatbots, automate claims evaluation, and flag fraudulent activities early, improving operational efficiency and user experience. With more travelers expecting intuitive, tech-enabled services, AI integration positions insurers to respond quickly to changing demands and design innovative, flexible products. As consumer expectations shift toward digital-first experiences, AI-driven personalization is set to become a key differentiator and growth enabler in India’s evolving travel insurance landscape.
Competitive Landscape
Several market players operating in the India travel insurance market include Bajaj Allianz General Insurance Co. Ltd., Star Health and Allied Insurance Co Ltd., Zurich Kotak General Insurance Company Ltd., Acko Technology and Services Private Limited, Go Digit General Insurance Limited, Reliance General Insurance, The New India Assurance Co. Ltd., National Insurance Company Limited, Future Generali India Insurance Company Ltd., Cholamandalam MS General Insurance Company Ltd., Niva Bupa Health Insurance Company Limited, Care Health Insurance Ltd., HDFC ERGO General Insurance Company Limited., TATA AIG General Insurance Company Limited, ICICI Lombard General Insurance Company Ltd. (Bharti AXA), and Others.
India Travel Insurance Market Key Segments
By Age
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Millennials
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Generation X
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Baby Boomers
By Income Level
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Low-income Travelers
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Middle-income Travelers
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High-income Travelers
By Coverage
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Medical Coverage
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Trip Cancellation Coverage
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Baggage and Personal Belongings Coverage
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Accidental Death and Dismemberment (AD&D) Coverage
By Days of Coverage
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Short-Trip Insurance
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Standard Trip Insurance
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Extended Trip Insurance
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Multi-Trip Insurance
By Distributional Channel
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Insurance Companies
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Banks
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Airlines
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Online Platforms
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Insurance Aggregators and Comparison Websites
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Travel Agents and Tour Operators
By End User
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Pilgrim Travelers
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Education Travelers
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Business Travelers
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Family Travelers
Key Players
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Bajaj Allianz General Insurance Co. Ltd.
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Star Health and Allied Insurance Co Ltd.
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Zurich Kotak General Insurance Company Ltd.
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Acko Technology and Services Private Limited
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Go Digit General Insurance Limited
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Reliance General Insurance
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The New India Assurance Co. Ltd.
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National Insurance Company Limited
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Future Generali India Insurance Company Ltd.
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Cholamandalam MS General Insurance Company Ltd.
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Niva Bupa Health Insurance Company Limited
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Care Health Insurance Ltd.
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HDFC ERGO General Insurance Company Limited.
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TATA AIG General Insurance Company Limited
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ICICI Lombard General Insurance Company Ltd. (Bharti AXA)
REPORT SCOPE AND SEGMENTATION:
|
Parameters |
Details |
|
Market Size in 2023 |
USD 364.8 Million |
|
Revenue Forecast in 2030 |
USD 1005.9 Million |
|
Growth Rate |
CAGR of 14.0% from 2024 to 2030 |
|
Analysis Period |
2023–2030 |
|
Base Year Considered |
2023 |
|
Forecast Period |
2024–2030 |
|
Market Size Estimation |
Million (USD) |
|
Growth Factors |
|
|
Companies Profiled |
15 |
|
Market Share |
Available for 10 companies |
|
Customization Scope |
Free customization (equivalent up to 80 working hours of analysts) after purchase. Addition or alteration to country, regional, and segment scope. |
|
Pricing and Purchase Options |
Avail customized purchase options to meet your exact research needs. |
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