At a glance
- 76% of High Net Worth (HNW) travellers are now seeking unique, off-the-beaten-track experiences, with a subsequent exposure to risks
- By 2024, space travel and underwater resorts might become fashionable holiday choices for your HNW clients
- Zurich Private Clients’ enhanced Ultimate Travel and Ultimate Exclusive Travel products ensure that your clients can travel with confidence
With High Net Worth (HNW) clients searching for new and unusual holidays, a growing market has developed for high-end adventure travel. Research by bespoke Travel advisors, Zicasso, states 76% of luxury travel agents are now frequently asked to provide off-the-beaten-track experiences.
These adventure trips range from excursions to the polar regions, with clients seeking to take part in activities such as sailing the Northwest Passage from Alaska to Greenland, or visiting Antarctica’s emperor penguins, to exploring the natural wonders of the Galapagos Islands.
Morocco, Cambodia, Vietnam, Indonesia, Peru and South Africa have all been voted top destinations to visit in 2015, offering distinctive culture and adventurous excursions.
However, the more unique the trip, the greater potential risk it can present. Even with the best planning, unforeseen events such as natural disasters, terrorism or hijacking, have the potential to ruin a holiday.
Heightened terrorism risk
Latest reports show there were 10,000 terrorist attacks worldwide in 2013, and fatalities from terrorism have increased fivefold in the last 15 years. This rise has been particularly steep in recent years, with fatalities increasing by 61% between 2012 and 2013 alone. Figures for 2014 are yet to be published, but the Institute for Economics and Peace expects this trend to continue.
However, it is not just adventurous clients that need to be aware of this trend. A number of holiday destinations popular with UK travellers present some of the greatest risks, including Egypt, Morocco, Mexico, Tunisia, Malaysia and Kenya. In addition to these destinations, as of 30 June 2015, the Foreign Office ranked Turkey, Spain and France as the highest risk destinations for travellers.
Following the Sousse shootings in Tunisia and a series of incidents in France over the last 12 months, it is clear that these popular destinations present real risks. As a result, travellers may not be used to checking the Foreign Office website for up-to-date information before they travel. A recent BBC Panorama programme highlighted that Tunisia’s risk rating was heightened after the Bardo Museum attack in March 2015, however many travellers failed to proactively seek security information from the Foreign Office prior to booking and travelling and were unaware of the potential dangers in this volatile country.
To maximise the safety and security of your clients in these destinations, it is recommended they seek up-to-date advice about travel risks. Red24, the leading crisis management company, provides global risk management for travellers and for those brokers with access to our Ultimate Exclusive proposition, our bespoke web portal and app (which is launching 1 October 2015) provides travel safety alerts and daily news updates to ensure your Ultimate Exclusive clients are informed of potential risks whilst on holiday.
How have we helped?
Whilst on holiday in the USA, a client’s UK home suffered major internal water damage. As a result, the client wished to curtail the holiday and return back home as soon as possible. We understood the client’s requirements and confirmed that full cover would be provided under the terms of their Zurich Private Clients travel policy.
We organised arrangements immediately to fly the client and his family back to the UK as quickly as possible. Once the client was back in the UK, we recognised that the policyholder’s attention was wholly focused on the damage to his home. Therefore, we pro-actively approached the travel agent involved in order to fully quantify the cost of the unused holiday, accommodation and planned excursions, all of which were fully covered under the terms of his Zurich Private Clients travel policy.
Once we obtained all of the necessary information, we could clearly explain to the client the details of all the costs incurred. This transparent process facilitated the agreement of a full settlement quickly. As we also insured the client’s home in the UK, we were happy to apply only one excess across both the travel and home claims, providing a streamlined, seamless experience for the client.
Future travel trends
HNW travellers are likely to become even more adventurous in the years ahead. Destinations will continue to become more unique, with space travel and underwater resorts identified as possible options for HNW travellers in future years.
In addition to new travel destinations, the hotel experience is also expected to transform. Social media profiles could play a large role in the future, enabling hotel guests to book a room tailored to their taste, providing the unique experience they desire and expect.
The travel industry is changing rapidly. Advances in technology will contribute to a travel experience that is more intuitive and personalised. As intrepid travellers continue to seek adventure, they will need protection from an insurer that understands the range of risks they face.
Adapting to customer needs
To ensure your clients remain fully protected when travelling, Zurich Private Clients is launching its enhanced Ultimate Travel and Ultimate Exclusive Travel products to provide the protection your clients require and expect, whatever their travel habits might be:
- No medical pre-screening required for existing medical conditions – Travel cover is not provided for clients aged over 80 years old
- Emergency Medical Expenses Limit of £10million
- Access to the Red24 web portal and app for tailored travel advice for your Ultimate Exclusive clients
- An increase cancellation limit of £25,000 per person up to £100,000 per family (for Ultimate Exclusive clients only)
- A world class claims service; including Zurich World Travel Protection that provides the reassurance your clients need to unwind on their perfect getaway. According to Fred Reichheld, creator of the Net Promoter System (NPS), companies who receive a NPS score above +50 are deemed world class
The Ultimate Travel and Ultimate Exclusive Travel products are extensions to the core Home products, allowing clients who currently have travel cover with Zurich Private Clients to benefit from the enhanced cover from 1 October 2015. Clients who do not currently have travel cover will benefit from the next renewal date of their policy from 2 November onwards.