New data from 1Cover Travel Insurance says that despite the dropping New Zealand dollar and the ongoing cost of living crisis, Kiwis are continuing to prioritise travel.
As the New Zealand dollar plunges in response to US tariff announcements, already stretched Kiwi travel budgets are likely to be even further tightened.
However, data has shown that despite an unstable financial climate, travellers are not likely to give up their holiday plans anytime soon.
According to a 2024 1Cover survey of 1,000 New Zealanders, 39% said they had travelled internationally in the last 12 months. Of those, 36% said they travelled overseas more than they did prior to the COVID outbreak.
Demographically, the highest proportion of those travelling overseas were aged 30-49, while those aged 70 and up were the least likely to travel abroad (11%).
Natalie Smith, head travel expert for 1Cover, says that the data highlighted just how much Kiwis prioritised travel.
“Data shows that travel is steadily rebounding, driven by pent-up demand and the lasting impact of lockdowns. Despite grappling with the rising cost of living, New Zealanders appear keen to invest in travel and shared experiences with loved ones.”
Smith notes that with tighter budgets front of mind, Kiwis are looking for greater value from their getaways.
“People are making more deliberate choices about how they spend, adjusting their plans to suit the current economic climate,” Smith says, highlighting a trend towards shorter holidays and destinations closer to home.
“We're seeing a lift in weekend escapes and brief getaways, along with growing interest in domestic travel and popular nearby spots like Australia and Fiji. Travelling during the off-peak season has also gained popularity as a savvy way to save.”
Don't overlook travel insurance
As the appetite for travel continues, Smith urges travellers to carefully assess which expenses are essential.
“With New Zealanders becoming more mindful about their travel decisions, it’s crucial not to overlook travel insurance. Medical emergencies overseas can easily run into the hundreds of thousands—and without cover, the financial fallout could be devastating.”
In today’s economic environment, Smith stresses the importance of being protected before jetting off.
“Travel insurance is the single biggest factor in determining whether a trip is financially viable. Simply put, if you can’t afford travel insurance, you can’t afford to travel.”
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FOR FURTHER INFORMATION, PLEASE CONTACT:
Natali Mansberg, Content Marketing Specialist.
E: natali[email protected] | URL www.1Cover.com.au
About 1Cover Travel Insurance
1Cover Travel Insurance was founded in 2003. Today, it is one of Australia’s largest providers of online travel insurance. At 1Cover, we’re dedicated to providing all customers with exceptional cover and support. We provide cover to millions of customers in both Australia and NZ.
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