Germany Travel Insurance Market Overview, 2030

Germany’s travel insurance market has a long history, evolving from early marine and accident insurance in the late 19th century into today’s sophisticated, multi-coverage packages tailored for both domestic and international travelers. Initially driven by Germany’s strong outbound tourism culture, travel insurance gradually expanded to include comprehensive medical coverage, baggage protection, trip cancellations, and accidental death benefits. Over the decades, global shocks have significantly shaped the market’s structure and offerings. Events such as the September 11 attacks, Iceland’s 2010 volcanic ash cloud, recurring airline insolvencies like Air Berlin, and, most importantly, the COVID-19 pandemic, underscored the vulnerability of travelers and the need for robust, flexible insurance coverage. Climate-related disruptions such as severe flooding across Europe have also pushed insurers to enhance coverage terms for natural disaster-related delays and cancellations. Germany today represents one of Europe’s largest and most mature travel insurance markets, underpinned by the country’s high outbound travel volume, with millions of residents traveling across the EU and globally each year. The premium pool continues to expand at a steady CAGR, driven by rising healthcare costs abroad, increasing awareness of financial risks associated with medical emergencies, and the influence of digital platforms simplifying policy comparison and purchase. Digitalization has further allowed insurers to embed insurance in online booking systems, driving uptake. Despite its maturity, challenges persist. Fraudulent claims, especially around cancellations, and gaps in consumer understanding of coverage details remain barriers. Additionally, penetration in younger demographics and among low-cost travel segments is still lower than expected, signaling growth potential.

According to the research report “Germany Travel Insurance Market Overview, 2030,”published by Bonafide Research, the Germany Travel Insurance market was valued at more than USD 1.91 Billion in 2025. Germany’s competitive and strategic landscape for travel insurance reflects a mix of entrenched incumbents, fast-scaling insurtech challengers, and an ecosystem of aggregators reshaping customer acquisition. Major players such as Allianz Partners, AXA, Chubb, Generali, and Tokio Marine dominate through extensive global networks, corporate partnerships, and tailored programs for both leisure and business travelers. Their strategies focus on expanding cross-border healthcare networks, enhancing claims efficiency, and embedding value-added services such as telemedicine and concierge assistance to maintain differentiation in a price-sensitive market. At the same time, Germany has become a fertile ground for insurtech innovation, with firms like Cover Genius, Revolut, and Lemonade pioneering embedded coverage in airline bookings, fintech apps, and online marketplaces. These digital-first models leverage micro-duration policies, instant parametric payouts for flight delays, and AI-driven claims processing, appealing strongly to younger, tech-savvy travelers. Price comparison platforms such as Check24, Verivox, Squaremouth , and InsureMyTrip exert significant pressure on pricing, effectively commoditizing standard travel insurance offerings. As a result, insurers increasingly rely on strategic partnerships with online travel agencies (OTAs), airlines, and banks, embedding insurance within loyalty ecosystems and offering bundled financial services. Beyond distribution, telemedicine integration has gained traction, particularly after COVID-19, with players embedding remote consultations into policies to reduce medical claim costs abroad. Mergers, alliances, and reinsurer–insurtech collaborations are also shaping innovation, particularly in parametric insurance, where payouts are automatically triggered by predefined events such as flight cancellations or extreme weather disruptions. This landscape highlights a dual challenge incumbents must balance price competition with differentiated value, while insurtechs must scale profitability in a heavily regulated environment.

Germany’s travel insurance market exhibits a mature segmentation across single-trip, annual multi-trip, and long-stay insurance products, reflecting the country’s diverse traveler base. Single-trip travel insurance remains the most widely purchased category, particularly among leisure travelers, families, and occasional holidaymakers. Germans traveling within Europe under the Schengen regime often seek affordable, one-time coverage for medical expenses, trip cancellations, and baggage protection. This category is strongly driven by package holiday operators and online travel agencies bundling policies at the point of booking. Annual or multi-trip travel insurance has grown significantly in Germany due to the country’s high outbound travel rates and the business travel segment. Frequent flyers, expatriates, and cross-border commuters within the EU benefit from cost-effective, year-round coverage. This segment is also favored by younger professionals who undertake multiple city-breaks or business trips annually. Digital insurers and banks increasingly cross-sell multi-trip policies with premium credit cards boosting penetration. Long-stay travel insurance is a niche but growing segment in Germany, supported by rising student mobility, digital nomadism, and extended stays abroad for work or education. German students studying overseas, retirees wintering in Southern Europe, and remote workers relocating temporarily seek comprehensive health and liability coverage, often for six months or longer. These policies also align with German insurers’ emphasis on extensive medical coverage abroad, given the high costs of treatment in destinations like the U.S. and Canada.

Medical coverage is the most dominant and sought-after component in Germany’s travel insurance market, reflecting both regulatory compliance for Schengen visas and rising concerns around international healthcare costs. German travelers, especially those visiting the U.S., Asia, or non-EU destinations, increasingly prioritize policies with comprehensive medical protection, including emergency evacuation and repatriation, as health expenses abroad can be significantly higher than within the EU. Trip cancellation and interruption insurance also represents a strong segment, driven by Germany’s highly organized outbound travel culture, where consumers often book long-haul holidays, cruises, or packaged tours months in advance. This makes them more sensitive to unforeseen disruptions such as illness, flight cancellations, or geopolitical events. Coverage for baggage and personal belongings loss remains relevant, particularly among frequent leisure and business travelers passing through major hubs like Frankfurt and Munich, where mishandling and theft risks persist. Insurers have enhanced this coverage to include digital assets, electronic devices, and even delayed baggage compensation, reflecting evolving consumer needs. Accidental Death & Dismemberment (AD&D) policies, while comparatively niche, are valued by older demographics and corporate travelers seeking financial security for dependents, especially in high-risk destinations. The Others category, which includes liability insurance, legal assistance, and coverage for adventure sports, is gaining traction as German tourists increasingly seek experiential travel such as skiing in the Alps, diving, or trekking abroad. This diversification indicates that German insurers are moving toward modular and customizable policies, enabling travelers to tailor coverage to specific risk profiles and lifestyles.

In Germany, travel insurance distribution is undergoing a significant digital shift, though offline channels still hold relevance due to consumer trust and traditional purchasing behavior. Online platforms, including insurer-owned websites, travel booking portals, and price-comparison engines, have gained strong momentum in recent years. German travelers, especially younger and tech-savvy segments, increasingly prefer digital platforms for their convenience, transparency in pricing, and ability to compare coverage options in real time. The COVID-19 pandemic accelerated this trend, as travelers began prioritizing flexible, on-demand insurance that could be purchased instantly alongside flight or accommodation bookings. Moreover, digital aggregators and fintech collaborations are making travel insurance more accessible, offering bundled policies with real-time assistance features and app-based claims processing, which resonates strongly with millennials and frequent independent travelers. Offline channels, however, continue to remain significant, particularly among older demographics and business travelers who prefer personalized guidance from agents, banks, and tour operators. German consumer’s value detailed consultations, especially for high-value or complex trips such as cruises, long-term stays abroad, or destinations with higher risk exposure. Banks and travel agencies, both deeply embedded in Germany’s travel ecosystem, play a pivotal role in cross-selling travel insurance. Offline sales also maintain credibility in cases where customers seek clarity on policy exclusions, legalities, or require customized group insurance packages. While online channels dominate in volume growth, offline channels retain strong influence over premium, specialized, and high-trust segments. The interplay of both reflects Germany’s hybrid distribution model, with insurers increasingly integrating omnichannel strategies to ensure accessibility across digital and traditional touchpoints.

Considered in this report
• Historic Year: 2019
• Base year: 2024
• Estimated year: 2025
• Forecast year: 2030

Aspects covered in this report
• Travel Insurance Market with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Insurance Types
• Single-trip Travel Insurance
• Annual or Multi-trip Travel Insurance
• Long-stay Travel Insurance

By Insurance Coverage
• Medical Insurance
• Trip Cancellation/Interruption:
• Baggage & Personal Belongings Loss
• Accidental Death & Dismemberment (AD&D)
• Others

By Distribution Channel
• Online Platforms
• Offline Channels Show more