The corporate travel insurance sector is experiencing a surge in broker opportunities, driven by the growing complexity of risks faced by business travellers. Underwriting agencies are reporting increased demand for adaptable, customized travel insurance solutions that go beyond traditional “off-the-shelf” policies.
Growing Complexity in Corporate Travel
Andrew Batchelar, CEO of Batch Underwriting, identifies corporate travel as a “real growth area” for brokers. The COVID-19 pandemic has reshaped the corporate travel landscape, with businesses becoming more aware of their responsibilities towards travelling employees. This shift has created a niche for brokers to act as trusted advisers, providing tailored insurance solutions that address specific business needs.
Industries Driving Demand
Batch Underwriting is seeing increased traction in sectors where travel is essential and risks are varied, including resources, professional services, engineering, and logistics. The firm is also witnessing new broker partners entering the travel insurance space, attracted by the potential for customized solutions and high-value business opportunities.
Evolving Risk Landscape
Corporate travellers face a range of risks, from medical expenses and trip cancellations to political instability and security concerns. Batchelar notes that newer, adaptable travel insurance offerings can cover replacing key staff mid-trip and providing management support services. These policies are designed to be flexible across different business sectors and extend into markets where traditional insurers may have limited presence.
Service as a Key Differentiator
The corporate travel insurance market has evolved significantly in recent years, with a shift away from “one-size-fits-all” approaches towards customized solutions. Batchelar emphasizes that brokers can differentiate themselves by offering fast turnaround times, clear advice, and policy structures that reflect their clients’ actual operations. When executed well, corporate travel insurance can be a “high-value, low-maintenance class of business” that deepens client relationships and opens doors to broader insurance placements.
Industry Validation
Other underwriting agencies have also recognized the potential in corporate travel insurance. Michelle McKellar from Keystone Underwriting Australia notes that travel insurance is a natural extension of existing broker offerings to SME clients, adding value to relationships and creating new revenue streams without requiring new client acquisition.
Positive Trends in Business Travel
Recent data suggests that business travel numbers are steady or increasing, despite economic pressures affecting leisure travel. The Australian Bureau of Statistics reported a 10% increase in Australian residents’ overseas trips in March compared to the previous year, with 66,800 of those trips being for business purposes. This uptick in business travel is expected to continue driving demand for corporate travel insurance solutions.
