- Many Brits will be taking a staycation in 2021, spending £660 on average
- But cash is at risk as nearly 13 million people go uninsured and one in six (18%) admit to never buying travel insurance
- Virgin Money has launched Club M, its first packaged current account which offers worldwide family multi-trip travel insurance, mobile phone and gadget insurance and UK breakdown cover
As the UK gets ready for a summer of fun, 22 million Brits (42%) are set to holiday domestically this year as staycation bookings surge, collectively spending £14.6 billion, according to new research1 by Virgin Money.
But this spending could be at risk as 58% of staycationers have not taken out domestic travel insurance, setting them up for significant potential losses. Nearly one in five (17%) of those without insurance are not even aware that they should have it to cover domestic breaks, despite spending £660 on average per UK holiday.
One in six (18%) people admit to never buying travel insurance. Less than one in three (29%) people would take out travel insurance for a UK holiday, compared to two in three (64%) people who cover themselves when travelling to Europe or beyond. The top reasons cited for not getting insurance when holidaying at home include relying on the NHS for any medical emergencies (40%) and thinking it isn’t necessary (30%). One in eight (12%) admit they do not consider a staycation a holiday, so they don’t bother with insurance or think they only need it if traveling abroad (12%).
The Virgin Money research also reveals that a third (34%) of Brits’ past staycations haven’t gone to plan. Of those that have not, over a third (35%) have had their car breakdown during a trip, while one in eight (13%) had their accommodation cancelled or lost an item of technology (13%) during a trip. In addition, over two fifths (45%) have experienced flight or train delays or cancellations proving it is not always plain sailing.
Just one in 10 Brits would take out travel insurance before booking a holiday, while a third (33%) do so straight after booking. Nearly a quarter (23%), leave it until either a few weeks (14%) or even days (9%) before they leave, leaving them uninsured for potential cancellation costs.
Virgin Money has launched its first ever packaged current account, Club M Account, which offers an attractive combination2 of travel, breakdown and mobile phone and gadget insurance benefits in addition to the leading features available through its popular M Plus current account. The new Club M Account aims to help reduce the stress and hassle of travel, making it easier for post-lockdown fun and a life more Virgin when restrictions allow.
Fergus Murphy, Chief Customer Experience Officer at Virgin Money, said: “With the exciting prospect of holidays across the UK becoming a reality very soon, we’re all looking forward to a summer of staycations to make the most of lockdown easing and freedom to travel across the country.
“However, our research suggests that when on home turf, there is a common misconception that there is no need to purchase insurance. While we all want to enjoy a well-deserved break this summer, don’t forget to consider your insurance needs which could help if you experience travel delays, travel cancellations or end up losing your mobile or gadgets while away.
“Our new Club M packaged account helps to reduce the stress and hassle of travel as it covers you for worldwide family multi-trip travel insurance, mobile phone and gadget insurance and UK breakdown cover. For when those international trips are back on the cards, it also features a travel-savvy debit card with no overseas spending fees, a travel concierge service and medical advice.”
Club M offers customers a stack of benefits for a single monthly fee of £14.50, subject to terms and conditions:
- Worldwide family multi-trip travel insurance, including cover for booked holidays in the UK and winter sports as standard, plus a travel assistance concierge service and GP consultation service, giving customers peace of mind that they are covered from the moment they book their trip until their return
- Mobile phone and gadget insurance providing worldwide cover against loss, theft, damage and breakdown for up to £2,000 per device
- UK Breakdown cover, including roadside assistance and cover at home, whether the customer is the driver or the passenger
*Research conducted by Opinium among a nationally representative sample of 2,000 UK adults between 26-30th March 2021.