Tourism insurance market, risks and prospects : the case study

Abstract

PURPOSE: According to the global pandemic conditions, tourism and therefore, travel insurance market face new challenges. This study is aimed to determine appropriate approaches that will contribute to the tourism development during and post-pandemic period.

DESIGN/METHODOLOGY/APPROACH: Tourism insurance is one of the most important elements of travel planning, that protects tourists from certain financial risks and wastage that can occur during traveling. Expenditure can be minor, such as a delayed luggage, or significant - a medical emergency overseas. Within pandemic conditions, emergency medical care, which will cover Covid -19 has become inevitability part of insurance packages being offered. The design of the article includes secondary data review, theoretical explanations and empirical evidence (survey) regarding insurance updates in the travel sector, development of proposals for the future tourism development in Georgia without significant excess or outcomes from the pandemic conditions.

FINDINGS: Ideas and examples are proposed to enhance knowledge in adapting insurance in accordance with the requirements of this modern situation, with an aim to continue developing tourism in the future.

PRACTICAL IMPLICATIONS: Several approaches have been identified in terms of enhancing the quality of tourism services, which is most important in relation to this pandemic period.

ORIGINALITY/VALUE: This is a first attempt at describing and identifying issues related to the Georgian tourism sector in terms of travel insurance adaptation to the Covid-19 conditions. It is a valuable piece of information for tourism product makers to adopt the article’s proposals for the improvement of future tourism development.