Flood risk deters Aussies from booking regional holidays
68 percent of holidayers say they will avoid at-risk regions in 2023 but you can reassure them with last-minute penalty-free cancellations
Last year’s heavy rains and floods in Australia’s south-east regional areas will impact this year’s local tourism, according to new research. A risk of adverse weather will deter most Aussies from booking regional accommodation but last-minute penalty-free cancellations may mitigate concerns.
The new research commissioned by travel insurance provider InsureandGo reveals regional floods from the past year are still fresh in the mind of Aussie travellers, with 68 percent of holidayers surveyed saying they will avoid at-risk regional locations in 2023.
South-eastern Australian states received exceptional rainfall totals in 2022, with higher-than-average rainfall forecasted again this year and flood warnings already in place for some regional towns.
The findings, derived from a survey of an independent panel of 1001 Australian travellers by InsureandGo found that a quarter of respondents (25 percent) will be deterred from planning a holiday in a region that was impacted by floods in 2022.
Based on the survey results, this could mean at least 70 regional towns will experience a drop in intrastate and interstate visitations, as more than 43 towns in NSW, 24 in Victoria and three in Tasmania were impacted by floods in 2022.
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A further 21 percent of respondents said that they would not take a regional holiday in the near future while heavy rains and floods continue to impact the country.
Fortunately, 24 percent of respondents are still eager to travel regionally by plane, but they will avoid specific regions that require them to drive there, in case their route is impacted by extreme rainfall or flooding. Just one-third (32 percent) will stick with their regional travel plans in 2023.
However, older Australians were more likely to go ahead with regional travel plans despite the weather.
With 35 percent of over-50s saying they would travel regionally, compared to 32 percent of those aged 31-50 and only 27 per cent of under-30s.
ACT residents are more likely to be deterred from regional travel due to the rain and flooding, with only 18 percent willing to go ahead with regional holidays in 2023, compared with an equal 38 per cent of Queensland, South Australia and West Australian residents.
InsureandGo spokesperson and Chief Commercial Officer Jonathan Etkind said: “Flash flooding in 2022 has had a devastating impact on local communities in eastern and northern States of Australia. Many holidayers are taking additional precautions while travelling than they would have in previous years.
“Older Australians and residents from Queensland, South Australia and Western Australia who have higher levels of confidence visiting the regional areas will be providing much-needed economic support to flood-affected towns.”
Australians will take multiple measures to minimise the risks of holiday disruptions this year
The survey also asked respondents which, if any, precautions they would take to safeguard the costs of a planned holiday from disruptions such as flooding, cancellations or delays.
It found 95 percent of respondents would take at least one precaution in a list presented to them, indicating that more than nine in 10 respondents believe 2023 will likely be another year of holiday disruptions.
The list included:
- Booking accommodation that accepts payments close to the travel date and no-penalty cancellations.
- Booking flexible flights that can be refunded or redeemed at a later date.
- Booking hire cars that accept penalty-free cancellations.
- Taking out travel insurance and looking for travel insurance that covers natural disasters.
This year, nearly two-thirds of respondents (62 percent) would look for late-payment bookings and last-minute penalty-free cancellations. More than half (57 percent) would choose flexible flights that can be refunded or redeemed later. Nearly a third (29 percent) would get natural disaster coverage. Just over a quarter (27 per cent) said they would choose a car hire option with free cancellations.
Jonathan said: “Our research reveals that Australians are placing greater value on options, to enable them to safeguard the costs of a planned holiday if something goes wrong. Domestic travel insurance with natural disaster cover can give travellers peace of mind knowing they are protected with travel insurance when travelling to areas with some risk.
“Travellers are best to be sensible and take precautions when visiting at-risk areas. Often benefits of natural disaster cover include accommodation and transport cancellations, emergency accommodation and transport, 24/7 emergency assistance, replacements or refunds for affected personal belongings.”
Floods have heavily impacted many regional areas in Australia in 2022. Are these events deterring you from taking a regional holiday in 2023? | % of respondents surveyed* |
| |
Yes, I would not plan a holiday to a region that had been impacted by floods this year | 25 |
Yes, I would not take a regional holiday in the near future while heavy rains and floods continue in Australia | 21 |
No, I would still book regional travel, but I would avoid regions that require me to drive there (in case the route is impacted by flooding). | 23 |
No, I would still book regional travel | 32 |
How would you safeguard the costs of a planned holiday from disruptions such as flooding, cancellations, or delays? | % of respondents surveyed* |
| |
I would book accommodation that accepts payment close to the travel date and can be cancelled at the last minute without penalty fees. | 62 |
I would book flexible flights that can be refunded or allow me to change dates | 57 |
I would book car hire that accepts penalty-free cancellations | 27 |
I would take out travel insurance with coverage for natural disasters | 29 |
None of the above | 5 |
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