Most Indians Prefer Asian Destinations, Gen Z Looking For Long-Haul Travel

Indian travellers have grown in numbers over the year from 2.78 crore in 2023 to 3.08 crore in 2024. International travel from India is surging, and it is expected to become one of the top five global travel contributors by 2030.  According to the report titled “WanderSafe Report 2025 Demystifying the Indian Traveller” by ICICI Lombard in association with Hansa Research Group, 63 per cent of the Indian travellers choose Asia as their preferred destination.

Asia Leads The Way

The most popular destinations where Indians prefer travelling include Thailand, Japan, and Singapore, followed by Western countries, where Indian travellers prefer North America, with the USA as the most visited country, and in Europe, they prefer France and the United Kingdom (UK).

The growing outbound travel shows the global mobility of Indian tourists. Around 48 per cent of Indian travellers indicate Asia would be their destination for the next international trip. It shows that travel is no longer seen as a luxury. Per the report, millennials are leading the way and driving growth in international travel, as they link travelling with self-expression and social validation.

Other reasons pushing growth in international travel to Asian destinations include simpler visa processes and strong airline connectivity.

Millennials And Gen Zs Are Exploring Farther

According to the report, millennials and Gen Z prefer long-haul destinations like Australia and Europe, whereas Gen X prefer nearby destinations. More than 60 per cent (64 per cent) prefer travelling with spouses, partners, or friends, reveals the report, indicating a change in the social nature of travel. Gen Zs are three times more likely to travel solo and four times more likely to travel with colleagues. This indicates the preference for independence and flexibility.

Adventure sports, water sports, and multi-country trips are booming with Gen Z leading the trends. 62 per cent of the respondents plan to engage in adventure sports in their next trip, and 50 per cent plan to rent a vehicle for a self-curated experience.

Around 60 per cent of travellers make bookings online through travel agencies, whereas 30 per cent rely on travel agents for convenience and guided experiences. Gen X travellers rely more (2.6 times more) on others to plan and book their trips.

The Risks Involved

The challenges modern travellers face include heat waves, flooding, geopolitical instability, and a sharp rise in global air travel disruptions. In today’s world, as per the report, travellers cannot ignore preparing for the unexpected.

The report highlights that after the COVID-19 pandemic and conflicts such as the Israel-Hamas crisis, travel protection is no longer a backup option for travellers. Instead, it is becoming a non-negotiable component of the journey. From Gen Z to frequent flyers, people want clarity about coverage, emergency support in case of sudden illness, etc.

Awareness About Travel Protection

As per the survey data, around nine out of 10 international travellers are aware of travel insurance, but for short and domestic trips, they consider it an unnecessary cost rather than a value-driven necessity. It is often due to a lack of product understanding, complicated jargon, complicated processes, and misconceptions about benefits.

According to the survey data, Gen Z travellers are three times more likely to consider travel insurance expensive compared to millennials (Gen Y).

Growth Expectations

The global travel insurance market size is estimated to reach $29.5 billion in 2025 and expand to $108.84 billion by 2034. Compared to this, the Indian travel insurance market, which is valued at $1.73 billion in 2025, is expected to reach $4.17 billion by 2031, at a compound annual growth rate of 15.87 per cent.

Per the report, the future of travel protection lies in innovation, which is now moving towards customisable coverage, such as Parametric insurance, which provides instant payouts for defined trigger events like flight delays. It offers a faster solution than the traditional way of filing claims. Insurers are focusing on simpler product design, modular add-ons to ensure coverage aligns with the diverse needs, ranging from sports cover for Gen Z to specialised student policies.

With more Indians now travelling globally, industry leaders emphasise that protection must evolve from a mere visa requirement to ensuring a worry-free journey overall.

The report cites Policybazaar.com, according to which travellers are now opting for higher coverage. Around 62 per cent of international travellers now purchase insurance coverage of $ 250,000 and above, which was earlier $100,000. The trend indicates travellers' emphasis on robust financial protection.