Allianz Travel Insurance has published its annual Vacation Confidence Index, revealing that most Americans remain at least somewhat confident they will take a vacation this summer. The survey also shows the average amount Americans plan to spend on a vacation rose slightly to $1,798—an increase of about 11 percent from last year. Based on these figures, total projected summer vacation spending by Americans in 2016 is $89.9 billion.
The Vacation Confidence Index measures how confident Americans feel about taking a summer vacation and how much they intend to spend while traveling. Although the overall share of people confident they’ll go on a trip in 2016 stayed largely steady, more Americans now say an annual vacation is important to them. Sixty-five percent of respondents reported that taking a yearly vacation matters, up eight percentage points from last year and returning to levels last seen in 2010.
The study also identified a rise in the Vacation Deficit—the share of people who consider a vacation important but are not confident they’ll be able to take one. In 2016, 22 percent of Americans fall into this category, compared with 19 percent in 2015. This marks the first increase in the Vacation Deficit since it declined between 2013 and 2015.
“With vacation spending up, travel insurance should be near the top of the trip planning checklist,” said Daniel Durazo, director of communications for Allianz Global Assistance USA. He noted that a suitable travel insurance policy can protect prepaid travel expenses if a trip must be canceled for covered reasons such as illness or injury, and can provide reimbursements for medical emergencies, trip delays, and lost or delayed baggage.
The Vacation Confidence Index has been conducted every summer since 2010 by Ipsos Public Affairs on behalf of Allianz. For the purposes of the survey, a vacation is defined as a leisure trip of at least one week taken more than 100 miles from home.