1. Market Research
  2. > Tourism and Leisure
  3. > Tourism
  4. > Travel Services Market Trends
  5. > Affinity and Partnership Marketing in UK Travel Insurance

Finaccord's report titled Affinity and Partnership Marketing in UK Travel Insurance represents the most detailed research ever undertaken on this sector. Drawing on the results of a survey of 2,555 organisations, the report analyses the penetration, operating models and provider share of relationships of affinity and partnership marketing schemes for travel insurance across a range of distributor categories.

These include: airlines; banks; building societies; charities; coalition loyalty schemes and frequent flyer programs; internet, media and telecoms entities; online aggregators and brokers; professional associations; retailers; travel companies; and trade unions. Moreover, the PartnerBASE™ database that accompanies the report provides the granular detail behind the analysis, detailing each of well over 500 affinity and partnership marketing initiatives traced by Finaccord in this sector.

Table Of Contents

Affinity and Partnership Marketing in UK Travel Insurance
Table of Contents

Executive Summary

Introduction

Market Overview

Non-for-Profit Affinity Partners

Financial Partners

Commercial Partners

List of Graphics / Tables



0.0 EXECUTIVE SUMMARY

1.0 INTRODUCTION

Background

Rationale

Affinity and partnership marketing remains an important, strategic topic for financial institutions...

... as the ability of affinity and corporate partners to compete effectively has evolved over time

Methodology

Organisations investigated

Finaccord's research covers a total of 2,555 actual and potential partner organisations...

... representing virtually all entities that could be significant in this field

Calculation of weighted provider share of partnerships

Finaccord's methodology identifies providers that are likely to hold the most valuable relationships...

... by means of formulae that take into account not only UK traffic rankings for organisations' websites...

... but also distribution shares for each financial product or service by organisation category...

... and the total number of organisations in each category that actually distribute the product

Definitions

Financial products

Operating models

PartnerBASE syntax

Finaccord

UK affinity and partnership marketing publications

UK consumer research publications

2.0 MARKET OVERVIEW

Affinities and partnerships in UK travel insurance

Finaccord's research identifies well over 500 schemes for travel insurance involving external partners...

... which are divided between 26 distributor categories

More affinity schemes are organised via an external intermediary than directly with an underwriter

One organisation is ranked among the leaders in both the unweighted and weighted analysis…

… namely AXA which rises from fifth in the former to second in the latter

In the unweighted analysis, Columbus Direct secures a leading position through 48 partnerships

In the weighted analysis, the leading competitor benefits from deals with four online aggregators...

3.0 NOT-FOR-PROFIT AFFINITY PARTNERS

Charities

Introduction

The websites of Age UK and the RSPB attract particularly high UK-based traffic

Analysis of partnerships

Travel insurance is promoted by over a quarter of charities

Arthur J Gallagher provides travel insurance to several medical charities, often with MAPFRE Asistencia

Ageas is ranked second by weighted share of partnerships thanks to its relationship with Age UK

Lifestyle organisations

Introduction

The category of lifestyle organisations embraces a diverse range of entities

Analysis of partnerships

Travel insurance is on offer from 11 entities classifiable as lifestyle organisations

Vantage Insurance Services features prominently in both the unweighted and weighted analyses…

… but is overtaken in weighted terms by firms belonging to Collinson Insurance Group if counted together

Professional associations

Introduction

The combined membership of professional associations comes to just under 4 million

Analysis of partnerships

Well over a third of professional associations have organised a scheme for travel insurance

Parliament Hill runs member benefit schemes on behalf of numerous professional associations...

... making it the dominant provider in this sector by both unweighted and weighted shares

HMCA (working with Axiom Underwriting) is also used by a number of professional associations…

… with the rest spread quite thinly across a diverse range of competitors

Sports organisations

Introduction

This category includes bodies to which individual sports clubs, practitioners and trainers may belong

Analysis of partnerships

A significant proportion of sports organisations have established affinity programs for travel insurance

HMCA and provider Axiom Underwriting hold the most partnerships in this field...

... but RSA is the sector leader on a weighted basis

Trade associations

Introduction

Finaccord has extended its coverage in this category to over 700 associations

Analysis of partnerships

Over 50 trade associations offer travel insurance to the employees of their member companies

Private Health Partnership and HMCA claim the majority of deals in place in this field...

... with the former also the category leader in weighted terms 35 Trade unions

Introduction

There are over 6 million trade union members in the UK

Analysis of partnerships

A significant number of trade unions include travel insurance among offers made to members

The same providers make up the top six on both the unweighted and weighted analysis

ROCK Insurance Services benefits from partnerships with three relatively large trade unions

Universities

Introduction

The Open University's website attracts more UK traffic than that of any other UK-based university

Analysis of partnerships

Almost three quarters of universities have set up an accredited scheme for travel insurance...

... with UMAL identified as the underwriter in the highest number of cases…

… albeit with ACE the sector leader in the weighted analysis

4.0 FINANCIAL PARTNERS

Banks

Introduction

Several challenger banks have emerged to compete with the major incumbents...

... and further structural changes to the market are likely to occur in future years

Analysis of partnerships

Over a quarter of retail banking brands are distributors of stand-alone travel insurance

Five companies hold two or more distribution deals with retail banking brands

ACE and Aviva are most prominent in the analysis of weighted partnership shares

Building societies

Introduction

Mergers and acquisitions have caused the number of extant building society brands to shrink to 49

Analysis of partnerships

Only a small minority of building societies have an arrangement for selling travel insurance...

... with Towergate Underwriting the incumbent provider to the largest of these

Credit and charge cards

Introduction

The number of credit and charge cards in circulation has fallen in recent years

Analysis of partnerships

Fewer than one in ten credit and charge card products come with automatically bundled travel cover…

… with ACE and AXA the dominant providers in this space

Credit unions

Introduction

Total membership across around 360 credit unions in the UK now exceeds 1.17 million…

... with all key credit union metrics having grown strongly in recent years…

... aside from the actual number of credit unions given that there were over 500 in 2007

Few credit union websites attract a significant volume of UK-based visitors 58 Analysis of partnerships

Only two credit unions have a scheme for distributing travel insurance

Friendly societies

Introduction

Finaccord's research covers 25 of the larger friendly societies in the UK...

... among which Liverpool Victoria (LV=) is by far the largest

Analysis of partnerships

Among friendly societies, just one travel insurance initiative is visible

Insurers (tied / multi-tied intermediaries)

Introduction

Over 60 branded intermediaries effectively act as tied or multi-tied agents for insurance products…

… meaning that they also constitute a partnership marketing opportunity

Analysis of partnerships

A half of entities in this category act as distributors of travel insurance…

… with four providers claiming five partnerships each

A subsidiary of Collinson Insurance Group is the leader by weighted share

Insurers (underwriters)

Introduction

Over 80 underwriting brands can be broken down into three main sub-categories

Sometimes, insurance underwriting brands distribute the policies of other underwriters or brokers

Analysis of partnerships

Among insurance underwriters selling travel cover, over a half outsource to one or more external providers

ROCK Insurance Services is utilised by four online brands belonging to the Admiral Insurance Group…

… causing its weighted share to be higher than the unweighted equivalent

Online aggregators and brokers

Introduction

The market for online aggregation and broking has become more concentrated in recent years...

... as a result of a number of factors including the challenge thrown up by cashback websites

Analysis of partnerships

Most entities in this category also outsource travel insurance provision to external providers

MAPFRE Asistencia and theidol.com each hold four partnerships in this sphere...

... although those of theidol.com convert into the highest weighted share by far

Packaged accounts

Introduction

The number of customers with a packaged account grew rapidly following their introduction

Regulatory intervention clouded the outlook for a time…

… although the FCA's most recent pronouncements seem relatively mild

Analysis of partnerships

Virtually all packaged accounts incorporate bundled travel insurance...

... with six individual competitors active as partners of banks in this context

Specialised lenders

Introduction

The category of specialised lenders includes a variety of different types of institution...

... with many new competitors having emerged in the wake of the 'credit crunch'

Analysis of partnerships

Only one initiative for travel insurance is visible in this partner category

5.0 COMMERCIAL PARTNERS

Airlines

Introduction

26 airlines operating are included in Finaccord's sample

Analysis of partnerships

A majority of airlines selling travel insurance do so in conjunction with a single external underwriter

Allianz Global Assistance and AIG claim the most partnerships in this field…

... but UK General overtakes AIG in the weighted analysis

Automotive associations

Introduction

In addition to the AA and RAC, nine other organisations fall within this partner category

Analysis of partnerships

Six out of nine automotive associations are distributors of travel insurance 86 Automotive manufacturers

Introduction

Among automotive manufacturers, four German brands attract the most UK-based traffic to their websites

Analysis of partnerships

Only BMW distributes branded travel insurance policies

Coalition loyalty schemes and frequent flyer programs

Introduction

Among qualifying entities, Nectar's website attracts the most UK-based online traffic

Analysis of partnerships

Only Maximiles and myJet2 allow members to earn 'currency' by purchasing travel insurance

Football and rugby clubs

Introduction

The research investigates a total of 76 professional football and rugby clubs

Analysis of partnerships

Comparatively few football or rugby clubs act as affinity partners for travel insurance

Internet, media and telecoms entities

Introduction

This category embraces many organisations with extremely high UK website rankings...

... which can have a substantial impact on the analysis of weighted partnership shares

Analysis of partnerships

A half of entities selling travel insurance in this category do so via an aggregation model

Eight organisations have multiple partnerships in this field although Google Compare dominates

Online price comparison providers

Introduction

Several online price comparison providers offer insurance or financial services product comparisons

Analysis of partnerships

The presence of online price comparison providers has diminished substantially in recent years

Retailers

Introduction

The research focuses on 80 of the retailer brands with most potential to offer insurance products

Analysis of partnerships

Travel insurance is on offer from ten major retail brands out of 80 researched

Travel companies

Introduction

The fragmented travel sector hosts a variety of different types of company

Analysis of partnerships

A majority of travel companies sell travel insurance…

… generating a supply structure that appears highly fragmented in unweighted terms

... but much less so when viewed on a weighted basis

LIST OF GRAPHICS / TABLES

0.0 EXECUTIVE SUMMARY

1.0 INTRODUCTION

The affinity and partnership marketing universe

Organisations investigated, segmented by broad category

2.0 MARKET OVERVIEW

Affinity and partnership marketing schemes for travel insurance in the UK: provision rate by category of partner

Affinity and partnership marketing schemes for travel insurance in the UK: operating models

Affinity and partnership marketing schemes for travel insurance in the UK: unweighted and weighted provider share of partnerships

3.0 NOT-FOR-PROFIT AFFINITY PARTNERS

Charities offering travel insurance: provision rates and operating models

Charities offering travel insurance: unweighted and weighted provider share of partnerships

Lifestyle organisations offering travel insurance: provision rates and operating models

Lifestyle organisations offering travel insurance: unweighted and weighted provider share of partnerships

Top 40 professional associations in the UK ranked by member numbers, 2015 (table)

Professional associations offering travel insurance: provision rates and operating models

Professional associations offering travel insurance: unweighted and weighted provider share of partnerships

Sports organisations offering travel insurance: provision rates and operating models

Sports organisations offering travel insurance: unweighted and weighted provider share of partnerships

Top 80 trade associations in the UK ranked by member numbers, 2015 (table)

Top 80 trade associations in the UK ranked by member numbers, 2015 (table) (continued)

Trade associations offering travel insurance: provision rates and operating models

Trade associations offering travel insurance: unweighted and weighted provider share of partnerships

Top 40 trade unions in the UK ranked by member numbers, 2015 (table)

Trade unions offering travel insurance: provision rates and operating models

Trade unions offering travel insurance: unweighted and weighted provider share of partnerships

Universities offering travel insurance: provision rates and operating models

Universities offering travel insurance: unweighted and weighted provider share of partnerships

4.0 FINANCIAL PARTNERS

Banks offering travel insurance: provision rates and operating models

Banks offering travel insurance: unweighted and weighted provider share of partnerships

Building societies offering travel insurance: provision rates and operating models

Building societies offering travel insurance: unweighted and weighted provider share of partnerships

Credit and charge cards with embedded travel insurance: provision rates and operating models

Credit and charge cards with embedded travel insurance: unweighted and weighted provider share of partnerships

Credit unions offering travel insurance: provision rates and operating models

Credit unions offering travel insurance: unweighted and weighted provider share of partnerships

Friendly societies offering travel insurance: provision rates and operating models

Insurers (tied / multi-tied intermediaries) offering travel insurance: provision rates and operating models

Insurers (tied / multi-tied intermediaries) offering travel insurance: unweighted and weighted provider share of partnerships

Insurers (underwriters) offering travel insurance: provision rates and operating models

Insurers (underwriters) offering travel insurance: unweighted and weighted provider share of partnerships

Online aggregators and brokers offering travel insurance: provision rates and operating models

Online aggregators and brokers offering travel insurance: unweighted and weighted provider share of partnerships

Packaged accounts offering travel insurance: provision rates and operating models

Packaged accounts offering travel insurance: unweighted and weighted provider share of partnerships

Specialised lenders offering travel insurance: provision rates and operating models

5.0 COMMERCIAL PARTNERS

Airlines offering travel insurance: provision rates and operating models

Airlines offering travel insurance: unweighted and weighted provider share of partnerships

Automotive associations offering travel insurance: provision rates and operating models

Automotive associations offering travel insurance: unweighted and weighted provider share of partnerships

Automotive manufacturers offering travel insurance: provision rates and operating models

Coalition loyalty schemes and frequent flyer programs offering travel insurance: provision rates and operating models

Football and rugby clubs offering travel insurance: provision rates and operating models

Football and rugby clubs offering travel insurance: unweighted and weighted provider share of partnerships

Internet, media and telecoms entities offering travel insurance: provision rates and operating models

Internet, media and telecoms entities offering travel insurance: unweighted and weighted provider share of partnerships

Online price comparison providers offering travel insurance: provision rates and operating models

Online price comparison providers offering travel insurance: unweighted and weighted provider share of partnerships

Retailers offering travel insurance: provision rates and operating models

Retailers offering travel insurance: unweighted and weighted provider share of partnerships

Travel companies offering travel insurance: provision rates and operating models

Travel companies offering travel insurance: unweighted and weighted provider share of partnerships

View This Report »

Get Industry Insights. Simply.

  • Latest reports & slideshows with insights from top research analysts
  • 24 Million searchable statistics with tables, figures & datasets
  • More than 10,000 trusted sources
24/7 Customer Support

Talk to Ahmad

+1 718 618 4302

Purchase Reports From Reputable Market Research Publishers
Travel Insurance and Assistance in China

Travel Insurance and Assistance in China

  • $ 1592
  • Industry report
  • March 2016
  • by Finaccord

Finaccord’s report titled Travel Insurance and Assistance in China is about the current status and likely future development of the market for stand-alone travel insurance policies in China. It includes ...

Travel Insurance and Assistance in Australia

Travel Insurance and Assistance in Australia

  • $ 1592
  • Industry report
  • February 2016
  • by Finaccord

Finaccord’s report titled Travel Insurance and Assistance in Australia is about the current status and likely future development of the market for stand-alone travel insurance policies in Australia. ...

Travel Insurance and Assistance in New Zealand

Travel Insurance and Assistance in New Zealand

  • $ 1191
  • Industry report
  • February 2016
  • by Finaccord

Finaccord’s report titled Travel Insurance and Assistance in New Zealand is about the current status and likely future development of the market for stand-alone travel insurance policies in New Zealand. ...


ref:plp2015

Reportlinker.com © Copyright 2016. All rights reserved.

ReportLinker simplifies how Analysts and Decision Makers get industry data for their business.