Up-to-the-Minute Travel Insights from Travel Guard

According to Survey: Americans Continue to Travel Despite Economic Concerns; Some Plan to Alter Travel Behavior to Save Money

Weak American Dollar Top Concern Among Travelers; Nearly One Third of Those Surveyed Would Use Tax Rebate for a Vacation

Stevens Point, WI – With concerns over the economy and a possible recession top of mind with Americans, a recent survey conducted on behalf of Travel Guard, one of the nation’s leading providers of travel insurance and assistance plans, found that Americans are still planning to travel in 2008, but may be altering their trips to cut costs.

A recent nationwide survey of over 300 American travelers who booked at least one leisure trip in 2007, conducted by RUF Strategic Solutions on behalf of Travel Guard, found that, in spite of the weak economy, 72 percent of those polled said that they are not cutting back on the amount of leisure trips they are taking in 2008. Furthermore, 53 percent of those surveyed are not planning to cut back on the quality or length of their trips this year.

While many American travelers are not cutting back on the amount of trips they plan to take, the survey did find that that 47 percent of travelers polled do plan to alter the quality of leisure trips they are planning for 2008 in an effort to save money. Twenty-two percent of those polled say they plan to eat at less expensive restaurants, followed by 17.2 percent who say they will travel closer to home. Sixteen percent of those polled say they will stay at a less expensive hotel than in the past, while over 10 percent state that they will give up staying at a hotel in favor of visiting friends or family.

“We are encouraged by the survey findings that Americans are continuing to travel even despite economic concerns, however, it is evident that travelers are being more cautious about how and where their money is being spent,” said Dan McGinnity, vice president of Travel Guard. “Travel insurance is an important resource for travelers in order to cover their financial investment in a vacation, especially now in a time when money is so top of mind.”

Furthermore, of those travelers polled, 75 percent stated that the weak American dollar/exchange rate is their greatest concern as it relates to their 2008 travel plans. However, when asked what impact the exchange rate has on their travel plans, 36 percent stated they plan to travel internationally the same as in past years. 29 percent of those polled are still planning international travel, but not to Europe; while 13 percent are considering “emerging” destinations, such as South America and Eastern Europe in an effort to save money. Only 25 percent of those polled plan to limit their travel plans to domestic destinations this year.
Ranking second to the exchange rate on the list of travel concerns for 2008 was the rising cost of fuel, however, 56 percent of those surveyed stated that rising gas prices will not have an impact on their travel behavior. Twenty-six percent stated that if prices continue to rise they will consider taking fewer vacations. Only 3.6 percent said they would stop traveling altogether.

If Americans receive the much talked about tax rebate this year, 30 percent of those polled stated they will use it to pay for a vacation this year or in the future, illustrating that travel and leisure is still top of mind for many Americans, even despite the current state of the economy.

A typical travel insurance plan, like those sold through Travel Guard, costs between five to eight percent of the total trip cost, but can save travelers up to thousands of dollars should they need to cancel for
a covered reason. For more information, travelers can visit www.TravelGuard.com.

Travel Beat is a new survey offering the latest traveler insights conducted by Ruf Strategic solutions on behalf of Travel Guard.

About Travel Guard
Travel Guard is one of America's leading providers of travel insurance plans for more than 6 million travelers each year. Travel insurance plans through Travel Guard are distributed by more than 12,000 travel agents across the United States.

Insurance is underwritten by National Union Fire Insurance Company of Pittsburgh, Pa., with its principal place of business in New York, NY. The Policy will contain reductions, limitations, exclusions and termination provisions. All coverages may not be available in all states.

About Ruf Strategic Solutions
Ruf Strategic Solutions delivers a full suite of marketing intelligence solutions to help organizations acquire new customers, retain existing customers and develop one-to-one relationships to maximize profitability. Founded in 1976, Ruf Strategic Solutions helps organizations maximize the return on their marketing investment through superior customer intelligence. Ruf’s unique ability to integrate vast arrays of data, technology tools and 30 years of expertise, empowers organizations with truly actionable and measurable intelligence. Through Customer Relationship Marketing (CRM), Ruf’s clients are able to use consumer insight to reach their target audiences through multi-channel marketing. Ruf currently services many market leaders in a variety of industries. For more information, visit www.ruf.com.