Ongoing travel disruptions across Europe and beyond are reshaping how travelers approach booking risk, with refund protection emerging as a key ancillary revenue stream for airlines, tour operators, and travel agencies. Protect Group, a Copenhagen-based provider of ancillary travel products, reports that conversions for its flagship Refund Protect product have nearly doubled among its partner network, climbing from 14% to 27% during the peak summer season.
The surge is most pronounced in the United Kingdom, where Refund Protect conversions in the travel and transport sector rose 56% year-on-year, even as overall adoption across UK partners dipped slightly. France also recorded a 26% increase in conversions, signaling sustained demand for flexible booking options across continental Europe. These figures suggest that travelers are not abandoning their trips but are instead seeking to mitigate the financial fallout of potential cancellations or delays.
Behavioral shift toward risk management
Stephen Joyce, Global Strategy Lead – Travel & Tours at Protect Group, attributes the trend to a more deliberate approach to travel planning. “Travellers are becoming more intentional about managing travel risk. Rather than changing their plans altogether, more people are choosing to protect the parts of their journey where disruption could have the greatest financial impact,” he said. This shift, he added, reflects a structural change in traveler behavior driven by increasing travel complexity and a volatile global outlook.
Refund Protect, which offers a 100% refund of the booking value, is designed to address this demand by providing a safety net that enhances consumer confidence. For travel sellers, the product represents a high-margin ancillary that can improve customer satisfaction and loyalty, particularly in an environment where disruptions—from air traffic control strikes to extreme weather—remain frequent.
The trend aligns with broader industry moves toward flexibility. Airlines such as Thai Airways and Scoot have expanded refundable fare options, while hotel groups like Millennium Hotels are promoting direct booking perks that include more lenient cancellation policies. Meanwhile, AI-driven risk monitoring is being embedded in travel apps to help travelers anticipate disruptions before they occur.
Joyce emphasized that refund protection is no longer a niche add-on but an integral part of the booking process. “We’re seeing a permanent shift in how travelers evaluate risk,” he said. “The days of non-refundable bookings without a safety net are fading, especially for high-value itineraries.”
For travel professionals, the data underscores the importance of offering robust protection products at the point of sale. As uncertainty persists—whether from geopolitical tensions, labor disputes, or climate-related events—the adoption of refund protection is expected to continue growing, providing travelers with the flexibility and reassurance they seek when making travel arrangements.
