SYDNEY, August 26, 2026: Australian consumers want embedded protection built into the platforms they already trust, and 3 in 4 (75%) are willing to even switch travel booking platforms if it’s automatically included with their purchase. However, when it comes to relying on AI or third-party marketplace apps for protection, Australians remain hesitant. These are some of the primary takeaways of new consumer research from Cover Genius, the global infrastructure for embedded protection, which surveyed more than 860 consumers across Australia, the US, and the UK on how they buy, understand, and value protection.
While 87% of Australians weigh potential risks when booking travel or making major purchases, they are hesitant to buy protection from modern platforms. On one hand, appetite for protection offered at checkout is high: 75% of Australians would switch to a travel platform that has protection automatically included in their purchase, and 76% are more likely to buy protection if it pays out automatically without a claim. On the other hand, hesitation around non-traditional purchasing channels remains. Just 8% of Australians have bought protection through a marketplace app (compared to 21% in the US and 12% in the UK), and only 4% of Australians trust AI to handle protection decisions. Instead, Australians place their trust in established entities to provide coverage, led by their bank or credit card provider (39%), the platform they book through (24%), and from dedicated insurers (24%).
“Australian consumers are highly risk-conscious, but their buying habits are still catching up to modern channels,” says Angus McDonald, CEO and Co-Founder of Cover Genius. “While uptake in marketplace apps and AI tools is still in its early stages in Australia compared to markets like the US, the appetite for embedded coverage is undeniable.”
“Automation and native integration are the single largest levers for growth in embedded protection,” added McDonald. “When cover is integrated seamlessly at checkout and claims are resolved quickly, protection stops being a reluctant add-on. It becomes a standout benefit, and a primary reason customers stay loyal to your platform.”
Other key findings include:
- Emergency Medical Leads Demand: Emergency medical coverage while travelling is the highest-rated protection product in Australia, with 80% rating it highly (4 or 5 out of 5), ahead of the UK (77%) and the US (66%). Cyber identity theft protection (72%) and trip cancellation/interruption (70%) follow closely behind among Australian respondents.
- AI Limits: Consumer openness to AI-driven purchasing decisions remains low. Over a quarter of Australians (26%) say they would not allow AI to make a purchase for them, and one in five (20%) say they would not share personal details with any AI. The most popular way for AI to handle protection for Australians is “suggest it and let me decide” (39%), compared to just 3% who want AI to handle it automatically without asking.
- A Significant Card Benefit Gap: Many Australians fail to utilise existing coverage, with only 30% ever successfully using a card protection feature. In addition, 27% don’t know what their primary card covers at all, while 46% are unaware of, do not trust, or fail to consider their card’s included benefits.
- Drivers for Bank-Purchased Protection: When asked what would make bank-purchased protection appealing, Australians prioritized clear explanations of what is covered (54%) and a seamless banking app experience (48%) over competitive pricing (44%).
- The Embedded Switching Opportunity for Travel: While 41% of Australians buy protection from standalone insurers, 75% say they would be more likely to book through an online travel platform if protection were included automatically, signaling a significant opportunity for platforms to gain market share.
Notes to editors
About the research: Findings are drawn from Cover Genius’s Embedded Protection Consumer Survey, which was a structured survey of 1,392 consumers conducted in March and April 2026 across seven countries and four generations. The geographical data examined for these findings includes a cross section of three markets from the study: Australia (n=225), the United States (n=482), and the United Kingdom (n=155). Participants completed 23 core questions covering risk awareness, protection preferences, purchase behavior, and attitudes toward emerging embedded protection delivery models. To qualify, respondents had to have engaged in at least one qualifying financial or travel activity in the prior 12 months and previously been offered a protection or insurance product. The research was conducted in partnership with Gather, an independent third party research and content provider.
Percentages are of respondents within each market; multi-select questions sum to more than 100%. As the Australian sample is modest (n=225), figures should be read as directional. Findings can be found here. By request, we can share all of the regional data included in the core data set.
About Cover Genius
Cover Genius is the global infrastructure for embedded protection. Active in over 60 countries and all 50 US States, it protects the customers of the world’s largest digital companies, including Klarna, Revolut, Stripe, Priceline, Agoda, Booking.com, Turkish Airlines, Tongcheng Travel, eBay, and Uber, with seamless, end-to-end experiences. Cover Genius has protected more than 70M customers globally across 240M policies with USD $3.2BN in gross written sales. For more information, visit covergenius.com.
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