Southern Cross Travel Insurance (SCTI) has revealed some of its most interesting and expensive domestic travel claims made by Aussie travellers in 2025. Claims on the list serve as a poignant reminder about the importance of purchasing travel insurance, even if you are only travelling locally or interstate with claims ranging from run-ins with animals to unexpected illnesses resulting in costly trip cancellations.  

By far the most unusual claim was for a customer travelling in the Northern Territory who had an unfortunate run-in with a buffalo. While driving home from a tour, the animal ran into the side of the rental car resulting in significant damage to the vehicle. This claim paid out $4,506 for rental vehicle excess.

In 2025 (1 January - 15 September 2025) SCTI has paid out over $240,000 in domestic travel insurance claims to Aussies including:

• $30,500 for a family of four who had to cancel their trip on the Indian Pacific Train, a 3-day Margaret River cruise and a visit to Rottnest Island due to a severe bout of gastro illness. 
• $22,000 for a couple who needed to cancel their interstate trip when their granddaughter became extremely ill. As they were unable to travel, they had to cancel flights and pre-booked tours, which were non-refundable. 
• $6,000 for a couple who had to cancel their trip before they departed because one of them broke their toe and was unable to walk properly for at least four weeks. As they were booked on a tour to the Kimberley region, which required a lot of walking, they had to cancel their trip.
• $8,500 for a traveller who had to cancel an outback expedition tour due to the sudden onset of a severe illness.

In SCTI's Future of Travel report, released in February, 76% of Aussies claimed that travel insurance is a high priority when booking an international holiday, however, only 41% felt the same when it came to booking a domestic getaway. This sentiment is also reflected in data from SCTI which revealed that domestic policy purchases account for only 2% of policy sales for domestic travel in 2025. 

Of these domestic claims SCTI has paid out:

• Over $211,300 for changes to journeys and cancellations
• Almost $11,000 for claims relating to baggage and personal items
• Over $10,000 for rental vehicle excesses
• More than $6,700 for a personal accident
• Over $700 for pet services

SCTI Chief Customer Officer, Jess Strange, said these unexpected and costly claims really highlight the need for travel insurance, even when travelling domestically. 

"Many Aussies believe that domestic travel insurance is an unnecessary expense, especially as most medical situations are covered under Medicare. However, while Medicare may cover medical costs, they will not cover the costs of cancelled flights, accommodation or pre-paid tours,” said Ms Strange.

“Comparing the average claim paid for our domestic customers with international examples reveals a surprising result. The average domestic claim made in 2025 stands at $2,376, while for our International Comprehensive cover, the average customer claim paid comes in at $1,872!

“Given the high costs of domestic flights, accommodation and tours in Australia, the loss of these bookings can leave domestic travellers with a significant financial loss. With the cost of travel not showing any signs of reducing, it's often just not worth taking the risk, to end up hundreds or even thousands of dollars out of pocket, even when travelling domestically.”  

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About Southern Cross ​​Travel Insurance 

Southern Cross Travel Insurance (SCTI) has over 40 years of experience supporting more than six million travellers worldwide.  
 
SCTI first launched in New Zealand in 1982, before beginning to partner with Australians in 2009. Since then, the insurer has been trusted by over 6 million travellers worldwide+, which includes providing peace of mind to 1.5 million Aussies.  
SCTI is proud to have won multiple awards for providing customers with great value and outstanding customer service, including: 

• International Travel & Health Insurance Journal Award 

Finalist – International Travel & Health Insurer of the Year 2024, 2023 

Winner – International Travel & Health insurer of the Year 2022 

• ProductReview.com.au Award 

Travel Insurance Award Winner – 2017-2020, 2023-2025

• Canstar Star Rating Awards 

Outstanding Value for Travel Insurance – International – 2017, 2022, 2024

Outstanding Value for Travel Insurance – Seniors 2022-2024 

Outstanding Value for Travel Insurance – Domestic 2022-2024

• Finder Travel Insurance Customer Satisfaction Awards 

Highly Commended for Value – 2025, 

Highly Commended for Loved Brand, 

Trusted Brand and Quality Service – 2024

• Finder Awards 

Best Travel Insurance Comprehensive 2023-2025 

Best Travel Insurance Seniors – 2023

Best Travel Insurance Value (Highly Commended) – 2023

• Mozo Experts Choice Awards 

Exceptional Value Medical Only Travel Insurance – 2024

Exceptional Value Annual Multi-Trip Travel Insurance – 2022 & 2024

Exceptional Value Comprehensive Travel Insurance – 2018

Exceptional Value Cruise Travel Insurance – 2018

• Australian Insurance Industry Awards 

Finalists for General Insurance Claims Team of the Year – 2022

• Sitecore Experience Award 

Honourable Mention – Digital Experience Transformation 2021 

• Mumbrella Travel Awards 

Finalists for Travel Marketing Team of the Year – 2022

+Based upon the total number of travellers we have insured across the markets where we operate for all our travel insurance products from January 1995 to June 2024. 

If you have any further queries, please contact: 
Yvette Schlegelmilch – 0423 954 224 

yvette@sedgwickcommunications.com

OR   

Laura Sedgwick - 0451 041 705 

laura@sedgwickcommunications.com