Certified Travel Agent Practice Test

What is one of the benefits of offering travel insurance for agents and agencies?

1. Increased customer confidence/loyalty

2. Decreased commissions

3. Increased travel booking fees

4. Reduced customer inquiries

The correct answer is: Increased customer confidence/loyalty

Offering travel insurance can significantly enhance customer confidence and loyalty, as it provides clients with peace of mind during their travels. When customers know they have coverage for potential disruptions, such as trip cancellations, medical emergencies, or lost luggage, they feel more secure about their travel plans. This assurance can lead to repeat business and referrals, as satisfied clients are likely to return to the agent or agency for future travel needs. In contrast, decreased commissions and increased travel booking fees would not foster customer trust; rather, they could create a perception of higher costs, potentially detracting from the customer experience. Similarly, while reduced customer inquiries could indicate that travel insurance effectively covers concerns, it does not directly contribute to building confidence and loyalty in the same impactful way that assurance of protection does.