Budget hotel chain Travelodge has announced a move into the insurance market, the first in a number of planned forays outside its core accommodation services.

Travelodge Travel Insurance, a joint web-based venture with insurance giant AIG, will cover international travel through both single trip and annual policies.  

The company vowed that the insurance prices will “undercut most other major brands”.

The insurance launch is the first major product push in its new online retailing strategy announced last month.  The budget chain has targeted additional revenue streams including tickets to attractions, third party tie-ups and retailing overnight necessities.  

Grant Hearn, chief executive of Travelodge, said: “We have one of the most powerful consumer brands in the UK and this step into the insurance market is designed to capitalise on that. 

“Travel insurance is a natural fit with our business and given that it is largely purchased online, our two million monthly website users can now purchase an insurance product with a brand they know and trust.”

Travelodge Travel Insurance is provided by AIG Europe and underwritten by New Hampshire Insurance Company and Landmark Insurance Company.

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By Daniel Thomas

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