Rise in business travel fuels airline growth
Created 7/13/2010

With the recession causing everyone to tighten their belts, one area in which companies looked to cut expenditures was corporate travel. However, as business begin to become profitable again, an increase in business travel is helping to spur the airline industry to forecast its first profit since before the recession.

The airline industry has struggled mightily due to a combination of rising oil prices and the economic downturn. However, at a recent meeting of industry executives, the International Air Transport Authority predicted that the airline would post a profit of $2.5 billion dollars this year, a rapid reversal of their early 2010 forecast of a $5.6 billion dollar loss.

The industry has a seen large growth in the sale of first class tickets, which analysts usually tie to business travel. As the industry caused corporations to cut spending in any way possible, many opted to book economy class tickets over first class. The return to luxury signals a possible resurgence for both the airlines and the economy as a whole.

Corporate travel planners have many options to consider in trying to save their company's money. One possible way to do so is to cut a deal on travel insurance by purchasing annual multi-trip packages. These packages cover multiple trips over the course of year, thus making them a great choice for businesses that travel frequently. In addition, the insurance protects the company from financial ruin by any possible disasters while traveling.

Related Products: Annual Multi-trip Products, Business Travel Insurance Products

Related Articles: Annual Multi-trip, Business Travel Insurance

View TravelInsuranceCenter.com News Archive