A new TD Insurance study conducted by Leger has found that while the majority of Canadians – 65% -- are planning a trip in the near future, only 36% of those planning to travel intend to purchase both medical and cancellation travel insurance.

Among Canadians overall, 54% say they have the financial means to cover some out-of-pocket expenses, but most would only be able to cover less than $5,000. Three-in-ten Canadians responded that they wouldn't be able to cover any out-of-pocket expenses above $300 should something unexpected happen.

The TD Insurance survey found most Canadians may not be prioritizing insurance in their travel plans. Among those likely to travel in the next year, Canadians between 18 and 34 appear least likely to purchase travel insurance with only 27% saying they intend to buy cancellation and travel medical coverage, compared to 39% of those over the age of 35. Three-in-ten (29%) of Canadians aged 18-34 believe that travelling with insurance isn't necessary.

"From unexpected medical emergencies to cancelled flights, even the best-laid travel plans can go awry. Travel medical or trip cancellation coverage can help protect you and your family from unforeseen, and often costly, expenses when you're away," said Kamana Tripathi, Associate Vice President of Travel Insurance.

Despite the protection travel insurance could provide, the survey suggests that many Canadians are underestimating the potential costs of being unprotected when they could be travelling with confidence.

Why aren't Canadians purchasing insurance? A third of Canadians who will not be purchasing insurance for their upcoming trip say they believe that travel insurance is too expensive (cited by 33% of those who won't purchase medical travel insurance and 35 per cent of those who won't purchase cancellation travel insurance).

"The cost of medical bills or expenses incurred as a result of travel interruptions or cancellations can outweigh the cost of travel insurance," said Kamana.

"Customers have options when it comes to travel coverage and can select a plan that best fits their personal needs. With so many Canadians eager to travel again, it's important they do their research to understand what they are covered for if the unexpected happens, either before or while they are away.”