Australians are becoming less likely to visit the United States, a new report shows.
New research from
Southern Cross Travel Insurance (SCTI) reveals that more than half of Aussies (51%) are now less inclined to visit the US as they become increasingly selective about where they holiday overseas.
Political stability, cost, and safety are playing important roles in destination decision-making, the Australian Traveller Trends And Insights 2026 report shows.
The data shows more than three in 10 Australians (35%) say there are destinations they are less likely to visit in the next few years.
Leading the list is the US, followed by the Middle East (36%, although that might rise following weekend events) and China (28%).
Even traditionally popular holiday destinations, like Indonesia are not immune, with two in 10 Australians saying they are less likely to visit, instead turning to other destinations.
When asked what the biggest deterrents were for avoiding certain destinations, nearly two thirds (63%) cited politics as their main reason. Crime (42%), high costs and health risks (both 32%) and negative word-of-mouth from other travellers (30%) were other common reasons.
When choosing where to travel next, cost (66%) remains the most prominent factor influencing their decision, followed by the political situation of a destination (48%) and reliable, stable weather (44%).
Despite the increase in concerns around overseas travel, culture continues to inspire Aussie wanderlust.
Music is the most common way Australians become interested in another country's culture (58%), followed by TV shows (51%), art (49%) and movies (43%).
The cost-of-living crisis is another factor that continues to influence how Australians travel.
Two in three Australians (62%) planning an overseas trip say rising living costs have impacted their plans. To save money, half are avoiding peak travel seasons, while others are opting for low-cost airlines or cheaper airfares (31%) and cutting back on dining and entertainment spend while on holiday (28%).
An amazing 14% of Aussies admitted to travelling overseas without travel insurance in 2025 - a trend more prevalent among younger travellers, with 19% of 18-29 year olds travelling internationally without any insurance cover.
“We're seeing Australians make smart trade-offs to manage rising living costs, while still making the most of their holidays," says Jess Strange, Chief Customer Officer at SCTI.
"But skipping travel insurance shouldn't be one of them. Medical care, travel cancellations and disruptions can be incredibly costly, and travel insurance remains an useful safeguard for travellers no matter how big or small your trip is.
”Medical issues and simple trips or falls are some of the most common and costly claims we see overseas.
"What might be a minor incident at home can quickly turn into thousands of dollars in medical bills abroad, particularly in countries like Japan."
Topping the list of destinations that Aussies most want to visit in the next 12 months is Japan (31%),
Europe (27%), New Zealand (22%) and the US (19%) (even though there is a drop off in enthusiasm).