18 January 2012

Nationwide research1 has shown that almost a third of people (30%) will be spending less on their holiday this year because of the economic climate. Although money has become tighter for a lot of families, recent figures have shown that a quarter of people feel that taking at least one holiday a year is an essential expense2, with some willing to make cutbacks on other spending to fund their holiday.

22% of those surveyed3 will be holidaying in the UK, while around a quarter (26%) of people surveyed will be holidaying in Europe. Only 14% of respondents said they would be looking to visit a long haul destination.

And, given the events such as the Icelandic ash cloud, severe weather conditions and the collapse of tour operators over recent years, this has left travellers with an increased desire for protection. Figures show that six in ten people now research the price of their holiday more thoroughly since the recession, but while they are looking to save money they are not willing to compromise on their travel insurance4.

With Nationwide's no monthly fee current account, eligible customers can get free comprehensive Annual European travel insurance5 (including travel in the UK) along with other holiday related benefits, :

  • Lowest foreign usage charges on the high street for both cash withdrawals and for retail spending
  • Commission free purchases abroad with the Select Credit Card6
  • Exclusive access to savings on top brands such as Lastminute.com with our Simply Rewards programme7

Graham Pilkington, Nationwide's director of banking, said: "Family finances remain tight, but people want something to look forward to. An annual holiday remains important for many, but keeping costs down has become a priority.

"Nationwide's FlexAccount is the only current account on the market offering free European travel insurance without charging customers a monthly fee for the account.

"Account holders also benefit from a range of savings on top brands through our Simply Rewards programme, highlighting the Society's commitment to being on your side."

Notes to editors:

1Information provided by YouGov Plc on behalf of Nationwide Building Society. 2,041 adults were questioned between 5th and 9th January 2012. The survey was carried out online. The figures have been weighted and are representative of all GB adults (aged 18+).

2Figures from Mintel Travel Report August 2011.

3Information provided by YouGov Plc on behalf of Nationwide Building Society. 2,041 adults were questioned between 5th and 9th January 2012.

4Figures from Mintel Travel Report August 2011.

5In order to qualify for free Nationwide FlexAccount Travel Cover you must hold a Visa debit card (not cash card+) and complete a transfer of all of your Direct Debits and standing orders from an account with another bank or building society to your FlexAccount using our Account Transfer service. To qualify for cover you must be aged 73 or under at the point your account transfer is complete. Cover will be reviewed once a year.

How our free travel insurance compares to paid for insurance:

Provider

Nationwide

AA

Barclays

Halifax

Lloyds TSB

MORE TH>N

Post Office
Ltd

Sainsbury's
Finance

Santander

Tesco Bank

Thomas cook

Product

Free European Cover

Annual Travel Insurance

Annual - Travel Essentials

Multi Trip Travel Insurance

Annual Multi-Trip Travel Insurance

Annual - Economy

Classic Annual Multi Trip

Annual Standard Travel Insurance

Annual

Standard Annual Multi-trip (Internet)

Annual - Traveller

Medical
Expenses (£m)

10

10

1

10

5

10

10

10

Unlimited

5

5

Legal
Expenses (£)

50,000

50,000

10,000

25,000

25,000

15,000

25,000

25,000

25,000

25,000

30,000

Personal
Liability (£m)

2

2

1

2

2

2

2

2

2

2

2

Cancellation/
Curtailment (£)

5,000

5,000

500

5,000

3,000

750

5,000

5,000

5,000

4,000

5,000

Missed
Departure (£)

1,000

500

500

1,000

1,000

250

1,000

1,000

500

600

750

Delay - First
12 Hours (£)

250

30

15

30

25

20

20

30

52

20

20

Money - Cash (£)

250

300

100

300

150

200

250

300

300

200

300

Cash Advance (£)

500

-

-

-

-

-

-

-

250

-

-

Baggage - Delay (£)

250

200

100

200

100

100

250

200

100

150

200

Loss of
Passport (£)

500

250

n/a

600

300

n/a

250

600

300

250

600

Source: Competitor websites 13.01.2012

6Select credit card is only available to main FlexAccount holders with a Visa debit card who either pay in £750 or more each month (excluding internal transfers), or agree to complete an Account Transfer from an account (non Nationwide) using our Account Transfer Service or have done so in the past four months.

7All Nationwide debit and credit card holder's get exclusive access to savings on top brands. Terms and conditions apply, visit your.nationwide.co.uk/simply-rewards for details.


  • Nationwide's is a Which? recommended provider for current accounts.
  • Applications are required for all products. Further details of terms and conditions are available on request.

About Nationwide Building Society

Nationwide is the world's largest building society as well as the second largest savings provider and a top-three provider of mortgages in the UK. It is also a major provider of current accounts, credit cards and personal loans. Nationwide has around 15 million members.

Since the credit crunch began in 2007, Nationwide has remained profitable against a very difficult economic environment. In the half year ending September 2011 Nationwide made a strong underlying profit of £172 million - up 17% from the previous year. Its strong financial performance and prudent business model means that Nationwide is included in Global Finance magazine's Top 50 Safest Banks in the World.

Nationwide has around 700 branches and customers can manage their finances in branch, on the telephone, internet and post. The Society has around 16,000 employees. Nationwide's head office is in Swindon with administration centres based in Northampton, Bournemouth and Dunfermline. The Society also has a number of call centres across the UK.

Please note: If you are a customer looking for information on our products and services, please visit the main website.