Worldwide travel insurance customers are looking for quality rather than quantity from their breaks.
A spokeswoman for Thomson and First Choice said that many people are unwilling to forego their annual getaway.
She said that consumers may take slightly shorter holidays in order to maintain the level of quality in their trip abroad.
The representative also stated that people are willing to cut treats from elsewhere if it means being able to go on holiday.
She explained: "Our own research shows that consumers would rather forfeit other 'luxuries' in their life during the current economic downturn than forego their annual holiday abroad.
"Whatever people are giving up - be it moving house, or a new car - they are not giving up their summer holiday."
A recent study by Thomson and First Choice showed that 80 per cent of respondents expected to have a trip away next year, despite the economic downturn.
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