Backpackers dodging recession could buy online travel insurance

Backpackers choosing to dodge the recession by taking a trip overseas could first buy cheap travel insurance.

The Cairns Post reports that more backpackers are planning trips to Australia due to the shortage of graduate jobs in the UK caused by the recession.

Cairns is expected to suffer a reduction in the number of some tourist demographics, but an increase in budget travellers could help make up for this. Many of these visitors may have bought gap year travel insurance.

Sarah Lawson, a 22-year-old British backpacker visiting Cairns, told the paper: "I just finished uni and found it hard to get a job in the UK so it seemed the right time to go travelling and see the world."

Steve Brady, sales and marketing manager for Pro Dive and a member of Backpacking Queensland, said that many British people are planning to travel for a year or so in the hope of returning to a recovering UK economy.

Cairns has a reputation as a youth-oriented party town and offers access to the Great Barrier Reef.

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