By Yaёl Bizouati-Kennedy
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The survey finds that 55.6% of Americans who went on vacation last year chose to do so by car, and 43.8% of people surveyed are planning on driving for their first post-COVID vacation. While this is great for the car industry– and the business microcosm thriving around it, such as gas stations and car rental agencies– it’s not great news for the airline industry.
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This is reflected in the International Air Transport Association (IATA) updated projection of airline industry losses of $47.7 billion in 2021, up from the $38 billion it had projected in November 2020.
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“This crisis is longer and deeper than anyone could have expected. Losses will be reduced from 2020, but the pain of the crisis increases. Government imposed travel restrictions, however, continue to dampen the strong underlying demand for international travel. Despite an estimated 2.4 billion people travelling by air in 2021, airlines will burn through a further $81 billion of cash,” Willie Walsh, IATA’s director general, said in a statement.
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“When traveling by car, people interact with far fewer people than in airports or in planes. It is a form of social distancing; and the individual has control over their personal health measures,” Scott says.
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He adds that saving money on road trips is relatively easy; splitting costs with friends, carrying creative car meals, redeeming fuel points, and sticking to a strict budget are all ways of reducing costs.
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Another factor influencing vacationers to choose a car versus flying is that many airlines have been canceling flights due to staff shortage. For example, Southwest and American each canceled approximately 3% of their flights between July 1 and July 16, the highest among mainline carriers, according to data provided by FlightAware, Travel Weekly reports. Regarding departure delays, JetBlue had the highest percentage at 42%, followed by Southwest and Allegiant at 39%. And Spirit Airlines had to cancel hundreds of flights due to staffing shoratges, leading to airport mayhem.
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In terms of saving money on car trips, experts have a few tips.
Michael Robinson, security expert advises to be aware of your insurance status.
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“You’ll be asked to acquire insurance when you pick up a rental automobile. If you already have auto insurance for the vehicle you drive at home, you’re likely covered for car rentals as well,” he says. “Your credit card may provide automobile rental insurance even if you do not have auto insurance- be sure to confirm in advance. In either case, you must decline the car rental insurance policy for your current coverage to remain valid. Keep in mind that credit card insurance coverage doesn’t cover third-party liability, so you’ll need to buy it separately to be safe.”
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Another way to save money is to book your car rental as early as possible.
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Finally, another simple way to save money is to let your phone locate cheap gas stations, thanks to apps.
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“Rather, utilize your phone to locate a nearby station with reasonable rates. Apps like Gas Guru and GasBuddy can help you save money on each tankful of gas,” he says. Mellett adds to not forget to “wear disposable gloves so you don’t have to clean the nozzle or the car handle afterward, which can help you prevent getting sick and incurring medical bills.”
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