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Thailand Plans Tourist Levy With Insurance

Tourism minister links new fee for foreign visitors to automatic coverage as recovery to 2019 levels is pushed back four years

BANGKOK, THAILAND – Thailand’s tourism minister announced plans for a new fee on foreign visitors tied to automatic insurance, as the government warned that revenue from international tourism might not return to 2019 levels for at least four years.

New push for a tourist levy

Thailand had, since 2023, already seen its sixth minister for Tourism and Sports, and the current office holder again signaled an intention to introduce a levy on foreign arrivals.

The measure had been discussed in different forms for years but had never been implemented.

Levy to include automatic insurance

Surasak Phanjaroenworakul said the planned charge would include automatic insurance coverage for foreign tourists.

This approach differed from recent reports that suggested insurance could be made mandatory for all visitors in general or required already at the visa application stage.

Why earlier plans failed

Similar proposals had circulated, according to reports, at least since 2015, meaning for more than a decade, without ever being put into effect.

The closest attempt came in the late phase of General Prayut Chan-o-cha’s government but collapsed when airlines refused to collect the fee.

Four years to recover – and a setback for 2026

The minister said on Monday it would take at least four years for revenue from inbound tourism to return to the level seen in 2019.

Weaker prospects were the backdrop: forecasts indicated that figures in the second quarter of 2026 were expected to be 9.4% below those of 2025.

Strategy shift: from volume to revenue

Prime Minister Anutin Charnvirakul told parliament the government would no longer focus on achieving the highest possible number of visitors.

Instead, strategy was to be directed more towards revenue, after Thailand had long concentrated on growth in arrival numbers.

Forecasts: 30 million arrivals still below pre-crisis

For 2026, projections pointed to around 30 million arrivals in total, which would be 9.4% below the 33 million recorded in 2019.

Some analysts considered even 28 million arrivals more realistic, which would correspond to a decline of about 15%.

Market shifts and more expensive travel conditions

While the government emphasized “high-value” tourism, trends in the report showed a strong dependence on short-haul markets, especially China and Malaysia.

At the same time, arrivals from the Middle East had fallen by more than 33%, and long-haul travel from Europe had eased, partly due to the Middle East conflict, rising oil prices and higher flight costs.

Higher costs, fewer flights – and growing local criticism

From several markets, flight volumes had declined by more than 10%, indicating weaker demand and higher operating costs.

In addition, Thailand was becoming more expensive as a destination: airport charges were set to rise in May by 53% to 430 baht per passenger, while discontent on social media over the behavior of some tourists – for example in Phuket – was becoming more visible.

Accidents, treatment costs and calls for protection

Reports about accidents and deaths involving tourists repeatedly spread, also highlighting financial problems faced by affected families.

High treatment costs and expensive repatriations regularly drew attention in local and international media, a context in which the planned insurance component gained political significance.

Changing visa rules complicate planning

Visa policy had been in flux in recent years and was repeatedly adjusted.

A more open course under former prime minister Srettha Thavisin was now being reversed, which, according to the report, created uncertainty for travelers and the tourism industry.

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