Summer travel is heating up, with 70% of Americans saying they plan to vacation this season. New data from Squaremouth reveals key insights into where travelers are going and the trends that will shape this summer travel season.

Squaremouth analyzed data from thousands of travel insurance policies purchased for trips this summer, revealing key destinations, traveler sentiment, and more.

Travelers Increasingly Opting to Stay Closer to Home

Travel within the United States and to nearby destinations has gained momentum this summer, with travelers increasingly opting to stay closer to home this summer.

The United States remains the most popular destination for travelers this summer, and Canada has risen to the second spot, climbing two places from last year and overtaking Italy.

Mexico also gained popularity, moving up two spots to rank sixth among the top international destinations.

Travel to the Bahamas has increased by 8% year-over-year, as the Caribbean destination has broken into the top 10 most popular destinations.

Top 10 Summer Destinations for 2025

Other Trending Destinations: Portugal, Israel and France 

While many travelers opt to stay closer to home, other global destinations are emerging as hotspots this summer.

• Portugal: Portugal continues its upward trajectory as one of the most popular summer destinations, with a 10% growth over last year.
• Israel: Israel is the fastest-growing summer destination this year, with a 23% year-over-year increase, driven by the resumption of airline routes and renewed coverage from insurance providers, reflecting improved safety conditions there.
• France: France has gained momentum over last year, with an 8% increase in travelers over last summer, likely driven by those looking to visit now that the Olympic crowds have dispersed.