Coronavirus (COVID-19) and Travel Insurance

Did you know that most travel insurance plans will not cover cancellations due to fear of contracting coronavirus or COVID-19? Most insurance plans only cover “unforseen” situations, and any travel purchased the end of February through the present would fall under a “foreseen” circumstance. Here’s some frequently asked questions about traveling with coronavirus and your travel insurance policy. You can and might have “Cancel For Any Reason” insurance, in which case a portion of your travel should be covered.

Am I covered if I have Cancel for Any Reason coverage?

If you purchased Cancel for Any Reason (CFAR) coverage, you could be covered for a percentage of the loss, depending on the level of CFAR coverage purchased, and provided the trip is cancelled more than 48 hours prior to the scheduled departure date.

Can I purchase a policy with CFAR coverage?

CFAR coverage is only available at the time a plan is purchased and must be within 15 days of your initial trip deposit.  As a result, if you have an existing insurance policy, you are not eligible to add on CFAR coverage.

I want to cancel my travel plans because I’m afraid to travel due to the Coronavirus. Am I covered?

Trip cancellation for concern or fear of travel associated with sickness, epidemic or pandemic, including Coronavirus, is not covered.

If the cancellation of your trip is not covered, you may be eligible for an insurance premium refund or a travel insurance voucher.

I have booked a trip to an area affected by Coronavirus in the near future. Will I be able to cancel my trip and be reimbursed?

It depends on the reason for cancellation.  If you need to cancel your travel plans, please consult the “Unforeseen Covered Reasons” portion of your insurance policy to see a list of reasons for Trip Cancellation and Trip Interruption that may be covered, along with General Exclusions of coverage.  You are encouraged to file a claim if one of the covered reasons could possibly apply to your situation as you may be eligible to be reimbursed for your unused, non-refundable, pre-paid trip costs if you need to cancel your trip.   Please be specific about why you cancelled, as coverage depends on the exact reason for cancellation.

If the cancellation of your trip is not covered, you may be eligible for an insurance premium refund or a travel insurance voucher, especially if your policy is with AIG/TravelGuard.

I have upcoming travel.  Will I be able to cancel my trip and be reimbursed?

It depends on the reason for cancellation.  If you need to cancel your travel plans, please consult the “Unforeseen Covered Reasons” portion of your insurance policy to see a list of reasons for Trip Cancellation and Trip Interruption that may be covered, along with General Exclusions of coverage.  You are encouraged to file a claim if one of the covered reasons could possibly apply to your situation as you may be eligible to be reimbursed for your unused, non-refundable, pre-paid trip costs if you need to cancel your trip.   Please be specific about why you cancelled, as coverage depends on the exact reason for cancellation.

If the cancellation of your trip is not covered, you may be eligible for an insurance premium refund or a travel insurance voucher.   For more information on refunds and vouchers, see the question below regarding “Can I cancel my insurance and get my premium refunded?”

Coronavirus

If the flight to or from your destination is cancelled due to Coronavirus, there would be no coverage under the insurance policy for the canceled flight itself.  However, we suggest you contact the airline to seek a refund for your flight.  Should you have other unused, non-refundable, pre-paid trip costs, consult the “Unforeseen Covered Reasons” portion of your insurance policy.  You are encouraged to file a claim if one of the covered reasons could possibly apply to your situation.

Am I covered if I contract Coronavirus?

If you contract Coronavirus prior to your departure, you would be covered for Trip Cancellation if there is a confirmed diagnosis, including proof of illness from your doctor that states you are medically unable to travel at the time of departure. If you become ill with Coronavirus while on a covered trip, you would be covered for Medical Expense and Trip Interruption/Curtailment benefits if there is a confirmed diagnosis, including proof of illness from a doctor.

What happens if I am quarantined due to Coronavirus while on a trip?

If you are quarantined as a result of Coronavirus, you would be covered under the Trip Interruption/Curtailment benefit, subject to the terms and conditions of your insurance policy.

Many airlines and cruise lines are letting me change dates of travel, if I rebook my covered trip for later in the year, can I apply the travel insurance premium from my original trip to the rebooked trip?

You may modify your insurance policy and apply the entire premium paid to a new booked trip.  Your new premium will be calculated based on the details of your rebooked trip.  If the new premium is greater than your original premium, there will be additional premium charged.  If the new premium is less than your original premium, no amount of the original premium will be refunded.

Can I cancel my insurance and get my premium refunded?

You are eligible for a refund of your premium under the following conditions:

1. You have not started your trip, and
2. You have not filed a claim.