Cancel For Any Reason (CFAR) is a specific type of travel insurance coverage which offers travelers the opportunity to change their plans for reasons other than those that are listed as “covered reasons” on their travel insurance policies. While most travel insurance policies will provide benefits only if you cancel your trip for a reason that’s listed in your policy details, CFAR allows you to bypass that list, giving you greater flexibility and freedom of choice when you’re making important decisions about following through with your travel plans. This highly desirable benefit is usually offered as part of a Comprehensive Plan, but may only be available if you meet certain criteria; typically, you’ll be required to purchase your travel insurance policy within a specified time frame (usually within 7-14 days of making your initial trip payment) in order to be eligible for CFAR.
Important things to note when you’re researching CFAR include:
Often, travel insurance policies offering CFAR set parameters around when the CFAR period ends and how you need to go about exercising your benefits if you do end up filing a claim. Many CFAR policies mandate that, in order to cancel your trip for a reason that’s not listed in your policy, you must cancel your plans AND notify any and all travel suppliers at least 48 hours prior to your scheduled departure. Beyond that 48-hour window, any cancellation you make must be made for a stated “covered reason” under your policy details.
In addition to the purchasing window referenced above, there may be additional requirements stated by the insurance company for those interested in buying a CFAR policy. Be sure to thoroughly read and understand any and all terms before you make your purchase. Often, insurance companies will require CFAR purchasers to insure the entire dollar amount of their travels in order to receive the coverage, which is not usually a requirement of other travel insurance plans. It’s crucial to know these types of requirements up front, before you make your purchase, so that you can be sure you’re securing the benefits you want.