InsureMyTrip Urges Domestic Travelers To Consider "Cancel For Any Reason" Coverage

Last updated on 08/28/2020

WARWICK, R.I., June 18, 2020 -- InsureMyTrip recommends that summer travelers consider "cancel for any reason" travel insurance coverage. This specific coverage guards against covid-19 related travel concerns as well as storm threats this hurricane season.

"As travel restrictions wane, travelers want maximum flexibility when it comes to trip cancellations," says InsureMyTrip Director of Marketing & eCommerce Cheryl Golden. "We highly recommend that all travelers — including those booking domestic trips — consider the cancel for any reason upgrade."

How Cancel For Any Reason Travel Insurance Works

Example: A traveler is having second thoughts about going on vacation, after a new hot spot for covid-19 emerges. Her family vacation costs $4,000.

Q: Can she back out of the trip and still get her money back? The traveler has travel insurance that includes a cancel for any reason benefit.

A: Yes, if the traveler met all requirements and submitted the proper paperwork, she can expect to be reimbursed 50-75 percent of the non-refundable trip cost (the exact amount depends on the plan).

Example: A traveler wants to cancel his tropical vacation, after a hurricane caused some mild damage to the area. He no longer wants to go.

Q: Can he back out of the trip and still get his money back? He paid over $2,500 for a flight, hotel stay, and excursion. This traveler has standard trip cancellation coverage. No cancel for any reason coverage.

A: No. Standard trip cancellation wouldn't apply. His resort was still open and flights were running as scheduled. The only opportunity to cancel a trip for reasons other than those listed as "covered reasons" on a policy is cancel for any reason coverage.

Here's some other important considerations when considering cancel for any reason coverage:

  • It's usually optional. Think of it as an upgrade to a standard comprehensive travel insurance plan.
  • Entire trip must be insured. That means the traveler must add up all prepaid, non-refundable trip expenses and provide an accurate trip cost.
  • Yes, you'll pay more. Generally, plans that include a cancel for any reason benefit do tend to cost more. It may run an additional 40-60 percent more than a standard plan.
  • You still must file a claim. Any time reimbursement is requested from a travel insurance company, paperwork must be filed.
  • Procrastinators miss out. That's because travelers must purchase this coverage within 14-21 days of making an initial trip payment or deposit.
  • No last minute cancellations. The trip must be canceled no less than two days prior to departure.
  • Don't expect all your money back. Reimbursement is usually 50-75 percent of the entire prepaid, non-refundable trip cost. The exact reimbursement percentage depends on the plan purchased.
  • Not available in all states.

Bottom line: Travel insurance plans with the optional "cancel for any reason" coverage offers the most protection for travelers who may want to cancel a trip due to covid-19.

While some standard trip cancellation policies may cover a physician-ordered quarantine or contracting the virus (unless pandemics are specifically excluded), it will not cover covid-19 related cancellations due to fear of travel or any government-ordered border shutdowns.

Travelers can visit the Travel Insurance & Coronavirus resource hub for more information on cancel for any reason coverage.

Topic Expert:
Cheryl Golden
[email protected]

About InsureMyTrip

It's simple. InsureMyTrip finds you the right travel insurance plan, every time. InsureMyTrip is the authority on travel insurance. We are committed to empowering travelers to make the best possible insurance decisions by leveraging our technology, data intelligence, and expertise. InsureMyTrip is rated A+ by the Better Business Bureau.

SOURCE InsureMyTrip