Trip cancellation, interruption and delay

… because travel plans change

Trip cancellation, trip interruption and trip delay are different types of coverage you can purchase that protect the money you spent on the trip or unforeseen events force you to change your plans. Many package policies cover all three. Some of these benefits may also be included in a travel medical insurance policy, but it is important to check.

Since each of these coverage types is different, you should know the difference before purchasing a plan:

• Trip cancellation coverage reimburses you for prepaid, nonrefundable expenses if you have to cancel the trip before it starts. Common covered reasons include:
  • Your own illness,
  • The illness or death of a family member,
  • Natural disasters, and
  • Workload forcing a change (on policies with a Cancel For Any Reason clause).
• Trip interruption insurance reimburses you for nonrefundable costs and unexpected costs if a trip is unexpectedly cut short for a covered reason. Common reasons include getting ill on the trip or an unforeseen natural disaster forcing you to return early. Only things that you could not have foreseen before you left are covered.
• Trip delay coverage addresses costs incurred for delays, such as missed connections. For example, if your flight is cancelled due to weather, a plan with trip delay benefits might cover hotel accommodations and meals until you could catch another flight.

One caveat on Trip Protection insurance policies is timing. You have to purchase the coverage shortly after paying for the tickets or tour (typically within 14-21 days). You cannot purchase the coverage later when you see there is a possible issue.

What affects Travel Protection insurance costs?

The price of a comprehensive plan varies depending on:

• The length and cost of the trip: Since the coverage reimburses nonrefundable costs of the trip, a more expensive trip will cost more to cover.
• Destination: Costs at your destination and likelihood of travel issues can affect costs.
• Medical conditions covered: Coverage for pre-existing conditions is typically more costly.
• Your age: Generally, the older you are, the higher the price.
• Cancel for Any Reason coverage: Cancel for any reason clauses cover trips if insureds decide not to go, regardless of the reason.