How COVID-19 Has Changed Travel Insurance in 2023
By Avantika Anand
Previously, you could simply book your vacation, purchase your travel insurance, pack your bags, and hit the road (or the airplane). Since COVID-19, how we travel has changed, and so has what our travel insurance policies will cover.
Thank you for reading this post, don't forget to subscribe!This article will summarize how Covid-19 has changed travel insurance in 2022. As always, consult your insurance broker or provider or read your policy wording to see which applies to you.
Is trip cancellation/interruption still available?
Yes, however, your insurer may not cover cancellations due to COVID. This largely depends on when you purchased your travel insurance. You may still be covered if you bought it before COVID-19 became a foreseeable danger.
If you’ve purchased an insurance policy anytime in the past 2 years (since it was declared a pandemic), there is likely COVID-19-specific wording that excludes this as a reason for trip cancellation or interruption.
Similarly, if you cancel or end your trip early due to “fears” of COVID, most policies will not provide any reimbursement for this non-critical reason for cancelling.
Will “cancel for any reason” coverage work?
You may be able to purchase additional insurance that allows you to cancel for any reason, including fear or sickness due to a pandemic. This coverage is designed to compensate you for any situations not covered in a traditional travel insurance policy.
Adding this coverage in addition to or in place of traditional travel insurance can be more costly, though. You’ll likely want to budget an additional 40-60% more for your insurance and be prepared to only receive 50-75% of your claimed amount back if you make a claim under the policy.
Can I get reimbursed if I get COVID before I travel?
In most cases, yes. If you get COVID before you depart on your trip, you are likely to be covered under a standard travel insurance policy. This would be a claim due to an “illness” that prevents you or a member of your group from travelling. But check your specific policy to ensure this is covered.
What if I get COVID-19 during my trip?
Your travel insurance may cover trip interruption if you leave home healthy but get the virus while travelling. Check the wording on your policy to learn if that applies to you.
If you need medical care to treat COVID-19 while travelling and have travel medical insurance, check the exact wording on your policy. Some policies will cover medical care for the virus, and others may cover only a portion or none.
Is my credit card travel insurance coverage good enough?
Many credit cards or even your employer may provide you with travel insurance. However, these generally won’t include reimbursement for COVID-related cancellations, delays, trip interruptions or other medical expenses. Call your credit card provider or ask your travel insurance broker to help you decipher your policies.
Am I covered for missed flights?
The news cycles have been a buzz lately with reports of busy airports and people missing flights (or luggage) due to airport delays and additional screening procedures. Most policies will not reimburse you if you miss a flight due to airport delays.
We suggest arriving several hours before the recommended airport check-in time to avoid this. Better to be early and hang out in the departure hall with a coffee than risk missing your flight.
What if the airline cancels or delays my flights?
If the airline cancels or delays your flight in Canada, you may be entitled to a refund directly from the carrier (not through your insurance). This refund is usually between $125-1000. Your refund will be based on the airline’s size and how long your delay was (based on your actual arrival time at your destination).
The airline must also provide alternate travel arrangements, free of charge if your “flight is cancelled and for flight delays of three hours or more.”
This reimbursement only applies if the delay is the airline’s fault. If circumstances beyond their control delay the flight, no compensation through the carrier is required. In this case, you may seek compensation under your travel insurance if your policy allows it.
If you wish to claim compensation from the airline, you have one year to submit your claim.
What should I look for in travel insurance?
Insurance policies vary depending on the insurance provider. Make sure you have coverage for 3 key areas:
- COVID-19 related medical expenses
- Other non-COVID emergency medical expenses
- Trip cancellation and trip interruption (and lost luggage if applicable).
How to stay healthy on vacation
If you’re worried about COVID-19 impacting your upcoming travel plans, there are a few things you can do to minimize any infection or impact on your plans:
- Minimize public outings 1-2 weeks before your vacation. This minimizes your potential exposure to the virus before you leave.
- Wear a mask: Even if it’s not mandated in your community or where you are travelling, wear a mask to minimize exposure.
- Keep a 1-meter distance: Avoid crowded areas when you can’t keep a 1-2 metre distance from others. If this can’t be avoided, wear a mask.
- Practice good hand hygiene: We’ve heard this a lot over the past two years. Carry sanitizer and wash your hands with warm water and soap often while on your trip.
- Minimize touching of shared surfaces: Do your best to avoid touching shared surfaces like railings and door handles. Use elbows, wear gloves, or wash your hands after touching these highly germy surfaces.
- Get vaccinated: Also, be sure you’re up to date on any boosters recommended for your age group or risk level. This may be required for entry to certain regions too, so check with your travel agent before you leave for the latest requirements.
As COVID health recommendations are ever-changing, always follow the World Health Organization (WHO) COVID-19 guidance to minimize the spread of the virus at home and abroad.
What if I have questions about what my policy covers?
If you have questions about your travel insurance policy and what is/isn’t covered, you can discuss it with your insurance broker. At AP Insurance, we help you understand the legalese in insurance policies, so you know what you are buying and what you have coverage for.
Our job is to make it easy. Tell us what’s most important to you in your insurance policy, and we’ll find the best one to meet your needs. AP Insurance is your insurance broker in Surrey and beyond. We’d be happy to create a travel insurance quote for you.
