Trip Cancellation & Interruption
It’s never a bad idea to cast a financial safety net over the possibility that a major, unforeseen event sends you home before you’ve tasted all the cocktails in the hotel bar or achieved ideal tan line definition. An add-on option with many Comprehensive policies, Trip Cancellation and Interruption coverage can provide reimbursement for nonrefundable payments and deposits you’ve already placed on a trip which has been cancelled or interrupted due to circumstances that fall under a previously determined set of acceptable reasons.
Important Note on Trip Cancellation Coverage: This is additional coverage which is typically included in Comprehensive plans.
Who Should Buy This Coverage
Those with significant travel expenses, especially nonrefundable deposits or payment
Reimbursement of up to 100% (indeed, some even offer 150% under Trip Interruption) of prepaid, nonrefundable deposits and payments in the event of unforeseen circumstances causing a trip cancellation or interruption
Most policies offer a list of ‘covered’ cancellation and interruption reasons — some examples of covered reasons include sickness, injury, death of the insured or the insured’s family member, inclement weather, natural disasters, terrorist events, etc. Check your plan’s certificate for the specifics.
What’s Not Covered
‘Cancel for Any Reason’ coverage — read about the distinction here
‘Foreseen Covered Reasons’ — essentially, this means you can’t add coverage after a hurricane has already arrived at your destination
You just never know what emergency, illness, disaster, weather pattern, or other unforeseen circumstance may necessitate a cancellation or interruption of your travel. While in that moment the least of your worries may be your finances, you can protect yourself preemptively with Trip Cancellation and Interruption coverage.