Travel Insurance: Overview and explanation of travel plans and terminology**

Trip Insurance is more important now than ever before. We cannot accept responsibility for any losses or expenses that you or any member of your party may incur as a result of failure to secure adequate insurance coverage.

Basic trip cancellation policies – These provide reimbursement of prepaid, non-refundable trip costs in the event that you need to cancel the trip. A standard trip cancellation policy provides coverage only if the trip is cancelled for one of a number of specific covered reasons described in the terms of the policy (illness, injury, a close relative in a life-threatening situation, etc.). If coverage applies, travelers can often be reimbursed for up to 100% of their non-refundable trip costs.

“CFAR” Policies: Generally, for Covid-19 (or any pandemic) only “Cancel for Any Reason” (CFAR) policies cover cancelations, often reimbursing up to 75% of prepaid, non-refundable costs. The CFAR policy must be purchased within 10 - 21 days of the first deposit payment made toward the trip (varies by insurance company and policy type). The insurance policy can either be paid for up front in one payment to cover the full projected trip cost, or the policy can be paid for in segments (e.g., the deposit, 50% and the final payment). We recommend insurance options be discussed the insurance agent prior to purchase.

Trip Interruption policies – This type of insurance covers reimbursement most commonly in a situation when a person is forced to leave their trip in the middle or misses part of the trip due to a “covered reason”. The benefit may pay up to 150% of the insured amount (in the example, 150% taking into account the likely added expenses incurred in needing to leave early or possibly being forced extend the trip). Your trip interruption must be due to a “covered reason”. Some plans may offer an additional option of purchasing “trip interruption for any reason” coverage reimbursing up to 75% for trip interruption for any reason, meaning trip interruption for reasons not covered by the standard policy.

Medical Protection policies – This is normally “indemnity coverage”, meaning that you will need to pay the medical expenses directly and the insurance company will reimburse you later. In some emergency situations, the insurance will pay the medical provider directly. Standard coverage is between $50,000 and $150,000, depending on the plan. Supplemental coverage may be available if you feel more comfortable with higher medical cost limits. (Note: preexisting medical conditions may be covered under most policies by following the insurer’s policy guidelines when purchasing coverage).

Emergency Medical Evacuation – When deemed necessary for a person to have medical care provided at a facility in the United States or elsewhere, depending on the insurance policy. Standard coverage is most often between $500,000 and $1,000,000.

Travel Delay – If the flight is delayed (typically 4-6 hours or more) and due to the delay costs are incurred, such costs are covered. The standard limit is $200 per day but the amount varies by plan.

Missed Connections – If the original flight is delayed (typically by 3 hours or more) and the delay results in a missed onward connection, the traveler can be reimbursed for resulting additional costs. Standard coverage for this protection can be up to $500, but coverage varies by plan.

Baggage & Personal Item Protection – If baggage and/or personal items are damaged or lost by a common carrier, this coverage reimburses the value of the loss, up to the particular policy limits. If luggage is delayed (normally 12 hours or more) costs incurred due to the delay may be reimbursed up to the policy limits.

** The insurance information above is only of a general nature. We are not affiliated with any travel insurer. We urge travelers to purchase the trip cancellation insurance and the supplemental medical coverage, if any, that meets each traveler’s needs. Travelers should note that the “CFAR” - Cancel For Any Reason" - policies offer the broadest coverage. We can suggest considering, Travel Insure, Travel Guard or Travelex, as generally reliable and frequently recommended companies.