The spread of the corona virus (COVID-19) in recent
weeks has wreaked havoc on international travel, tourism, and even our day to
day lives as we are forced to self-isolate. Additionally, almost all countries
in the world have put up travel restrictions, against all but essential travel.
You can see a detailed map of world-wide travel restrictions here.
But if you are planning to travel during this time,
you must be wondering how to keep yourself safe during your travels and whether
you need coronavirus travel insurance.
Coronavirus Travel Insurance:
Under normal circumstances, getting travel insurance
for an international trip is recommended – if not required. However, there is
no specific “coronavirus” travel insurance. As a matter of fact, as COVID-19 is
spreading worldwide more rapidly than ever, some major travel insurance
companies have stopped selling new insurance plans altogether. Others have made changes to their existing
policies so they do not have to cover trip cancellation or disruption.
So, while you can still buy travel insurance, how much
coverage you will be getting depends on the specific policy. It is up to you to
very carefully read the policy and what you are purchasing, so you are not met
with surprise charges down the line.
Changes
to Travel Insurance Plans Due to Coronavirus
Some travel insurance companies have made the
following changes to their policies:
• They
no longer offer cancellation cover
• They
no longer offer trip disruption coverage
• They
no longer offer coverage for any coronavirus-related claims
Keep in mind that these changes come into force for
new policies. If you had an existing policy before the coronavirus outbreak or
before your government put up travel restrictions and advised against
non-essential travel, your travel insurance will still cover you.
On March 11, the World Health Organization has
declared the coronavirus a pandemic, which means it is a worldwide threat. In
an effort to stop the further spread of the disease, governments all around the
world have put up travel restrictions. This, in turn, has increased the
probability that your trip will be cancelled, which is the reason behind the
policy changes.
You
Are Scared of Travelling Due to Coronavirus: Do You Have Coverage?
Fear of the coronavirus is not included as a valid
cancellation reason in any standard travel insurance policy, even if you have a
trip-cancellation package. But if your government issued a warning against
travelling after you bought the policy, then you may have some coverage. Still,
the only time when you are most likely to have coverage for trip cancellation
is if you purchase a “Cancel for Any Reason” add on to your existing plan.
However, even this comes with its own rules, such as:
• You
have to purchase the plan within 20 days from when you make your initial
payment or deposit for your trip.
• You
have to purchase insurance for the entire cost of any nonrefundable prepaid
trip arrangements that can be cancelled or restricted.
• You
cancel the trip no less than 48 hours before you are scheduled to depart.
See the best Cancel for Any Reason plans.
Will
Travel Insurance Cover for Coronavirus Medical Treatment?
This ultimately depends on your health insurance plan,
and there is no simple Yes/No answer. From what can be seen so far, there are
companies that will cover medical expenses for coronavirus if you fulfil the
following requirements:
• You
arrived in the foreign country before there was a coronavirus outbreak.
• You
arrived in the foreign country before the competent authorities in your home
country (such as the CDC) issued travel restrictions.
• Your
plan includes coverage for an epidemic or pandemic. Most travel insurance plans
don’t have this specific type of coverage, however.
Should
You Cancel Your Flight Because of the Coronavirus?
As the situation stands, you will likely not have any
other choice other than to cancel your flight. Because of the large-scale
travel restrictions that are currently in place, more and more airlines are
cancelling international flights, often leaving passengers stranded abroad.
But, whether you should cancel your flight depends on:
1. Is
there a travel restriction for the place you intend to visit? If the place you
want to visit is considered high-risk, your government will most likely already
have restricted travel.
2. Is the
trip essential? An emergency or for medical purposes? If it is not, even if you
are travelling to a low-risk place, you are advised to reconsider your trip.
The WHO is advising people to practice social distancing and remain home as
much as possible in order to curb the spread of the pandemic.
3. Are
you travelling from a high-risk place? If you are, you will likely be denied
entry into whatever country you are travelling to.