Travel Insurance Offers Cancel-for-any-reason Clause

Travel insurance companies are starting to add new types of insurance coverage. One of the new clauses being added to travel insurance policies is the cancel-for-any-reason clause. The cancel-for-any-reason clause allows travelers to get some reimbursement for canceling their trip due to reasons typically not covered by travel insurance. For example, people can get some reimbursement for canceling due to hurricane warnings or work reasons.

The trend started a few years ago when cruise lines begin to add waivers, as an optional add-on. These waivers allowed passengers to cancel their cruise for any reason and have some of their deposit returned to them. Tour companies then started to add their own waivers. Now some travel insurance companies are offering this option.

The cancel-for-any-reason clause added to travel insurance policies is slightly different from that offered by cruise lines and tour operators. As part of the insurance company, it is regulated by state boards. The other difference is the price. To pay for a waiver on a cruise will cost about $200. To include a cancel-for-any-reason clause as part of travel insurance will cost almost half as much. With both types, there is the possibility that not all of the money will be returned, depending on the policy of the cruise line, tour operator or insurance company. Some companies will also request that the cancellation is made at least one or two days before the time o f the scheduled trip.

One travel insurance company offering the cancel-for-any-reason clause as part of their travel cover is TravelSafe. TravelSafe will reimburse 75% of the money that has been already paid if the trip is cancelled two days before it is due to leave. The price varies depending on the age of the person taking out the policy and the length and cost of the trip. Other travel insurance companies that offer the cancel-for-any-reason clause are Travel Guard International, Travel Insurance Services and Expedia.