Travel Insurance: COVID-19 Coverage (2024)

How to purchase travel insurance with COVID-19 coverage.

When the coronavirus pandemic started last spring, I had no idea that we would be talking about these things nearly a year later.

In fact, my first article on the subject in February of 2020 broke the unfortunate news that pandemic was not a covered item on most travel insurance policies.

Today, however, many travel insurance policies have provisions that will cover a potential loss for COVID-19.

Further, yesterday, Allianz Travel Insurance amended its policies with a COVID-19 coverage alert. Let’s take a peek at their announcement…

SPECIAL Travel Insurance ACCOMMODATIONS FOR COVID-19

Claims due to known, foreseeable, or expected events, epidemics, government prohibitions, warnings, or travel advisories, or fear of travel are generally not covered, and coverage can vary by state. However, until further notice, although not covered under most plans, we are currently accommodating claims for:

1. Under Emergency Medical Care Benefit: Emergency medical care for a customer who becomes ill with COVID-19 while on their trip.
2. Under Trip Cancellation or Trip Interruption Benefits: Trip cancellation and trip interruption if a customer becomes ill with COVID-19 either before or during their trip.

Customers who become ill with COVID-19 while on their trip will not be subject to the Trip Interruption benefit’s five-day maximum limit for additional accommodation and transportation expenses (however, the maximum daily limit for such expenses and the maximum Trip Interruption benefit limit still apply).

Please note, we will accept proof of a positive COVID-19 test or a physician’s diagnosis as proof that you are ill with COVID-19.

These accommodations are strictly applicable to COVID-19 and are only available for customers whose plan includes the applicable benefit. All other terms, conditions, and exclusions of the plan apply as normal. All benefits are subject to maximum limits of liability, which may in some cases be subject to sub-limits, day limits, and daily maximums. Please read your plan for details.

Other Important Travel Insurance Considerations

This is good news as the travel insurance industry has begun to respond to travelers’ concerns in a COVID-19 world.

However, there are a few other crucial considerations:

1. Travel Supplier Default – if you are concerned that your cruise line or travel provider might go out of business, then having supplier default coverage would be necessary. This coverage provides a cash refund to you if your travel supplier goes out of business. Generally speaking, to obtain this coverage, two things must happen:
   • You must purchase the policy within 14-days of your first deposit.
   • And, the supplier must be on the travel insurance company’s “covered list”. These lists are usually published at least monthly and available on the insurer’s website.
2. Travel Supplier “Risk-Free” Bookings– before the coronavirus mess, travelers would purchase travel insurance primarily to insure their ability to go on the trip. If you broke your leg and your doctor says that you cannot travel, you could file a claim for non-refundable trip costs and get a cash refund. Today, in the era of COVID-19, nearly every cruise line and travel supplier offers some version of a “risk-free” booking. If you find yourself worried about completing your travel plans, then a risk-free booking will allow you to revise your booking to a later date. And sometimes, if the travel supplier cancels the journey, a cash refund is available. Therefore, some would reason, you don’t need the expensive cancelation insurance. And while this might be true, it’s worth a conversation with your travel advisor.
3. Medical-Only Travel Insurance – if you don’t feel that you need the expense of a full travel insurance policy with a cancelation clause, we highly recommend that you at least purchase a medical-only travel insurance policy. These policies are inexpensive and far better than any “free” travel insurance that might come with a credit card. The differences are quite profound and, again, worthy of a conversation with your trusted travel advisor.
4. Required Travel Insurance – As the world begins to open to travel in the coming months, we fully expect that many countries and travel brands will begin requiring travel insurance. We’ll talk about this more in the coming months but plan on this new requirement coming soon.

Essential: Get Good Advice

One of the complimentary services we provide our clients is a travel insurance quote the day after their deposit is made.

We shop the best travel insurance providers in the marketplace and then compare it with the travel insurance available through the travel brand.

From there, as we have an excellent understanding of the industry, we’ll help you sort through what is best for your needs. Further, once we’ve helped you make that decision, we’ll get the travel insurance in place on your behalf.

This is just one of the many expert services we provide for our clients.

For more information about our services, please call Roaming Boomers Travel Services at (480) 550-1235 or use our convenient online information request (click here), and we’ll reach out to you.

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