What happens if you do cancel?
If you do decide to cancel your trip, “there is limited coverage available for travelers whose trips may be impacted by the coronavirus,” Kasara Barto, PR manager for the travel insurance site Squaremouth, tells CNBC Make It.
Fear of traveling but isn’t a covered reason to cancel a flight or trip, although some airlines, including JetBlue, have started to waive cancellation or rebooking fees, she says. U.S. airlines also suspended flights to mainland China and Hong Kong. Popular airlines including Delta and United Airlines have started to waive rescheduling or cancellation fees to South Korea.
“In our experience speaking to customers, travelers are more so concerned with wanting to cancel for fear or uncertainty of the outbreak, especially as the situation progresses,” Barto says.
The best and only option would be “Cancel for Any Reason” insurance, which costs 40% more than a standard policy (standard policies cost an average of 4% to 8% of the cost of a trip, according to the U.S. Travel Insurance Association), but allows you to cancel a trip and receive a 75% refund of an insured trip cost if you decide you don’t want to risk it. But keep in mind, it’s only available within 10 to 21 days of an initial trip deposit.
“Even if COVID-19 is declared a pandemic, that won’t trigger trip cancellation benefits as pandemics are not a covered reason to cancel under a standard policy,” Barto says. (Some policies specifically exclude pandemics.)
Read the full CNBC article online here: https://www.cnbc.com/2020/02/27/should-you-cancel-a-trip-to-italy-or-japan-amid-coronavirus-outbreak.html