Travel insurance providers often provide position statements to clarify coverage when specific events occur. In the month of February, several major snowstorms made their way across the United States causing severe travel disruptions. To clarify how named winter storms are interpreted by travel insurance, iTravelInsured provided the following statement:
iTravelInsured plans do not have specific language that references “naming a storm”. We rely on our terms and definitions to provide coverage determination.
Trip cancellation and trip interruption benefits provide coverage if; “A Natural Disaster resulting in the complete cessation of services by a Travel Supplier for at least 24 consecutive hours or more.” Also when; “Your home or the home of a Travel Companion is made Uninhabitable by fire, vandalism or Natural Disaster.”
Travel Delay provides a benefit when a delay of a specified number of hours (depends upon the plan type purchased) is caused by a Travel Supplier delay or Natural Disaster.
Missed Connection coverage applies when a scheduled Common Carrier departure is delayed for a certain number of hours (again this depends upon the plan type purchased) due to Inclement Weather, Natural Disaster or a Travel Supplier delay.
iTI plans define “Natural Disaster” to mean a flood, mudslide, hurricane, tornado, earthquake, volcanic eruption, wildfire or blizzard that is due to natural causes. “Inclement Weather” means physically severe weather that causes the suspension of common carrier transportation and/or the suspension of travel on public roadways by order of a local governmental authority. “Travel Supplier”means a travel agent, Scheduled Airline, cruise line, tour operator, bus line, or other licensed provider of travel.
Travel insurance should be purchased at the time of a traveler’s initial payment or deposit. Coverage must be in place before weather events occur.