Most travel insurance plans include travel delay coverage. This reimburses expenses when a traveler is delayed for a certain amount of time, anywhere from 5 – 24 hours, depending on the plan. Travelex recently wrote about this benefit in their agent newsletter.
Whether it is a hurricane, earthquake or blizzard that delays your clients’ travels, you can provide them the peace of mind they need when an unexpected delay sidetracks their trip.
A few of the covered expenses for Trip Delay include:
- Reimbursement for meals and lodging while delayed
- Economy transportation to catch up to your covered trip
- One way economy fare to return to your originally scheduled return destination
For prompt claim settlement or for reimbursement, itemized receipts for any additional expenses (meals, lodging, etc.) and written documentation from the source that caused the delay (Common Carrier, police report, etc.) must be submitted.
Often, travel delay, trip interruption and missed connection coverage can each apply in a situation where a traveler is delayed due to a covered reason.
is most commonly reimbursement for meals, lodging and local transportation.
Trip interruption typically will reimburse the unused travel arrangements that are not refunded to the traveler.
Missed connection for most plans will reimburse the cost of transportation to catch up to the trip.
These three benefits are similar, can overlap and are also different depending on the plan. For example, travel delay and missed connection normally require an amount of time pass before coverage is available, and that time limit varies for different plans. Furthermore, some plans only apply missed connection coverage to missed cruise or tour departures. Another example is how trip interruption only applies when a covered reason is the cause of the interruption. The covered reasons between different plans have similarities, but are not all the same. It is important to compare policies carefully and always refer to the certificate of insurance for details.