Trip Cancellation vs Cancel For Any Reason

Published by February 23, 2010

Some travel insurance plans offer both trip cancellation coverage and cancel for any reason coverage.

Trip cancellation
requires that a trip be canceled for a covered reason.  Each plan has a list of covered reasons, but they tend to be events that are unforeseen and uncontrollable.  The most common covered reason that is claimed is a sickness, injury or death of a traveler, family member or traveling companion.  Trip cancellation can reimburse up to 100% of the trip cost, even if the trip is canceled at the last minute.

Cancel for any reason does not require that a reason be provided when canceling a trip.  In most cases, cancel for any reason is a selectable option that will increase the cost of the premium and is only available for a short amount of time from the initial trip deposit date.  Also, this coverage will not reimburse 100% of the trip cost, rather between 50%-90%, depending on the plan.  Lastly, in order to have a claim for cancel for any reason, the trip must be canceled at least 48 hours prior to departure.

Always refer to the certificate of insurance for details.