How Trip Cancellation Affects Your Travel Insurance

After hours of planning, investing thousands of rupees, and anticipating your travel for days, what will you do if your trip is suddenly cancelled? Beyond disappointment, you need to rush to cancel bookings you have made in advance and try to get back your deposits. But often, these cancellations are chargeable or might have non-refundable clauses.

This is why whether you are forced to cancel your trip or you have to cancel your trip voluntarily, there are a few precautions you can take to safeguard your investment. The main thing one can do to protect themselves from these risks financially is to secure travel insurance.

A travel insurance policy covers several risks to which someone travelling might be exposed. From losing your baggage to missing your flight, travel insurance offers a lot of reasons why you should get one. But how does travel insurance help you if your trip gets cancelled? Keep reading to find out.

How does a Travel Insurance policy affect trip cancellation?

Suppose your trip gets cancelled, but your travel insurance policy covers trip cancellations. In that case, you can rest assured that you will be reimbursed for your travel and accommodation expenses. But one thing to still look out for is that depending on the insurer, there are different terms and conditions to settle a claim for this cover.

Niva Bupa offers reimbursement for your travel and accommodation expenses. Niva Bupa covers only one instance of trip cancellation for single-trip policies and a maximum of three for multi-trip policies. If you have travel cancellation coverage from Niva Bupa and are forced to or need to cancel your trip for the following reasons, you will be eligible for reimbursement.

• Hospitalisation or death of you, an immediate family member, or a travelling companion.
• Summons by a judicial authority during the insurance period.
• Natural disaster declared by government authority.
• Unexpected strike, riot, or civil war at your hometown, city of departure, and city of destination.
• Loss of passport.
• Mandatory quarantine or travel restriction from the Government of India.

Other than the reasons mentioned above, if you need to cancel your trip for any other reason, you should contact us and get specific approval on a case-by-case basis.

This coverage has certain specific exclusions besides those mentioned in the policy document.

•  Any cancellation due to Hospitalization resulting from pre-existing disease, Childbirth, Pregnancy or related medical complications to you, your immediate family or your travelling companion.
•  Failure to start the journey due to rejection of VISA (although you might be reimbursed for the cost of visa if the rejection is due to no fault of yours from a different coverage).

How to choose the right plan for your travel insurance?

There are several factors to consider when looking to purchase travel insurance. By considering these factors, you should be able to choose the right plan for your needs.

• Duration of travel It is essential to consider the duration of your trip and get a plan encompassing it. You can choose the emergency trip extension cover if your trip is extended.
• Nature of travel If you are partaking in adventure sports, you will need to avail of the adventure sports coverage. If you are carrying expensive business equipment, you might need to avail the loss of business equipment cover.
• Destination of travel You might be exposed to certain risks depending on where you are travelling. For example, travellers might be exposed to higher risk in case of travelling to some underdeveloped countries or countries with an increased risk of violence.
• Pre-determined risks There are certain risks which you might face as an individual. Availing cover for these specific risks will help you further protect yourself.

Conclusion

Now that you know what effect travel insurance coverage has on trip cancellation and what coverages you might want to avail for your travel insurance, you can secure and safeguard your trip and travel worry-free.