What is Trip Cancellation Insurance?
Trip cancellation insurance is a valuable type of travel coverage designed to protect travelers from financial loss if an unforeseen event forces them to cancel their trip. This insurance reimburses non-refundable travel expenses like airline tickets, hotel bookings, and tour reservations, whether due to illness, injury, severe weather, or other unexpected circumstances.
For those looking for additional flexibility, many plans also offer optional Cancel for Any Reason (CFAR) coverage, providing partial reimbursement even if the reason for cancellation falls outside standard policy terms. This type of insurance helps travelers safeguard their investments if life's uncertainties disrupt their plans.
Trip cancellation insurance is a valuable type of travel coverage designed to protect travelers from financial loss if an unforeseen event forces them to cancel their trip. This insurance reimburses non-refundable travel expenses like airline tickets, hotel bookings, and tour reservations, whether due to illness, injury, severe weather, or other unexpected circumstances.
For those looking for additional flexibility, many plans also offer optional Cancel for Any Reason (CFAR) coverage, providing partial reimbursement even if the reason for cancellation falls outside standard policy terms. This type of insurance helps travelers safeguard their investments if life's uncertainties disrupt their plans.
Protect Your Travel Investment Today!
Secure a trip cancellation plan to ensure your travel investment is protected. Follow our guide to find the right plan for you.
What Does Trip Cancellation 91ÖÆƬ³§Cover?
Trip cancellation insurance typically covers the non-refundable costs of your trip when you need to cancel for a covered reason.
These reasons often include:
- Sickness, injury, or death of the insured, a traveling companion, or a family member​
- Severe weather that prevents travel or causes delays​
- Natural disasters that make your destination uninhabitable​
- Military leave being revoked or reassigned​
- Job loss or layoff, or being involved in a job relocation
- Jury duty, court order, or subpoena
- Terrorist incidents at your destination​
- Hijacking or quarantine
Saved by Trip Cancellation Insurance
Emily, an avid traveler, had been planning her dream vacation to Bali for months. She booked her flights, a luxury beachside resort, and several local excursions to explore the island's rich culture. Excited for the getaway, she purchased trip cancellation insurance just in case anything unexpected happened.
A week before her departure, a powerful earthquake struck Bali, causing widespread damage and making the resort she had booked uninhabitable. With her safety in mind, Emily had no choice but to cancel the trip. Thankfully, her trip cancellation insurance covered natural disasters, including earthquakes. She could recover the non-refundable costs of her flights, hotel, and prepaid excursions.
Thanks to her insurance policy, Emily avoided a significant financial loss and felt secure knowing that her investment in the trip was protected. This allowed her to plan another vacation for a later time when it was safe to travel.
The Best Trip Cancellation 91ÖÆƬ³§Plans for U.S. Citizens
When it comes to the best trip cancellation plans for U.S. citizens, Trawick Safe Travels Voyager and IMG iTravelInsured stand out for their comprehensive coverage and flexibility. Read more about each plan below.
Trawick Safe Travels Voyager
Trawick Safe Travels Voyager is considered one of the best trip cancellation insurance plans due to its comprehensive coverage and high benefit limits. The plan includes up to $100,000 for trip cancellation and $250,000 in primary medical coverage, making it ideal for travelers seeking solid financial protection.
Additionally, it offers the flexibility of optional Cancel for Any Reason (CFAR) coverage, reimbursing up to 75% of the trip cost for reasons outside standard policy terms.
Safe Travels Voyager
- Valid for U.S. citizens/residents traveling within the U.S. and/or internationally
- Comprehensive coverage for trip cancellation, trip interruption, emergency medical and post-departure travel coverage
- Cancel for Any Reason (CFAR) available
IMG iTravelInsured Trip Cancellation Insurance
The IMG iTravelInsured Travel plan stands out as a top choice for trip cancellation insurance. It offers extensive coverage and features designed for discerning travelers. With up to $1,000,000 in emergency medical evacuation and repatriation coverage, it provides substantial protection in critical situations.
Additional benefits, such as optional Cancel For Any Reason (CFAR) coverage, protection for pets, adventure activity coverage, trip delay compensation, baggage loss reimbursement, and medical emergency support, make it especially attractive to those visiting remote or exotic destinations.
iTravelInsured Trip Cancellation Insurance
- Three levels of trip protection for U.S. citizens/residents traveling abroad
- Medical cover, trip cancellation and interruption, and medical evacuation included
- Cancel for Any Reason (CFAR) optional upgrade available (LX Plan)
Travel 91ÖÆƬ³§with Trip Cancellation for Non-U.S. Citizens
World Nomads Travel 91ÖÆƬ³§is an excellent choice for non-U.S. citizens seeking trip cancellation coverage. Read more about the World Nomads plan below.
World Nomads Travel 91ÖÆƬ³§for Trip Cancellation
World Nomads Travel Insurance offers comprehensive trip cancellation coverage, protecting travelers against financial loss due to unexpected events that force them to cancel their plans. Covered reasons include illness, injury, family emergencies, or natural disasters, allowing travelers to recover non-refundable expenses like flights, accommodation, and pre-booked activities.
Additionally, the policy may cover cancellations related to unforeseen legal obligations or job termination, ensuring flexibility and peace of mind for those whose travel plans are disrupted.
World Nomads Travel 91ÖÆƬ³§for Trip Cancellation
- Trip cancellation and interruption benefits included
- Emergency medical transport and repatriation
- Baggage and gear cover
- Optional Cancel For Any Reason (CFAR) coverage available for U.S. citizens/residents (Explorer and Epic Plans)
Do I Need Trip Cancellation 91ÖÆƬ³§Coverage?
Trip cancellation insurance can be highly beneficial if you have made significant non-refundable payments, such as flights, hotel bookings, or excursions. If you’ve prepaid for a substantial part of your trip, trip cancellation insurance ensures you can recover those costs if you cancel for a covered reason.
Furthermore, if you're traveling to areas prone to natural disasters or concerned about health issues, job changes, or other personal situations that might force you to cancel, this type of insurance can help mitigate financial loss.
Benefits of Coverage
Travel cancellation insurance policies protect you if you need to cancel your trip and cannot go. If this happens and you need to cancel for one of the covered reasons, you can get the costs back for your trip.
Below is a list of the expenses and amounts you may recover with your trip cancellation insurance. Benefit amounts may vary, depending on the plan you choose:
- Trip Cancellation: Coverage for 100% of the non-refundable trip cost, up to a maximum of $100,000​
- Trip Interruption: Covers up to 150% of the non-refundable trip cost
- Trip Delay: Reimburses up to $3,000 with a per-day limit for delays of 6 hours or more
- Missed Connection: Coverage up to $1,000 for missed travel connections due to a covered reason​
- Medical Coverage: Emergency accident and sickness medical coverage up to $250,000​
- Emergency Medical Evacuation and Repatriation of Remains: Coverage up to $1,000,000 for emergency evacuation
- Baggage Loss or Damage: Coverage for lost or damaged baggage up to $2,500, with a per-item limit
- Cancel for Any Reason (CFAR): Reimburses 75% of the non-refundable trip cost if you cancel for any reason not covered by standard policy terms (CFAR must be purchased as an optional upgrade)​
When to Buy Travel Cancellation Coverage
We typically recommend Trip Cancellation products if you have purchased more expensive trips well in advance of your departure.
Ideally, the best time to buy flight cancellation insurance is when you make your initial trip deposit. The trip cost and the length of time before traveling add the most risk, so it is worth investing in coverage.
It might not make sense to buy a policy for an inexpensive vacation that leaves in a couple of days. The earlier you buy the plan, the longer you are covered, and therefore, the more value you get from the policy.
When Am I Covered for the Cost of My Trip?
Most trip cancellation insurance plans will reimburse your travel expenses if they fall within the policy’s coverage. If you cancel your trip for any valid reason, you can file a claim and request a refund on your non-reimbursable expenses.
Each provider may have a different list of what is covered and what is not. Here are some of the more typical reasons you can cancel your trip and still be eligible for a refund. Flight cancellation is included in most plans as long as you have the cost of your flights when buying coverage.
Covered Reasons for Trip Cancellation
- Sickness, injury, or death of the traveler, family member, travel companion, business partner, or service animal
- Hijacking, quarantine, jury duty, or being subpoenaed
- Employment termination, layoff, or job relocation
- Revoked or reassigned military leave
- Primary residence or destination made uninhabitable by natural disaster or burglary
- Inclement weather causing delay or cancellation
- Terrorist incident
- Documented theft of passports or visas
- Mechanical breakdown of the carrier
- Strike or mandatory evacuation
- Certified unfit to travel by a medical practitioner
How Much Does Trip Cancellation 91ÖÆƬ³§Cost?
Trip cancellation insurance costs typically range from 4% to 10% of the total prepaid, non-refundable trip cost. The price varies based on factors like the traveler's age, the length of the trip, the destination, and the amount of coverage chosen. Optional add-ons like Cancel For Any Reason (CFAR) coverage can increase costs. The cost will generally be higher for more expensive or longer trips due to the greater potential financial risk.
Trip Cancellation 91ÖÆƬ³§Cost for Travel to Costa Rica:
- Age of Traveler: 27
- Nationality Country: United States
- Destination Country: Costa Rica
- Trip Length: 7 days
- Trip Cost: $1,500
- Trip Cancellation Plan Cost: $70.26
Exclusions in Travel Cancellation Coverage
Trip cancellation coverage typically excludes several situations, including voluntary cancellations (such as deciding not to travel), financial issues unrelated to covered events, or cancellations due to pre-existing medical conditions unless a waiver is in place.
Similarly, non-covered reasons include staying home for personal events, like a family member having a baby or starting a new job. War, civil unrest, and travel to destinations under government advisories are also often excluded. Elective procedures, pregnancy (unless complications arise), and illegal activities are also not covered.
Always review the policy for specific terms.
Cancellation vs. Interruption vs. Cancel For Any Reason
Trip cancellation, trip interruption, and Cancel For Any Reason (CFAR) are different types of coverage under travel insurance:
- Trip Cancellation: Reimburses non-refundable trip costs if you cancel before departure due to covered reasons like illness, injury, or natural disasters.
- Trip Interruption: This covers additional costs if your trip is cut short due to covered reasons (like illness or emergency) and includes reimbursement for unused portions of your journey.
- Cancel For Any Reason (CFAR): An optional add-on allowing partial reimbursement (typically 50-75%) if you cancel for any reason not covered by standard policies.
Trip 91ÖÆƬ³§vs. International Medical Plans
Often, you may be more concerned about covering medical expenses while traveling. In that case, a more comprehensive travel medical plan is advisable if you plan to travel abroad for less than one year. Otherwise, international health insurance is highly recommended if you plan to travel outside your home country for a year or extended periods. The latter is also the better option if you have additional medical needs that must be covered.
Travel medical plans are primarily medical plans designed to cover emergency medical expenses that might not be included in your existing policy. International health plans are even more comprehensive but often do not include some benefits of a travel medical plan (i.e., trip interruption or lost luggage benefits). Trip cancellation plans primarily insure the investment you have made for your trip expenses, with some additional emergency medical benefits added.
Alternatives for Different Types of Travel
- Expat Health Insurance covers individuals living abroad for the long term. Plans provide comprehensive health coverage in your country of residence, often including emergency evacuation.
- Travel Health Insurance covers medical emergencies while traveling, making it a good choice for international trips where your domestic health insurance doesn’t apply.
- Short-term Travel Insurance is best for brief trips, usually lasting a few weeks. It covers trip cancellations, medical emergencies, and delays.
- Annual Travel Insurance is ideal for frequent travelers who take multiple trips a year. It offers continuous coverage over 12 months for both domestic and international trips.
- Single-trip Insurance is best for one-off trips. It covers specific trips and is usually more cost-effective for occasional travelers.
Is Trip 91ÖÆƬ³§Worth It?
Trip insurance is ideal if you are traveling abroad or within your home country. Not only does it protect your travel expenses, but it can also get you home to safety in the event of an emergency. However, while some medical expenses are covered in trip insurance plans, they are not recommended for anyone traveling internationally for prolonged periods because the limits of coverage are too low.
If you are planning an extended international trip, please consider a travel medical plan as this provides far more extensive coverage for medical expenses. It also includes coverage on things such as trip cancellation and trip interruption.
Talk to one of our customer support team if you are still unsure which plan would be best for you. Need help with international coverage? Please do not hesitate to call or contact our customer support team. We will be happy to assist you in picking a plan and providing your travel plan quotes.
Frequently Asked Questions
Trip cancellation insurance works by reimbursing you for non-refundable, prepaid expenses (such as flights, hotel bookings, and tours) if you need to cancel your trip due to a covered reason. Common covered reasons include illness, injury, natural disasters, or severe weather.
To get reimbursed, you must file a claim with the insurance provider, providing necessary documentation, like receipts, booking confirmations, and evidence of the cancellation reason. The insurer reviews the claim and issues reimbursement if the cancellation meets the policy’s coverage criteria.
To file a claim for each of the plans we discussed in this article:
Trawick Safe Travels Voyager: You can file a claim by contacting Trawick International through their claims department or visiting their website to submit the required forms, including documentation of the reason for cancellation.
IMG iTravelInsured: Claims can be filed by submitting a claim form, relevant documents such as receipts, and a detailed explanation of the cancellation. IMG offers both online and paper submissions.
World Nomads: Claims are filed online through the World Nomads website. You must provide receipts, booking confirmations, and other supporting documentation.
Always refer to the specific policy details for exact filing instructions.
Yes, trip cancellation insurance generally covers canceled flights if the cancellation is due to a covered reason, such as illness, injury, severe weather, or a natural disaster. It will reimburse you for non-refundable, prepaid flight expenses.
However, the reason for the cancellation must meet the criteria specified in your policy. If the flight is canceled by the airline, some policies may cover rebooking fees, but typically the airline is responsible for refunding or rebooking canceled flights. Always check your policy for specific details.
Yes, trip cancellation due to severe weather can be a covered reason under many trip cancellation insurance policies. If weather conditions prevent your flight or make your destination uninhabitable, you may be eligible for reimbursement for non-refundable expenses.
However, the specific terms depend on the policy, and the weather event must typically cause significant travel disruptions, such as flight cancellations or government advisories. Always check your policy for detailed coverage related to weather-related cancellations.
Some people consider travel cancellation coverage a waste of money. But if you like to be prepared in case of an emergency, medical or otherwise, then investing in a trip cancellation insurance is money well spent.
Investing in a quality policy is money spent to protect your investment! And the further ahead you book your adventure, the more critical it is to protect your investment since a lot can happen in the weeks or months between booking a trip and departing for it.
It is essential to know that you cannot purchase coverage once you have departed (your plan start date). While it is possible to buy coverage right up until the start date of your travels, there are insurance companies that require you to purchase a policy within seven days of paying for the trip or no later than 48 hours before the trip departure.
Trip cancellation plans are best purchased when you pay your initial deposit or as close to the purchasing date as possible. If you buy coverage from a website at the last minute and then try to file claims, you risk the chance that the insurance company will closely scrutinize your case.
Travel cancellation products like these are designed to protect you against the worst-case scenarios associated with overseas travel. When offered this kind of insurance for your vacation, do not think of spending more money. Instead, think of it as protecting the money you have already paid and got additional safeguards for unexpected circumstances.
Protect Your Travel Investment Today!
Secure a trip cancellation plan to ensure your travel investment is protected. Follow our guide to find the right plan for you.
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Author / Editor: Joe Cronin, Founder and President of 91ÖÆƬ³§. Mr. Cronin, a former expat, is an authority in the areas of international travel, and global health, life, and travel insurance, with expertise in advising individuals and groups on benefits for today's global workforce. Follow him on or .