Search for the Right Travel Insurance on the Rise as Travel Resumes
9 Nov. 2021
Search for the Right Travel Insurance on the Rise as Travel Resumes
Families and loved ones are reunited as the United States reopened its borders starting today, i.e., the 8th of November 2021. Along with the demand for travel search, there is increased demand for travel insurance and for finding the right travel insurance plan.
Who Can Travel now?
Fully vaccinated visitors from 33 countries, including India, the EU (Schengen Area), China, the U.K., and Brazil, will be able to enter the country.
The full rules of entry are still unclear, except that every person entering the U.S. must be fully vaccinated against the Coronavirus.
Which Coronavirus Vaccines are approved for Travel to the USA?
The list of approved vaccines for fully vaccinated visitors to the U.S. is:
- Oxford/AstraZeneca
- Covishield (Oxford/AstraZeneca formulation)
- Covaxin
- Moderna
- Pfizer-BioNTech
- Janssen (Johnson & Johnson)
- SinovacSinopharm
- BBIBP-CorV
What documents are required to travel?
In addition to regular documents such as a valid passport and a valid visa, fully vaccinated air travelers will continue to be required to present documentation of a pre-departure negative viral test from a sample taken within 3 days of travel to the United States before boarding.
This includes all travelers—U.S. citizens, lawful permanent residents (LPRs), and foreign nationals.
We recommend monitoring the Centers for Disease Control and Prevention’s announcements and FAQs on traveling during COVID.
We also recommend you purchase travel insurance to cover any unforeseen medical expenses. Always compare travel insurance plans and buy travel insurance coverage from reputable travel insurance companies.
Increase in Demand for Travel Insurance search
Search for the right travel insurance spike on the internet as international travel resumes.
It comes as no surprise that Google Trends ranks the following as the top searched phrases for travel insurance:
- Best value travel insurance
- Travel insurance with pre-existing medical conditions
- Cheap medical travel insurance
- Travel insurance that covers COVID
- Travel insurance over 60 [sic]
Many travelers, including frequent travelers, have been complaining about the uncertainty around travel regulations and random flight cancellations leading up to the border reopening for international travel, across social media and review sites.
International flyers are seeking medical coverage, along with trip cancellation coverage, due to lingering uncertainties around international travel.
As borders reopen and international travel seemingly returns to normal, travelers and travel insurance providers have learned and adapted.
New and frequent travelers who did not usually purchase travel insurance are now considering adding travel insurance to their trip costs.
The best travel insurance companies now offer COVID-19-specific coverage as part of their policies.
Are Covid-19 coverage and “Cancel for any reason” coverage worth the cost?
Amidst the uncertainty and ever-evolving virus, one thing is sure: we can offset the financial risks of travel by buying travel insurance with a cancel-for-any-reason add-on.
“Cancel for any reason” coverage, or CFAR, is an add-on to an existing travel insurance policy.
A CFAR (Cancel for any reason) coverage allows for last-minute trip cancellation protection under any circumstances for any reason whatsoever.
Most travel insurance plans now offer COVID-19 coverage. Cancel for any reason (CFAR) coverage, on the other hand, is an add-on typically calculated as a percentage of the price of the base insurance policy.
CFAR coverage costs an additional 40% – 60% of the base insurance plan, not the trip cost.
For example, let’s say you have purchased a trip insurance plan that costs $100, with CFAR coverage. Your total cost for the trip insurance would be around $140 to $160.
Note: Cancel for Any Reason (CFAR) is a benefit offered only in Trip Insurance plans; it is not available under Travel Medical Insurance plans.
Is CFAR coverage still worth it?
The answer is yes! Here’s why:
- CFAR offers reimbursements of up to 75% of your trip insurance
- CFAR offers coverage for trip cancellations that are non-refundable
CFAR is an optional time-sensitive add-on benefit available on some plans. It allows you to cancel a trip for any reason, including just changing your mind, up to 48 hours prior to the scheduled departure. It protects you most completely, but it will be more expensive.
To add CFAR coverage, you need to meet specific eligibility requirements and must purchase a policy within 14-21 days of making an initial trip payment or deposit.
The entire prepaid and non-refundable cost of the trip must be insured, including any subsequent trip costs. While a cancellation using CFAR will reimburse only 50% or 75% of the trip costs, depending on the plan, it will also reimburse 100% for a standard covered cancellation.
Cancel For Any Reason – CFAR is the only way to recover the Trip Cost if you decide not to travel
Cancel-For-Any-Reason is expensive and time-sensitive.
We recommend checking with your travel insurance service provider to understand the requirements and any eligibility criteria for Cancel for Any Reason (CFAR) reimbursements.
If your travel insurance includes trip cancellation coverage, it usually covers sudden, unforeseen events such as a medical emergency.
It usually does not cover situations/events that are already known to you on the date you buy travel insurance (such as being infected with coronavirus, preexisting medical conditions, etc.).
Travel Insurance plans generally do not cover the loss of your trip cost due to events like the coronavirus outbreak or any government travel advisories and restrictions related to it.
A Cancel for Any Reason (CFAR) add-on to the travel insurance policy is one way and the only way to ensure that your trip investment cost, or at least a significant part of the trip costs, is reimbursed to you if you decide not to travel.
Note that, at present, CFAR (Cancel for any reason) is the only coverage available for the pandemic (the coronavirus/COVID-19 outbreak).
So, is COVID-19 coverage worth it?
COVID-19 is covered like any other illness – provided you contract the virus after the policy’s effective date and you are not in the incubation period.
A few policies from some of the best travel insurance companies also offer indemnity benefits should the insured need to quarantine at the travel destination.
Vaccines are effective, but with new variants emerging, you do not want to take any risks while traveling.
The good news is that COVID-19 coverage should be part of your standard coverage, as most insurance companies offer it as part of their travel insurance plans.
If Covid-19 is not covered, look for policies that have Covid coverage and Covid quarantine indemnity benefits.
Some of the Best travel insurance companies that provide plans with COVID coverage:
- Seven Corners Inc
- IMG Global
- Global Underwriters
- Trawick International
- WorldTrips
Best travel medical insurance plans that cover COVID-19 are:
Bottom line
When the Coronavirus hit, international travel worldwide came to a grinding halt as countries closed their borders and imposed nationwide lockdowns.
Stranded travelers were frantically trying to figure out refunds for trip cancellation, repatriation, and emergency medical coverage. Those who contracted COVID were seeking coverage of medical expenses.
Credit card companies and travel insurance providers struggled with the sudden spike in customer care traffic as travelers scrambled to get their refunds and reimbursements – most often unsuccessfully.
Many insureds also discovered the hard way that most travel insurance policies did not have COVID-19 coverage or any pandemic-specific coverage at the early stages of the pandemic.
The uncertainty around the COVID-19 pandemic and international travel has changed the way we think about travel and travel insurance.
Most of us have moved from finding the cheapest flight tickets to finding a flexible, refundable ticket, and from uninsured travelers to those with travel medical insurance coverage.
Buying a travel insurance plan will safeguard you and your family against uncertainties at a fraction of your travel expenses.
Avoid having your travel plans derailed by yet another emergency announcement, sudden change in regulations, or a new variant by getting Covid-19 coverage.
Uncertainty around delayed, postponed, or canceled trips can be insured by CFAR coverage.
Compare travel insurance for your next trip or your family members’.
