Cancel for Any Reason Travel Insurance for COVID

The COVID-19 pandemic caused significant uncertainty in both domestic and international travel. From weekend trips to two-week-long getaways, vacationing in this day and age can stress out even the most experienced travelers.

Some travelers are still typing “cancel for any reason travel insurance COVID” into a search engine. Some are concerned about losing their deposits on nonrefundable flight tickets, vacation rentals, amusement park tickets, and more if they cancel their trip. Others worry circumstances will change and their destination could see higher COVID cases prior to their trip, making them feel uneasy about going.

However, travelers can protect their trip investments with a travel insurance plan. The best travel insurance plan for you might be one with a Trip Cancellation for Any Reason (CFAR) benefit, which would provide coverage for those nonrefundable trip deposits if you decided to cancel your trip for any reason.

Beyond COVID-19, there are many other reasons why a traveler might decide to cancel their trip. Someone could be feeling apprehensive about flying or want to travel during a different time of the year when work isn’t so stressful and finances aren’t so tight.

travel insurance plan with a Trip Cancellation for Any Reason benefit provides the flexibility many travelers need. It can also provide additional travel-related benefits and even emergency medical coverage.

What Is Travel Insurance (Or Trip Cancellation Insurance)?

What exactly is trip cancellation insurance and what is covered in a trip cancellation insurance plan? Travel insurance (sometimes referred to as “trip cancellation insurance") is a short-term insurance policy that provides coverage for the unexpected when traveling.

Most travel insurance plans are available to U.S. citizens and residents who are traveling domestically and/or abroad. A primary benefit of travel insurance is the Trip Cancellation benefit. This benefit reimburses travelers for eligible nonrefundable trip expenses if they cancel a trip for a covered reason, like a sickness or injury that prevents them from traveling or dangerous weather causing their airline to cancel their flights. 

When faced with a situation that will delay or cancel your trip, you could be forking out more money than you intended or wasting your trip deposits when you miss out on activities and reservations you already paid for.


The best trip cancellation insurance for you could be a plan that covers these situations and offers additional travel-related benefits too. Here are a few scenarios it could cover:

  • Cancellation of your trip due to a covered reason, such as a death in the family
  • Delay or cancellation of a common carrier
  • Damaged or lost baggage expenses
  • Expenses related to unexpected sickness, injury, hospitalization, or death while traveling
  • Compensation if your travel companion cancels and your travel costs increase

Some travel insurance plans, like WorldTrips’ Atlas Journey plan, also provide travel assistance services. These services could include:

  • Worldwide travel, medical, emergency, and security assistance
  • Concierge services
  • Embassy and consular services
  • Medical referrals
  • Translator or interpreter referral
  • Assistance with lost or stolen luggage and personal items

These services can be the support you need when you face a frustrating travel mishap or stressful emergency while traveling in an unfamiliar area. You can see the full list of travel assistance services for our Atlas Journey plans here.

Trip Cancellation Insurance Covered Reasons

You may be wondering “What is a covered reason for trip cancellation with a travel insurance plan?” A primary benefit of travel insurance is the Trip Cancellation benefit, which provides reimbursement of prepaid and nonrefundable expenses to travelers who cancel their trip for a reason listed in their policy documents.

Let’s look at some examples of trip cancellation insurance covered reasons. Remember: whether or not these are covered reasons depends on the specific plan you choose.

  • You get in an accident en route to your departure flight.
  • Your family member suddenly passes away.
  • You or your travel companion become injured or too ill to travel.
  • You are hospitalized for COVID-19 prior to your trip and advised not to travel by your doctor.
  • Your flight is canceled due to civil unrest or an unannounced strike. 
  • Your common carrier ceases services for a period of time (often more than 12 hours) due to a natural disaster or severe weather.
  • Your airline defaults or declares bankruptcy.
  • Your hotel or Airbnb is made uninhabitable due to a natural disaster.
  • You are laid off from your job or required to work.

These are just a few of the situations that trip cancellation insurance coverage could help you manage.

Cancel For Any Reason Travel Insurance

You may consider searching for cancel for any reason travel insurance that better fits your trip needs. Trip Cancellation for Any Reason, or CFAR, is an optional benefit upgrade for some travel insurance plans.

Your Trip Cancellation benefit will already reimburse you up to 100% of your trip cost for unused, prepaid, nonrefundable deposits made toward your trip if you cancel due to a covered reason listed in your policy documents.

A CFAR benefit will provide reimbursement (often 50% or 75%) for these same payments made toward your trip if you cancel for any reason that is NOT covered by your Trip Cancellation benefit, such as fear of catching COVID in your destination or non-covered changes to your health status.

IMPORTANT! Most plans will only allow you to add a CFAR benefit if you purchase your travel insurance plan within a certain number of days after you make your first payment toward your trip. This time frame is often 2-3 weeks.

Additionally, some travel insurance plans may not allow you to add a CFAR benefit if you purchase your coverage within 48 hours of your departure. The common time requirement to purchase a travel insurance plan is:

  • within 14 or 21 days of the date you made your first trip payment and
  • more than 2 days prior to your departure

The best type of travel insurance plan is one that provides the coverage you would need in the event you decide to cancel your trip.  Some travelers may be satisfied with a basic travel insurance plan that covers only the specific covered reasons laid out in the plan. Others may prefer the additional freedom that comes with upgrading to trip cancellation insurance for ANY reason.

Just make sure you read your plan’s policy documents and ensure you are following the correct procedures. For example, you may be required to cancel within a certain number of days prior to your trip to be eligible for CFAR coverage.

Example: How The CFAR Benefit Works

Let’s say you’ve planned your first international trip since the start of the COVID-19 pandemic. You’re worried about getting sick and being unable to travel, so you decide to purchase a travel insurance plan like WorldTrips’ Atlas Journey travel insurance. Because you are also nervous about traveling generally, you upgrade the base plan to include a Trip Cancellation for Any Reason (CFAR) benefit and select the option of coverage for 75% of your trip expenses.

When the trip rolls around, you experience a bout of travel anxiety. You decide you aren’t ready to travel internationally just yet, so you cancel your trip three days prior to your departure. (Note that Atlas Journey requires you to cancel your trip 2 or more days in advance of your departure when using the CFAR benefit.)

So, what about all those trip deposits you put down, like Airbnb reservations and nonrefundable tickets? You could get reimbursed for 75% of those trip expenses.

What Is the Best CFAR Travel Insurance for Me?

The best CFAR travel insurance for you is the plan that covers your travel priorities at a price that fits your budget and provides travel assistance services when you need them. WorldTrips’ Atlas Journey travel insurance could be the right option for you and your travel companions. This comprehensive travel insurance plan is available to U.S. citizens and residents traveling domestically and/or abroad. It provides coverage for trip cancellation, trip interruption, travel delays, emergency medical expenses, and more.

Atlas Journey features three levels of coverage: Atlas Journey Elevate, Atlas Journey Explore, and Atlas Journey Escape. Its Trip Cancellation benefit reimburses 100% of eligible trip costs up to the plan level’s maximum limit if you cancel due to a covered reason.

If you want cancel for any reason coverage so you can have more freedom to cancel your trip, upgrade your base Atlas Journey Elevate or Atlas Journey Explore plan to include a Trip Cancellation for Any reason benefit. If purchased, this benefit will cover 50% or 75% of trip costs – whichever you decide upon during the purchase process – when you cancel a trip at least 48 hours before the scheduled departure.

When searching for a CFAR travel insurance policy, make sure it allows you to cancel for any reason without additional penalties when you follow the parameters of the policy. Knowing you are covered if you decide to cancel your trip may be well worth the higher premium.

Make sure to view your plan’s policy documents BEFORE purchasing to make sure you have coverage for all your individual needs. Premium amounts vary based on plan, trip cost, and age, and coverage can vary slightly based on your state of residency.

See policy documents for a specific Atlas Journey plan

Trip Cancellation Insurance for COVID

With the risk of contracting COVID-19 before or during your trip, having trip cancellation insurance for COVID may be of the utmost importance to you. A Trip Cancellation benefit can save you money and provide support in stressful situations. 

For example, let’s say you are sick or hospitalized due to COVID-19 before departing on your trip and your doctor advises you not to travel. Illness that prevents you from traveling is a valid covered reason for cancellation under many travel insurance policies, including Atlas Journey, so your prepaid and nonrefundable trip expenses could be covered.

Emergencies can also happen while you’re traveling. Travel insurance with emergency medical coverage can help pay your medical bills if you catch a severe case of COVID-19 while traveling. This can be especially helpful if you are traveling abroad, where your primary health insurance may not cover you or may have limited coverage. Just make sure you purchase a travel insurance plan that provides coverage for COVID-19-related medical expenses. For example, eligible medical expenses related to COVID-19 are covered the same as any other illness under our Atlas Journey plans, up to the Emergency Accident & Sickness Medical Expense maximum benefit for the plan you choose.

What about quarantine? Trip cancellation plans may provide some coverage if you are quarantined during your trip dates. For example, Atlas Journey includes a Travel Delay benefit that will reimburse you up to $150 per day (up to a $2,000 maximum) under Atlas Journey Explore or up to $200 per day (up to a $2,000 maximum) under Atlas Journey Elevate if you are delayed for 5 or more hours due to a covered reason, such as quarantine, while en route to your trip, during your trip, or while returning from your trip.

Finally, let’s say you want to be able to cancel if you become concerned about COVID conditions in your destination. Remember: general COVID concerns are NOT a valid reason for canceling your trip under most travel insurance plans. You’ll need to look for COVID travel insurance with Cancel for Any Reason coverage that would reimburse you if you if you were to cancel your trip due to a reason not already covered under your policy’s Trip Cancellation benefit.

When searching “best travel insurance COVID,” make sure your plan offers both trip cancellation coverage and emergency medical coverage to fit your travel needs. You may want to look for a plan that will cover the cost of mandatory quarantine due to testing positive for COVID-19 too. Read your plan’s policy documents to ensure you understand the requirements necessary to use each listed benefit.


Should I Buy Trip Cancellation Insurance?

Are you still wondering “Should I buy trip cancellation insurance?” Think of it this way – if you have a valid trip cancellation insurance plan while traveling, you’ll be protected from a number of potential losses. If you add the CFAR benefit, you will have the freedom to cancel your trip for any reason, no matter how small. Consider your unique situation before deciding whether trip cancellation insurance is right for you.

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WorldTrips is a service company and a member of the Tokio Marine HCC group of companies.

WorldTrips’ Atlas Travel Series and StudentSecure international travel medical insurance products are underwritten by Lloyd's. WorldTrips has authority to enter into contracts of insurance on behalf of the Lloyd's underwriting members of Lloyd's Syndicate 4141, which is managed by HCC Underwriting Agency, Ltd.

WorldTrips' Atlas Journey, Atlas Cruiser, and Atlas On-The-Go trip protection insurance products are underwritten by Tokio Marine HCC's U.S. Specialty Insurance Company (USSIC). USSIC is a Texas-domiciled insurance company operating on an admitted basis throughout the United States. Coverage is available to U.S. residents of the U.S. states and District of Columbia only. This plan provides insurance coverage that only applies during the covered trip. You may have coverage from other sources that provides you with similar benefits but may be subject to different restrictions depending upon your other coverages. You may wish to compare the terms of this policy with your existing life, health, home, and automobile insurance policies. Coverage may not be available in all states.

In the State of California, operating as WorldTrips Insurance Services. California Non-Resident Producer License Number: 0G39705