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“Interruption for any reason” travel insurance – Forbes Advisor

“Interruption For Any Reason” Travel Insurance

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Cutting a dream vacation short can be a nightmare, but if a family emergency or a sudden illness or injury strikes, you may need to get home sooner than expected. In this case, standard trip interruption insurance can help you recover non-refundable travel expenses if you cut your trip short for a reason covered by your policy.

But what if you want to make a trip interruption claim for a reason not stated in your policy? This is where Trip Interruption for Any Reason (IFAR) insurance comes in. It’s an upgrade to a standard travel insurance policy that allows you to cut a trip short for any reason and get a partial refund of the non-refundable money you lose.

How does Interruption for Any Reason travel insurance work?

Standard trip interruption insurance is included in the best travel insurance plans. It can reimburse you for a last-minute return flight as well as non-refundable prepaid deposits and expenses. So, for example, if you get home early and miss a private tour, you can file a claim.

If you need to make a trip interruption claim, your trip must be interrupted for a reason covered by your policy.

“Standard trip interruption requires a specific list of events that must occur before the benefit becomes payable, including unforeseen illness or injury, severe weather, natural disaster or terrorism,” says Sarah McWilliams-Guerra , a spokesperson for Squaremouth, a travel insurance comparison provider.

A “discontinued for any reason” upgrade gives you the freedom to file a claim, regardless of the reason for the disruption. It allows you to recover the prepaid and non-refundable travel money that you lose.

Angela Borden, spokesperson for travel insurance company Seven Corners, gives these examples of where IFAR can help:

  • You have a disagreement with your host and want to leave, so you decide to get to your next destination early.
  • You have an argument with a friend you are traveling with and want to get home before your scheduled return date.
  • You have an unexpected financial crisis and want to shorten your trip.
  • You’re not comfortable with your resort’s Covid measures, and you don’t feel comfortable staying there, so you decide to go home early.
  • You are unhappy with the condition of your Airbnb or your rental and decide to leave before the end of your trip.

Details of the “Interruption for any reason” insurance

While you have the most flexibility for interruption benefits under IFAR, here’s what McWilliams-Guerra says you need to know if you’re considering buying IFAR coverage:

  • You will not be reimbursed for up to 150% of your travel expenses, unlike standard trip interruption benefits. IFAR reimburses up to 75% of insured travel costs.
  • IFAR is an optional benefit.
  • You should generally purchase IFAR within 15-20 days of paying or depositing your first trip.
  • To be eligible for this benefit, you must insure 100% of your prepaid, non-refundable travel expenses.
  • IFAR coverage typically adds 3% to 10% to the cost of your travel insurance.

The most important stipulation of IFAR insurance is that coverage generally doesn’t begin until 48 hours or more after your trip begins, says McWilliams-Guerra. So, for example, let’s say you arrive at your destination and decide to head home on the first day because the forecast calls for rain on your golf trip. Your IFAR benefits will not apply if it is within the 48 hour window of your departure.

Some IFAR plans have a 72-hour waiting period before coverage kicks in, so be sure to check your policy for details.

Certain expenses are not eligible for reimbursement under IFAR. “A cancellation penalty imposed by a hotel or airline would not be due, but prepaid flight or hotel charges may be refundable,” says McWilliams-Guerra.

Also, IFAR does not cover money you lose because your travel supplier does not provide agreed travel arrangements for your trip. “IFAR was designed so that you can end your trip for whatever reason you want, not because your travel provider has not honored their agreement with you,” says Borden of Seven Corners.

Does “Interruption for any reason” insurance cover quarantines?

Standard trip interruption insurance can compensate you for missed parts of a trip if you have to quarantine due to a positive Covid test, assuming your travel insurance policy includes Covid cover.

With IFAR coverage, you can file a claim for pre-booked expenses you miss if you are forced to self-quarantine during your trip, whether you have contracted Covid or not.

These costs may include hotel rooms, activities and tours for which you have paid non-refundable deposits. Note, however, that to be eligible for a claim, you will need to be in quarantine after the waiting period before coverage kicks in, which can be at least 48 hours, or longer depending on your policy.

Related: Understanding travel insurance cover for Covid testing issues, border closures, travel advisories and quarantines

Who offers “Interruption for any reason” travel insurance?

Below are the travel insurance plans that offer an IFAR upgrade. All cruise plans except Nationwide offer 75% reimbursement of non-refundable, insured travel expenses

  • IMG iTravelInsured Travel LX. You must purchase IFAR coverage within 20 days of your first travel deposit. There is a 48 hour waiting period after departure before IFAR coverage begins.
  • Nationwide Cruise Universal, Choice and Luxury plans. There is a 48-hour waiting period after departure before benefits apply. Universal plan benefits are $250; for Choice, they are $500; and for luxury they are $1,000.
  • Seven Corner RoundTrip Basic and RoundTrip Choice. There is a 48-hour waiting period after departure before benefits take effect. You must purchase IFAR coverage within 20 days of your initial travel deposits.
  • Insured International Travel Worldwide travel protection. You must purchase your plan and IFAR within 21 days of your initial trip deposit. There is a 72-hour waiting period after your trip has departed before IFAR benefits begin.

What about “Cancellation for any reason” travel insurance?

Cancel for Any Reason (CFAR) coverage is an upgrade that partially reimburses you if you cancel a trip at least 48 hours before before you leave for your destination.

It generally reimburses 50% or 75% of lost travel costs if you cancel your trip, regardless of the reason. Cancellation for any reason cover adds an average of 50% to the cost of your basic travel insurance policy. Like IFAR, you usually need to purchase CFAR within weeks of making your first travel deposit.