A Coronavirus Pandemic Won’t Be Covered By Travel Insurance, says Squaremouth

Last Updated: February 27, 2020May 22, 2023 — 1 min read

ST. PETERSBURG, Fla. February 27, 2020 — The coronavirus outbreak has reached almost every continent, leading to reports of an impending global pandemic. Travel insurance comparison site, Squaremouth, urges nervous travelers not to rush to buy a policy now, and explains the only type of coverage that can still help. 

Pandemic Declaration Doesn’t Trigger Cancellation Coverage  

By the time an event reaches the severity of warranting an official pandemic declaration, it is typically well known worldwide, through government alerts and media reports. Once an event becomes common knowledge, it also becomes excluded by travel insurance policies – this is because insurance providers consider it to have a foreseeable impact on travel.

Travelers who wait until an event occurs will find very limited coverage for that event on a standard travel insurance policy. Since the coronavirus outbreak began, Squaremouth is reporting a 208% increase in travelers looking for cancellation coverage. However, as all travel insurance providers now consider the coronavirus as an expected event, it is excluded from trip cancellation coverage. 

Cancel for Any Reason Upgrade Available Even If Pandemic Is Declared

The only benefit Squaremouth is recommending for travelers who are looking to purchase a policy now, is the Cancel For Any Reason upgrade. This time-sensitive upgrade must be purchased within 21 days of the first trip booking and typically costs 40-50% more than a standard trip cancellation style policy. However, it can reimburse travelers 75% of their trip cost if they cancel their trip for a reason not otherwise covered by the policy, such as not wanting to travel due to the coronavirus.

In response to the outpouring of traveler concern over the coronavirus, Squaremouth created The Traveler’s Guide to Travel Insurance for the Coronavirus. This Guide is designed to help travelers who are looking for a policy now, to better understand the coverage that is still available, as well as current policyholders who want to know their coverage and options. 

For regularly updated information about Covid-19 and travel insurance, please visit our Covid-19 travel insurance information hub.