Okay, so we wish this wasn’t true. In addition to all the other travel expenses, now we’re going to pony up for some kind of testing, plus now cancel for any reason trip insurance.
We started buying trip insurance ourselves only when needed, and writing about it, more than a decade ago. Last fall your editors traveled extensively internationally and purchased trip insurance that gratefully wasn’t used. But six months ago was like living in a different world, given what has happened in the interim.
Imagine if that trip had been for this spring instead of last fall!
“Cancel for any reason” (CFAR) coverage is a travel insurance coverage “option” that will reimburse prepaid, non-refundable trip expenses. This provides the flexibility needed in today’s unknown world to cancel your trip, for any reason whatsoever. Keep in mind that trip insurance generally does not provide any coverage for canceling unless you or an immediate family member are sick. So just because the world is upside down does not provide any reason to get your money back, unless you purchase this specific coverage.
How does “Cancel for Any Reason” work?
In a nutshell, it gives you the ability to cancel the trip without any questions asked. Keep in mind, however, that these policies provide either 50% or 75% refund, so build that into your planning. Also, keep in mind that most policies allow you to cancel up to 48 hours before travel commencing.
CFAR for COVID
If you test positive, and we hope you don’t, the regular trip insurance will cover you because of illness. CFAR can help if you know within 48 hours of travel that testing is not an option, or results will not be known in time, and you need to cancel.
When to buy trip insurance and cancel for any reason coverage.
This depends on the policy, but in our experience, typically it needs to be purchased within 14-days after your first trip payment is made.
How far in advance do you need to cancel your trip?
Again, this is policy-specific, but generally, you need to cancel at least two days before starting your trip for the cancel for any reason coverage to be valid.
Where do you get “cancel for any reason” coverage?
Most companies selling trip insurance offer this as an optional, extra-cost option. We’ve used Insure My Trip for years, but have also used Squaremouth. There are a plethora of options either via agencies or directly from the providers. It is coverage not typically available through airlines.
Comparison shopping for trip insurance: How much does it cost?
We went shopping for Hawaii trip insurance just now and here is what we found. We used the following details for our what-if scenario: $2,000 in trip insurance covering two people, traveling for seven days from California to Hawaii in mid-August 2020. The various options offered cost (before adding CFAR) $52 to $238 (total for two passengers). That was for comprehensive coverage including trip cancellation, trip interruption, baggage loss and damage, and much more. But did not include CFAR.
The range of options in order to have CFAR was $156 to $357; a substantial increase. At both ends of the cost spectrum, CFAR coverage provided 75% of non-refundable trip costs, so long as the following rules were adhered to. 1) purchase was made within 14 days of initial trip payment, 2) any subsequent arrangement(s) were added to the coverage within 14 days of the date of Payment/Deposit, 3) insurance is purchased for the full cost of all non-refundable prepaid Covered Trip arrangements, and 4) the trip is canceled no less than 2 days before the scheduled departure date.
Here’s why cancel for any reason is essential in an unknown world.
Honestly, we have rarely purchased this coverage before, but wouldn’t consider traveling without it now and for the foreseeable future, so long as there are significant expenses for which we cannot be assured of receiving a refund if we canceled. That includes most airfares, accommodations, etc. Car rentals typically don’t require advance purchase, so we won’t be insurance those. Obviously, the less you need to insure, the lower the insurance premium cost.
Please retract my previous comment minutes ago. I misread my email from Allianz Travel Insurance. The email stated I do have medical insurance if needed with any illness 2 days prior or during my trip to Oahu.
I have a trip planned for dates April 20-26,2021 of which I followed all the rules and arranged for travel insurance within 14 days of booking airline tickets s. In my case with Allianz Trip Insurance. I just received a response when I checked on the CFAR Insurance and was told I did not have this coverage and only Travel Agencies write these. It was also noted I did not have Medical Coverage. I reviewed my policy and I do have $10,000 in medical which includes medical transportation to the point of my departure. Please be savvy and keep all documentation concerning first point of contact with salesforce. I return every April (not 2020 of course) in celebrate of my deceased Son’s birthday and ANZACZ Day at the Punchbowl a must if you have never experienced this event.
Aloha BOH,
I work for a health care system on the west coast, and we just were informed of a nationwide shortage of Covid testing reagent. This means only symptomatic people will get tested until the shortage is over. This likely makes Hawaii’s plan of pre-flight testing moot. I would recommend that everyone delay travel to Hawaii until the testing can be done on everyone again. Sadly, this will likely mean many months more of tourism stoppage.
“Demand for C0VID-19 testing has steadily increased while the supply of materials required to run tests has not increased to meet demand. A backlog of patient samples is beginning to build up as a result. Sample collection will continue; however, we do not anticipate that we will receive higher volumes of reagent to have capacity for additional testing for at least several more months due to the national shortage. As such, we may run into days where we are not able to accommodate all patients. We need your support to be able to continue to return test results within 48-72 hours and prevent further strain on our testing capacity”
Hi James.
Thanks.
Aloha.
Aloha and thanks so much for your well researched information.
I am wondering if there is any site I can access that will list the various businesses that are currently open on Kauai. We are back on island now and notice restaurants with signage, but haven’t been able to find any sort of comprehensive list. We would likely go out to eat if we had access to this information. Also, friends wanting to visit from the big Island ……is there a list of the hotels that are now open, activities etc?
I know this is off topic, but I believe we are not alone in our frustration when it comes to finding out where things stand. Mahalo!
Hi Joan.
Thanks. We are unaware of any such site/information. We don’t know ourselves what is open and what hours they are keeping, and we are here.
Aloha.
Could you please advise me. I have tickets to fly to Hilo on the 31 of July. I live part time in Pahoa. Should I reschedule for Aug. 1 to avoid the quar antine?
Hi Rickey.
We’ll update with more information on August 1 as soon as we obtain it.
Aloha.
Aloha. Good info but I suspect many ( most?) people are going to look at all of this confusing & constantly changing Gov Ige directives and say “ I’ll wait for a vaccine.” I don’t think insurance is the answer. And regarding a vaccine and a comment made about “40%” effective rate, my wife is a Level 1 ER/Trauma Manager. She said the effectiveness directly relates to the specific vaccine and virus. Some vaccines like for measles are highly effective. Aloha
Hi Tom.
Thanks.
Aloha.
Hi how do I find out about the trip insurance you are taking about? I couldn’t find any info on who to call thanks Susie
Hi Susie.
We provided two companies in the article and there are others. You can Google them or search for travel insurance.
Aloha.