How Does Trip Cancellation Affect Your Travel Insurance?

Travelling around the world is one of the best ways to get out of a monotonous schedule and create new memories. With affordable flights and travel packages, travelling has become quite easy and simple. You get to move out of your comfort zone and step into a different environment. It can help you become more responsible and helps you instil a sense of independence. Along with this, it is a great way to work on your personal growth.

However, it would help if you took the proper precautions before you went on your trip. For instance, you must prepare an itinerary for your trip, create a budget, etc. In addition, if you’re travelling to European countries, you must get the Schengen visa beforehand. Along with this, you must also get the Schengen visa travel insurance

Travel insurance for a Schengen visa is an effective way to protect yourself on your trip from unprecedented dangers. Most insurers like Tata AIG allow customers to get the Schengen travel insurance in India directly through their website. With an online purchase, you can compare travel insurance policies and make an informed decision. While getting the policy is a legal mandate for visiting some countries, the policy can help you in several ways. 

Coverage for difficult situations during your trip can be quite helpful. However, what if you face certain issues before the trip even starts? For example, will the travel insurance cover help you if you have to cancel the trip? The answer is yes!

What is Trip Cancellation in Travel Insurance?

While you may be planning day and night for your trip, certain events may pop up in your life. Listed below are a few examples of certain events that may come into your life randomly:

  1. Medical emergencies: You or any family members may fall sick and need proper medical attention to deal with the ailment.
  2. Work allotment: While you may have applied for a leave, you may be allotted some important tasks that are time-bound and crucial for the company.
  3. Natural disasters: The destination you have chosen for your trip may see unprecedented events like a tsunami, earthquake, etc.

If you face any issues like these events, you may have to cancel your trip. Trip cancellation may get you down because of the bookings you lose and the missed opportunity to travel to new places. However, you can be at peace with a travel insurance plan knowing that you will be covered for your losses. Trip- cancellation and interruption cover is a section of the standard travel insurance policies. 

If you have to miss your vacation because of any reason, you can file a reimbursement claim for the non-refundable and pre-paid bookings and expenses like your hotel bookings and your flight tickets. However, the travel insurance policy will provide you coverage only if these issues happen after you have purchased the policy. If you buy the policy after these issues occur, you will not be reimbursed for cancelling the trip. Most travel insurance plans also cover last-minute cancellations for your trip.

How Does Trip Cancellation Cover Work in Travel Insurance?

If you wish to cancel your trip, you must contact your travel insurance company. Most insurer’s offer 24×7 customer service for any assistance. Once you have contacted your insurer and informed them, they will guide you through the process you must follow to file the claim and the documents you will need to provide. In addition, most insurers offer online claim processes. Once your claim is analysed and settled, you will get the reimbursement amount from your travel insurance company.

Coverage Provided in a Travel Insurance Plan

Travel insurance plans are insurance policies that provide you financial protection if you face any issues while you’re on a trip or a vacation. Travel insurance policies are efficient methods to stay protected from unprecedented issues. Purchasing travel insurance can be quite beneficial for you. With a travel insurance policy, you will get coverage for the following situations:

  1. Personal accidents: You may be involved in accidents when you’re travelling. The travel insurance plan will offer you coverage for any accidental emergencies you face on your trip.
  2. Baggage loss: Losing your baggage can be quite stressful while you’re on a trip. However, you get compensation for the essentials you purchase for your trip after losing your baggage with a travel insurance plan.
  3. Passport loss: Passports are important documents for travelling abroad. You may face issues if you lose your passport on your trip. The travel insurance coverage will provide you insurance coverage for getting a new passport or a duplicate one.
  4. Medical emergencies: Medical emergencies come unannounced, and they can be quite frustrating to deal with on a trip. However, with the traveller insurance plan, you will get proper medical treatment coverage.


Travel insurance policies can be extremely beneficial in case you run into some problems on your trip. The policy will also help you if you have to cancel your trip. Trip cancellation can occur because of several reasons like medical emergencies, work-related issues, etc. If you have to cancel your holiday, the travel insurance policy will help you get coverage for all the bookings that you had made (flight bookings, hotel accommodations, etc.). This way, you can be at peace knowing that you will be financially reimbursed for all the bookings.

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