An Iceland volcano is in the news again! Authorities sounded the alarm after a series of minor earthquakes shook Bardarbunga, one of the world’s largest volcanoes. Airlines are on alert; the earthquakes could cause an eruption much like 2010’s which grounded 100,000 planes and cost almost $200 million.
When the 2010 volcanic ash disaster occurred, ash cloud travel insurance was very uncommon. Travel insurance companies and organizations like the Travel Health Insurance Association (THIA) had to scramble to put temporary guidelines together.
Since the disaster, some Canadian insurance companies have gone on to incorporate volcanic ash cloud coverage into their policies.
If another volcanic ash disaster happened today, how would Canadian travellers be covered?
First of all, check if your insurance policy has specified volcanic eruptions as a covered risk. If so, you’ll likely be covered as long as you bought your insurance before a travel advisory was issued.
Here are some standard benefits that would likely be covered:
• If you needed to cancel your trip before departure, you would be covered for airfare and other prepaid travel arrangements.
• If you already left Canada, you would be covered for airfare, unused prepaid travel arrangements, and reasonable out-of-pocket expenses.
Here are some quick tips to make sure you get reimbursed quickly:
1) Contact your insurance provider right away.
2) Keep all your transportation tickets and receipts on file to submit to your insurance provider.
3) If you need to make new travel arrangements, contact your insurance provider.
4) Lastly, make sure you’ve read your policy so you’re familiar with the conditions of coverage. This will also ensure you don’t miss any benefits you might be entitled to.
Here are the top 5 FAQ’s about travel insurance claims, and their answers.
Although not all insurance policies are created equal, the information here should give you a good enough idea of how to prepare for another volcanic ash disaster. Feel free to leave a comment below or tweet at us if you have any questions!
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