Flight Flexibility: Utilizing Purchase Insurance To Alter Travel Plans

Changing a booked flight can be a stressful and costly experience, but purchasing travel insurance can help to alleviate some of the financial burden. The process for changing a flight when you have purchased insurance will depend on the type of insurance you have bought, and the specific terms of your policy. It is important to read the fine print of your policy before assuming you are covered for any changes you wish to make.

Basic flight insurance plans may only cover you if you or a family member become ill or are injured and are unable to fly. More comprehensive travel insurance policies may cover you for a wider range of unforeseen events, such as a death in the family, a terrorist event, or severe weather conditions. Some policies will also cover you for changes to your flight due to travel provider issues, such as delays or cancellations.

When changing a flight with insurance, you will usually need to follow a similar process: cancel your flight with the airline, determine the amount of your claim, review the required documentation, and submit your claim along with any supporting documents. It is important to act quickly, as many insurers require claims to be submitted within a certain timeframe.

Cancelling a flight with travel insurance

If you need to cancel a flight, travel insurance can reimburse you for the non-refundable portion of your ticket. However, this is only the case if you have to cancel due to a serious illness, a death in the family, natural disaster, or another reason specifically covered by your policy.

• Contact the airline and cancel your flight. Most airlines allow you to do this online, through their app, or by calling customer service.
• Determine the amount of your claim. When you cancel a flight, you may be entitled to a refund of some or all of the ticket price. Travel insurance will reimburse you for the non-refundable portions of your trip, so your claim amount is the price of your non-refundable travel plans minus any refunds, up to your eligible limits.
• Review the claim documentation checklist provided by your travel insurance company, and gather all the required documents.
• Submit your supporting documents to the travel insurance company. It's best to submit all the information at once, so the claims adjuster can make a quick decision.
• Respond to any additional requests for information from the insurance company right away. If too much time passes, your claim could be denied.

• Determine if you're cancelling for a covered reason. Review your policy to see what reasons are eligible for coverage.
• Document everything and save all receipts. Keep a journal of all communications with the airline, your doctor (if applicable), the insurance agency, and anyone else related to your claim.
• Call your doctor if you're sick. You'll need a doctor's advice that you cancel your trip to prove that your travel insurance claim is valid.
• Contact your travel insurance company right away. Start your travel insurance claim as quickly as possible. If you don't submit your claim and supporting documentation within the required timeframe, it will be denied.
• Consider rescheduling your flight. After the pandemic, many airlines dropped fees for changing flights, so this could be quicker and easier than trying to get reimbursed through insurance.
• Remember that travel companions might be covered, too. Review your travel policy to see if it covers travel companions as well.
• Buy the right insurance coverage from the start. The most flexible types of plans are "Cancel For Any Reason" (CFAR) plans.

Before cancelling, discuss your situation with the airline to see if you can cancel or reschedule your flight without incurring a fee. This may be quicker and easier than submitting a claim through your travel insurance provider.

Changing your flight without incurring a fee

• Act quickly: Most airlines allow you to change or cancel your flight within 24 hours of booking without any fees. This is a great option if you spot a mistake or change your mind soon after booking.
• Keep an eye on schedule changes: Airlines sometimes make changes to flight schedules, such as altering departure times or aircraft types. If your flight details change significantly, you may be eligible for a refund or waiver of change fees. Stay vigilant and document any changes you notice.
• Same-day changes: If you need to change your flight on the day of departure, some airlines offer same-day changes for a low fee. This option allows you to switch to an earlier or later flight on the same day, usually for a smaller change fee.
• Purchase flexible fares or add-ons: When booking your ticket, consider purchasing a flexible fare or add-on option that allows for changes without a fee. These options tend to be more expensive upfront but can save you money if you need to make adjustments later.
• Check your travel insurance: If you have travel insurance, review your policy to see if it covers flight changes. Some policies will reimburse you for fees incurred due to covered reasons, such as illness or family emergencies.
• Contact customer service: Speaking directly with an airline representative can be helpful. They may be able to waive or reduce change fees, especially if you have a valid reason for the change, such as a serious illness or family emergency. It's always worth asking politely and providing any necessary documentation.
• Choose the right airline: Different airlines have varying policies regarding change fees. Some airlines, like Southwest, are known for not charging change fees at all. When booking, consider selecting an airline with flexible change policies to avoid potential fees.
• Take advantage of elite status: If you have elite status with an airline or are a frequent flyer member, you may be eligible for waived or reduced change fees. Airlines often offer perks to loyal customers, so it's worth checking your benefits.
• Understand award ticket policies: If you booked your flight with points or miles, be aware that award ticket change policies can vary. Some airlines charge fees for changing award travel, while others may allow changes without a fee. Review the specific rules of your airline's awards program.

Reasons for cancelling a flight

There are many reasons why flights get cancelled, and it's important to remember that cancellations are done with the passengers' best interests in mind. Here are some common reasons for flight cancellations:

Weather Conditions

Inclement weather is one of the most common reasons for flight cancellations. Airlines will not be penalised for delays or cancellations due to bad weather, and it is done for the safety of passengers and crew. This includes snow storms, hurricanes, thunderstorms, strong winds, and extremely high temperatures that can affect the aircraft's performance.

Security Risks

With tight airline security, any security concerns or risks can lead to flight cancellations. This could be due to a bomb scare at the airport, a threat or attack at the destination, or any other genuine security concerns.

Mechanical Issues

Any technical issues with the aircraft can lead to cancellations. This could be a hydraulic leak, a faulty engine, or even a door that fell off its hinge. These issues are taken seriously as there are hundreds of lives at risk, and airlines would rather delay or cancel a flight than risk an unsafe journey.

Computer Glitches

Technology is incredible, but even a small computer glitch or outage can cause large-scale cancellations. Flight patterns and schedules are dependent on algorithms and computations, so any issues with the airline's system or air traffic control can ground flights.

Lack of Aircraft, Crew, or Passengers

Sometimes there is a genuine lack of aircraft available, perhaps due to mechanical issues or overbooking. Similarly, a lack of crew or pilots can also cause cancellations, especially if they are deemed "unfit to fly" due to health, injury, or not having adequate rest. Flights also require a minimum number of passengers to be economical, and airlines may cancel if there are too few passengers.

These are some of the most common reasons for flight cancellations, and while it can be frustrating, it is important to remember that your safety is the top priority.

How to cancel a flight

Cancelling a flight can be a stressful experience, but travel insurance can help you recoup some of your losses. Here is a step-by-step guide on how to cancel a flight with the help of travel insurance:

• Review your travel insurance policy: Before taking any action, carefully review your travel insurance policy to understand the covered reasons for trip cancellation. Common covered reasons include serious illness, death in the immediate family, natural disasters, and travel carrier delays or cancellations.
• Contact the airline: Get in touch with the airline to cancel your flight. Most airlines allow you to do this online, through their app, or by calling customer service. Remember that the airline is not concerned about whether you have travel insurance; they just need to know that you won't be taking the flight.
• Determine your claim amount: When you cancel a plane ticket, you may be entitled to a refund of a portion or the entirety of your ticket price. Travel insurance typically reimburses you for the non-refundable portions of your trip, so calculate the difference between your original ticket price and any refunds or credits you receive from the airline.
• Gather supporting documents: Travel insurance companies often provide a checklist of documents required to process your claim. Gather all the necessary documents, such as receipts, emails, and other relevant communications. It is better to submit all the information at once rather than piecemeal to expedite the claims process.
• Submit your insurance claim: Contact your travel insurance provider to initiate the claim process. You can usually do this online, over the phone, or through their mobile app. Have your policy information and travel details ready when making the claim.
• Respond promptly to any additional requests: If the insurance company requests additional documents or information, respond as quickly as possible. Delays in providing the required information may result in your claim being denied.

Keep in mind that travel insurance policies vary, so it is essential to carefully review your specific policy to understand the covered reasons for cancellation and the required steps to make a claim. Additionally, some travel credit cards offer trip cancellation and interruption coverage, so it is worth checking if you have this benefit before purchasing separate travel insurance.

Trip cancellation insurance vs. basic flight insurance

Trip cancellation insurance and basic flight insurance are two different types of travel insurance that can help you recoup costs if you need to cancel your trip. Here's what you need to know about each:

Trip Cancellation Insurance

Trip cancellation insurance is typically included as part of a comprehensive travel insurance policy or offered as a benefit on premium credit cards. It covers pre-paid, non-refundable reservations, including flights, hotel bookings, and other travel arrangements if you have to cancel your trip due to unforeseen circumstances. Each policy will outline specific events that are considered valid reasons for cancellation, such as injury, illness, death of a travelling companion, inclement weather, jury duty, terrorist incidents, and job termination.

Trip cancellation insurance will not cover losses arising from self-harm, foreseeable events, acts of war, participation in dangerous activities, felonies, childbirth, or dental treatment.

Basic Flight Insurance

Basic flight insurance is usually offered as an add-on when booking flights directly with an airline or through online travel agencies. It typically covers lost baggage, reimbursements for missed connections, and refunds if you can't travel due to illness or injury. Some basic flight insurance plans may only offer refunds if you or a family member becomes ill or injured before the trip, while others may provide more flexibility, covering events such as terrorist events, flight cancellations due to bad weather, and death in the family.

Trip cancellation insurance offers more comprehensive coverage compared to basic flight insurance, which tends to have limited benefits. Trip cancellation insurance can be useful if you have a range of non-refundable travel expenses, such as flights, hotels, and excursions, that you want to protect. In contrast, basic flight insurance may be sufficient if your primary concern is refundability of flight costs in the event of illness or injury.

When deciding between trip cancellation insurance and basic flight insurance, consider the scope of coverage needed, your budget, and the complexity of your travel plans. If you're travelling domestically and your biggest concern is the ability to cancel or change your flight, basic flight insurance may be adequate. On the other hand, if you're planning a multi-destination trip with significant financial investments, a comprehensive travel insurance plan with trip cancellation coverage may be more suitable to safeguard your trip investments.

Frequently asked questions