Best cancel for any reason travel insurance 2023

Best cancel for any reason travel insurance 2023

If you’re planning a trip, travel insurance can be a great investment if you experience delays, cancellations or lost baggage. However, a standard travel insurance plan doesn’t cover everything, especially if you need to cancel for an uncovered reason.

If you’re planning a trip with prepaid, nonrefundable flights, hotels or excursions, it’s a good idea to get travel insurance with cancel for any reason coverage. In this article, we’ll explain why you might need this coverage and share which companies have the best cancel for any reason travel insurance.

Methodology



To choose our winners for the best cancel for any reason travel insurance companies, we analyzed more than 50 policies from 19 different companies for a family of four and for couples of various ages traveling to Italy and Mexico. Trip costs ranged from $3,000 to $15,000. We then narrowed down our list to the top 20 policies (across 14 companies) that offer cancel for any reason coverage. From there, we judged each policy across five essential categories. We analyzed over 750 data points and used more than a dozen primary data sources during our research. Read our full methodology here.

Seven Corners RoundTrip Basic

Seven Corners RoundTrip Basic

Why we picked it

Seven Corners’ RoundTrip Basic plan had the lowest price among the plans with CFAR we reviewed, with an average premium of $397.03. For comparison, the average cost of the 20 travel insurance plans with CFAR coverage we reviewed was $635.23.
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Although the RoundTrip Basic plan was the cheapest, it only provides $100,000 in emergency medical coverage on a secondary basis, which means your health insurance would pay first in a covered claim. There is also a 60-day look-back period for determining preexisting conditions for exclusion.

Pros

  • Cheapest average premium for CFAR coverage
  • Overall score of 4.3 in our Best Travel Insurance Companies rating
  • Provides 75% CFAR and interruption for any reason coverage

Cons

  • 60-day look-back period for preexisting conditions
  • Only provides $100,000 secondary emergency medical coverage
  • Only provides $500 per person for baggage and personal item losses

Who should use it

Consumers who are looking for the cheapest cancel for any reason travel insurance policy.

Travel Insured Worldwide Trip Protector

Best for baggage delay coverage

Travel Insured Worldwide Trip Protector

Why we picked it

Travel Insured’s Worldwide Trip Protector plan provides up to $500 per person in coverage for delayed baggage after a waiting period of just three hours. This means coverage will kick in after your baggage is delayed for three hours or longer after you arrive at your location. However, this doesn’t apply to your return location.
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Despite the plan’s comprehensive baggage delay coverage, it only provides $100 in coverage per person for losses to baggage and personal items. This is compared to other insurers in our study that offer $500 to $3,000 per person.

Pros

  • Three-hour waiting period for baggage delay coverage
  • Six-hour waiting period for hurricane and weather delay coverage
  • Below-average premiums for standard and CFAR coverage
  • No look-back period for preexisting conditions

Cons

  • Only provides $100 per person for baggage and personal item losses
  • Only provides $100,000 primary emergency medical coverage

Who should use it

Travelers who are concerned about coverage for baggage delays and want a short waiting period.

Seven Corners RoundTrip Choice

Best for baggage and personal items coverage

Seven Corners RoundTrip Choice

Why we picked it

For baggage and personal item losses, Seven Corners’ RoundTrip Choice plan provides a $2,500 coverage limit for each traveler and a $250 limit for each lost, damaged or stolen item. However, coverage is provided on a secondary basis, with any coverage provided by your airline or another third party acting as primary.
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Some of the other policies we reviewed offer higher per-person and/or per-item coverage limits for losses to baggage and personal items, but the RoundTrip Choice plan had a significantly higher overall score, which is why we selected it as the winner of this category.

Pros

  • Covers $2,500 per person for baggage and personal item losses
  • Overall score of 5 in our Best Travel Insurance Companies rating
  • Six-hour waiting period for baggage delay coverage

Cons

  • Baggage and personal items coverage is secondary
  • 48-hour waiting period for hurricane and weather delay coverage

Who should use it

Consumers who want a CFAR travel insurance plan with a larger per-person coverage limit for replacing lost, stolen or damaged baggage and personal belongings.

Trawick International Safe Travels First Class

Best if you’re traveling with a serious health condition

Trawick International Safe Travels First Class

Why we picked it

Trawick International Safe Travels First class provides $1 million in coverage if you need to be evacuated and flown home due to serious injuries. Additionally, the company has no pre-existing condition exclusion, which means a traveler with heart issues, for example, might be covered if they have a heart attack while traveling and need to be flown home.
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That being said, the Safe Travels First Class plan has a low emergency medical coverage amount of $100,000, compared to the group average of $168,846.

Pros

  • $1 million in medical evacuation and flight-home coverage
  • Premiums were around $136 lower than group average
  • 75% CFAR reimbursement rate

Cons

  • No IFAR coverage
  • Emergency medical coverage of $100,000 is lower than average

Who should use it

Those who have serious pre-existing health conditions that could flare up abroad and require emergency evacuation and a flight back home.

WorldTrips Atlas Journey Preferred

Best if you’re traveling with sports gear

WorldTrips Atlas Journey Preferred

Why we picked it

Of the 20 plans we researched, WorldTrips Atlas Journey Premier was the highest-rated plan that included sports equipment in its lost baggage coverage, a benefit that many of the companies in our research did not offer.

Pros

  • Sports gear is included in lost baggage coverage
  • Second-lowest premiums among 20 plans

Cons

  • 50% CFAR reimbursement rate
  • Excellent overall score for all-around travel insurance

Who should use it

Those who plan to travel with sports gear and want to make sure that gear is covered if it’s lost during the flights you have planned for your trip.

HTH TripProtector Preferred

Best trip interruption coverage

HTH TripProtector Preferred

Why we picked it

Surprises don’t just come before a trip begins and that’s why most travel insurance plans include trip interruption insurance, which provides reimbursement for trips that are interrupted by covered reason such as you or your traveling companion getting sick or injured during your trip. HTH’s TripProtector Preferred provides a 200% reimbursement rate for trip interruption expenses, the highest rate of the companies we examined.
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Keep in mind, though that your interruption coverage will cost you. TripProtector Preferred’s premiums were nearly $70 higher than the group average.

Pros

  • Highest trip interruption reimbursement rate among 20 plans
  • Excellent scores for all-around travel insurance
  • 75% CFAR reimbursement rate

Cons

  • CFAR premiums were around $68 higher than group average
  • No interruption for any reason coverage

Who should use it

Travelers who are concerned about getting sick or injured during a trip and want the peace of mind that HTH’s 200% reimbursement rate brings.

IMG iTravelInsured Travel LX

Excellent car rental coverage

IMG iTravelInsured Travel LX

Why we picked it

IMG’s iTravelInsured Travel LX provides up to $40,000 in rental car coverage in the event your rental is damaged during your travels. Most plans we researched did not offer any rental car coverage, making Travel Insured LX’s coverage a rarity.
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The added coverage you get for rental cars comes with a catch, though: Travel Insured LX premiums were nearly $200 more than the group average.

Pros

  • $40,000 of rental car coverage
  • 75% CFAR reimbursement rate
  • 75% IFAR reimbursement rate

Cons

  • Premiums were nearly $200 higher than the group average
  • Mediocre score for all-around travel insurance

Who should use it

Those who plan to use rental cars while abroad and can afford higher premiums.

TravelSafe Classic

Best for missed connection coverage

TravelSafe Classic

Why we picked it

The Classic plan’s $2,500 in missed connection coverage was the highest out of all plans with at least a three-star overall score. Missed connection coverage reimburses covered expenses you incur when miss your tour or cruise.
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Like other travel plans with standout coverages, TravelSafe Classic’s premiums were higher than the group average: $717.20 compared to $625.23.

Pros

  • $2,500 in missed connection coverage was highest in group
  • 75% CFAR reimbursement

Cons

  • No IFAR coverage
  • Premiums were around $82 higher than group average

Who should use it

Cruisers who plan to leave the ship during port calls and want to protect themselves from unseen delays that could cause them to miss their tour or ship departure time.

Top companies at a glance

What is cancel for any reason travel insurance?

Cancel for any reason (CFAR) travel insurance provides partial reimbursement for prepaid and nonrefundable travel expenses if you need to cancel your trip for a reason that isn’t covered by a policy’s trip cancellation coverage. For example, this policy would refund you for prepaid flights, hotels and excursions if you needed to cancel a trip due to a last-minute work obligation, bad weather in the forecast or a family emergency. In most cases, CFAR covers cancellations up to 48 to 72 hours before your trip.

Standard travel insurance policies typically include trip cancellation coverage, which will reimburse you up to 100% of your eligible expenses if you have to cancel your trip for a covered reason. By adding CFAR to your policy, this expands coverage to generally include any reason for cancellation, except for those related to preexisting conditions — as defined by the policy.

However, CFAR will usually only refund 50% to 75% of your expenses. Therefore, if your cancellation reason is covered by standard trip cancellation coverage, you’ll see a higher benefit than a reason covered by CFAR.

How does cancel for any reason coverage work?

If you need to cancel your trip, you can file a claim with your travel insurance company to get reimbursed for some of your prepaid and nonrefundable expenses.

Most CFAR travel insurance plans provide partial reimbursement between 50% to 75% of your nonrefundable costs, but there are some plans with higher limits. For instance, Allianz Travel Insurance with cancel for any reason reimburses up to 80% of your prepaid expenses.

To be eligible for CFAR coverage, you may have to meet certain conditions, such as:

  • Buying the travel insurance plan within a certain period of time after booking your trip and before you leave (called the time-sensitive period)
  • Insuring the full amount you paid for your trip
  • Canceling your trip no later than the time frame specified in your policy (like 48 hours before departure)

To file a CFAR claim, you will need to submit documentation proving the reason for cancellation, such as recent medical records or an updated travel itinerary, and receipts for your nonrefundable expenses.

Why do you need cancel for any reason travel insurance?

  • Can provide partial reimbursement for prepaid travel expenses: Cancel for any reason travel insurance (CFAR) can offer partial reimbursement for prepaid and nonrefundable trip expenses, such as activities, hotels, train tickets and flights.
  • Offer peace of mind in case of unexpected trip cancellation: CFAR covers any reason for cancellation that your standard policy doesn’t include, such as inclement weather, illness, safety or COVID-19 fears or even flight changes.
  • Allows you to cancel at the last minute: Some CFAR policies require you to cancel your trip at least 48 hours before your scheduled departure, but some allow same-day cancellations to receive reimbursement.

What does cancel for any reason insurance cover?

As the name suggests, cancel for any reason travel insurance allows you to cancel for any reason that wouldn’t normally be covered under your policy. Some of the covered reasons for cancellation may include:

  • Work obligation
  • Fear of flying
  • Lost or delayed passport
  • Issues getting childcare
  • Bad weather forecast at your destination
  • Safety concerns
  • Family emergency
  • Health concerns

Pros and cons of cancel for any reason travel insurance

Pros explained

  • Reimburses some of your nonrefundable expenses: If you have to cancel your trip for any reason, your insurance company will reimburse you for a portion of your prepaid trip costs.
  • Able to cancel for reasons not covered by your standard policy: CFAR allows you to cancel your trip for any reason that’s not covered under your standard policy.

Cons explained

  • Only provides partial reimbursement: Most CFAR travel insurance policies will only reimburse between 50% and 75% of your nonrefundable trip costs, so you will still lose some money if you need to cancel.
  • Includes time limits for adding CFAR to your plan and for canceling your trip: Most insurers require you to purchase a CFAR plan and cancel your trip within a certain time frame. For instance, Travel Insured requires policyholders to add CFAR within 21 days of making the first deposit on nonrefundable trip expenses and to cancel their trip at least 48 hours before departure.
  • Typically more expensive than standard travel insurance: Adding CFAR to your travel insurance policy can be expensive. Based on our analysis, the average cost of CFAR insurance is $258.19.

How much does cancel for any reason insurance cost?

The cost of cancel for any reason travel insurance depends on a variety of factors, including the insurance company, your travel destination and the value of your trip.

According to our data, the average cost of travel insurance with CFAR was $635.23. The cheapest plan was Seven Corners’ RoundTrip Basic plan, which had an average cost of $397.03. The most expensive plan was Berkshire Hathaway Travel Protection’s LuxuryCare plan, with an average cost of $941.51.

Below, you can see the average plan prices for travel insurance with cancel for any reason:

Is cancel for any reason travel insurance worth it?

Cancel for any reason travel insurance can be worth it for some people, particularly if you’re taking a trip that’s mostly prepaid. It can also provide financial protection if there’s a chance you might have to cancel your trip. For instance, if you have a sick parent or you’re starting a new job with an unpredictable schedule, having CFAR can provide some peace of mind.

However, not everyone needs to add CFAR to their travel insurance policy. You might not need to add CFAR if most of your travel expenses are fully refundable or if you’re not concerned about canceling your trip for a circumstance that’s not covered by your base plan.

Whether or not travel insurance with cancel for any reason coverage is worth it depends on your needs and budget.

Methodology

To find the best cancel for any reason travel insurance companies, we started by examining more than 50 policies from 19 different companies. We then narrowed it down to the top 20 policies (across 14 companies) that offer cancel for any reason coverage.

For each policy, we analyzed five crucial categories. To identify the winners, we worked with over 700 data points. The following sections describe the category we scored and the weight we gave that category in our scoring model.

Average CFAR premium (35%)

We took the average premium for a plan with cancel for any reason coverage for the following travelers:

  • A 30-year-old couple traveling to Mexico for $3,000
  • A 40-year-old couple traveling to Italy for $6,000
  • A 65-year-old couple traveling to Italy for $6,000
  • A 70-year-old couple traveling to Mexico for $3,000
  • A family of four traveling to Italy for $15,000

This category accounts for 30% of each plan’s overall score because it’s a key factor in travelers’ decisions about which travel insurance to buy. If a plan’s premiums are too high, a traveler might not choose it, even if it offers high coverage amounts. Therefore, plans with lower premiums received higher scores.

CFAR reimbursement percentage (25%)

Cancel for any reason coverage allows you to cancel your travel purchase for any reason, whereas you’d normally be restricted to a certain number of covered cancellations with your plan’s trip cancellation coverage. CFAR plans typically reimburse you for a certain percentage of your trip cost, with many companies offering 50% to 75% reimbursement. Plans with higher reimbursement percentages earned higher scores.

Overall travel insurance score (25%)

Since cancel for any reason is a coverage you add to a standard travel insurance policy, we took each plan’s overall score from our “Best travel insurance companies” rankings into consideration. Plans that scored well for their base features earned higher CFAR scores.

Interruption for any reason (IFAR) coverage (7.5%)

The usual trip interruption coverage only covers you if you have to interrupt your trip for specific reasons. IFAR coverage reimburses you if you have to interrupt your trip for any reason not already covered by your policy. Like CFAR, IFAR coverage offers to pay a percentage of your trip costs. Companies with higher reimbursement rates earned higher scores.

IFAR activation time (7.5%)

Interruption for any reason typically includes a waiting period, or activation time, after you depart for your trip and before coverage takes effect. Companies with shorter IFAR activation times scored higher.

What didn’t make the cut

Of the 20 cancel for any reason travel insurance plans we analyzed for our final rankings, 12 did not win a category, including John Hancock Silver and Gold, Tin Leg Gold and Luxury, Cat 70 Travel Plan, USI Affinity Ruby, AXA Assistance Platinum, Travelex Travel Select, Trawick International Safe Travels Voyager and Berkshire Hathaway LuxuryCare. In many cases, companies did not make our top picks because of their high premiums and low CFAR reimbursement rate, two categories that made up 60% of a company’s score.

Frequently asked questions (FAQs)

Cancel for any reason coverage, which is an add-on, reimburses you for prepaid trip expenses if you have to cancel for a reason that’s not covered under your regular travel insurance policy. While a standard policy does include trip cancellation coverage, it’s typically limited to specific reasons for cancellation, such as a natural disaster at your travel location, legal obligations like jury duty or an unexpected illness that prevents you from traveling.

Cancel for any reason travel insurance allows you to cancel your trip for any reason that might arise that’s not already included in your trip cancellation covearge. Whether there’s a safety concern about your travel destination, you have a sudden family emergency or you have a falling out with your travel partner, you can cancel the trip and get reimbursed for a portion of your prepaid expenses.

Yes, most travel insurance companies offer CFAR as an add-on. CFAR is usually available for domestic and international travel, regardless of the destination and the value of your trip. However, you may have to purchase CFAR coverage within a specific time frame, such as within 21 days of making your first down payment on the booking.

If you’re planning a trip overseas, having CFAR travel insurance can help provide some financial protection. Depending on where you’re traveling to, international trips can be more expensive than domestic trips. If you need to cancel an international trip, your travel insurance company will provide partial reimbursement for your prepaid and nonrefundable travel expenses.