Trip Cancellation vs. Cancel for Any Reason

Shawn Plummer

CEO, The Annuity Expert

Trip Cancellation

Every comprehensive travel insurance policy will have basic trip cancellation coverage. In addition, it will cover you for certain reasons if your trip is canceled.

Trip cancellation plans cover an array of potential risks, including (but not limited to):

  • If you are not feeling well, or if you get hurt and cannot travel per your doctor can say that you cannot go.
  • If a family member becomes ill or dies and cannot participate in the trip.
  • Weather
  • Unforeseen disasters, like natural disasters or disease epidemics abroad.
  • Jury duty or subpoenaed as a witness in court

The details of this coverage vary from company to company. If you have to cancel, you will be reimbursed 100% of your prepaid and non-refundable trip cost if you can provide documentation. All of this coverage is only for specific reasons, not if the trip is canceled for other reasons.

Cancel for Any Reason

Cancel for Any Reason (CFAR) is an optional travel insurance benefit that some plans offer. This plan will usually come with extended coverage, and it can be a worthwhile service.

If you cancel a trip, then the CFAR can provide help. The CFAR is different from basic coverage. Eligibility includes:

  • This policy means that you can only buy this plan if you pay for it within 10-21 days of the first time you paid.
  • You must insure at least the full pre-paid, non-refundable cost of your trip.
  • Customers must cancel their plans 48 or 72 hours in advance of travel, based on the plan.
  • The insurance might only pay for 50%-75% of the cost.

With this travel insurance, it no longer matters what caused the traveler to cancel their trip, big or small – they can just do so.


New policies for traveling to countries with the coronavirus will only be covered if you have “Cancellation for Any Reason” coverage.

Shawn Plummer

CEO, The Annuity Expert

I’m a licensed financial professional focusing on annuities and insurance for more than a decade. My former role was training financial advisors, including for a Fortune Global 500 insurance company. I’ve been featured in Time Magazine, Yahoo! Finance, MSN, SmartAsset, Entrepreneur, Bloomberg, The Simple Dollar, U.S. News and World Report, and Women’s Health Magazine.

The Annuity Expert is an online insurance agency servicing consumers across the United States. My goal is to help you take the guesswork out of retirement planning or find the best insurance coverage at the cheapest rates for you. 

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