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Understanding travel insurance and terrorism coverage

Wellington, New Zealand

A December 2017 view of Wellington, New Zealand. (Photo by Todd DeFeo/The DeFeo Groupe)

In the wake of shootings at a pair of mosques in Christchurch, New Zealand, some travelers might want to cancel their upcoming trip to New Zealand.

New Zealand is generally regarded as one of the safest countries in the world.

According to Squaremouth, travelers do so if they had a travel insurance policy with trip cancellation coverage for terrorism in place before March 15.

Plans must meet some of the following requirements:

Travelers presently in New Zealand may be covered to cut their trip short if their policy includes trip interruption coverage for terrorism. Trip interruption can refund prepaid trip costs when a trip is cut short for an unexpected reason, such as a terrorist attack.

The benefit can also cover the additional costs a traveler pays to return home early.

Trip Interruption reimburses travelers up to a specified amount, usually based on the trip’s trip cost. If travelers do not insure their trip cost payments, some policies still include a limited benefit amount to return home.

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