Travel Insurance update: Coverage for flight cancellations
Travel can feel unpredictable, with ongoing concerns about flight disruptions and fuel supply. That’s why CAA Travel Insurance has enhanced coverage — so you can plan your trip with greater confidence.
What’s new
If your flight is cancelled by an airline (for reasons other than a strike) and you miss a significant portion of your trip, your insurance coverage may help you recover costs — even if the cancellation isn’t caused by a strike.
New coverage applies when:
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Your flight is cancelled by the airline (for reasons other than a strike)
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You’re unable to find a reasonable alternative to reach your destination
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You miss at least 30% of your trip
How coverage works
Depending on your situation, your benefits may include:
If you cancel or interrupt your trip:
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Reimbursement for unused, non-refundable travel costs
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Coverage for eligible expenses, including accommodation and meals
If you continue your trip:
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Coverage for flight change fees, or
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Reimbursement for additional transportation costs to get you to your destination
Added flexibility for peace of mind
If you’re feeling uncertain about travelling, you may be eligible for additional flexibility with:
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Cancel For Any Reason (CFAR)
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Interruption For Any Reason (IFAR)
These benefits allow you to adjust your plans — regardless of the cause — but coverage must be purchased within 72 hours of booking your trip to be eligible.
What’s important to know
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Insurance covers eligible expenses beyond what airlines are required to provide under regulations
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It does not cover costs the airline is already responsible for
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Supplier issues (like a provider failing to deliver services) are not covered unless specifically stated
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Current fuel supply concerns are not considered a “known event” at this time, so coverage continues to apply based on your policy.
Have questions?
Check out our Travel Insurance FAQs below for detailed answers and guidance or call 1-800-705-1803 to speak with a CAA Travel Consultant.
Flight cancellations & travel insurance: what you need to know
Travel plans can change — but you don’t have to navigate it alone. Here’s how CAA Travel Insurance helps protect your trip when flight disruptions occur.
Yes. If your policy includes Trip Cancellation and Interruption coverage, it may help cover costs when your flight is cancelled and significantly impacts your trip — especially if you can’t find a reasonable alternative.
If your flight is cancelled close to departure and you miss part of your trip, your insurance may help cover:
Unused, non-refundable travel expenses
Eligible additional costs like accommodation or meals
If you choose to continue your trip, it may also help with rebooking costs or alternative transportation.
Yes — depending on your coverage.
If your flight disruption means you miss a significant portion of your trip, you may be eligible to cancel and receive reimbursement for eligible costs.
For added flexibility, optional coverage like Cancel For Any Reason (CFAR) may allow you to cancel for broader reasons. To be eligible for CFAR coverage, Trip Cancellation & Interruption insurance must be purchased within 72 hours after booking your trip.
You’re automatically eligible if:
You already have a policy with Trip Cancellation and Interruption coverage, or
You purchase a new policy with these benefits
As long as your trip begins on or after May 1, 2026, the enhancement is included — no action required.
Yes.
If your plan includes Trip Cancellation and Interruption benefits, this coverage applies automatically to eligible trips.
If you’re unable to find a reasonable alternative and your trip is significantly disrupted, your coverage may include:
Reimbursement of unused, prepaid travel costs
Coverage for eligible expenses (like meals or accommodation)
If you choose to continue your trip, your insurance may help cover:
Flight change fees
Additional transportation costs to reach your destination
Not entirely.
Airlines are required to meet certain obligations first (including compensation rules). Your travel insurance is designed to cover eligible costs beyond what the airline provides.
Yes — depending on your situation.
Claims are assessed individually based on when your trip began and the details of the disruption.
No.
Trips completed before May 1, 2026, or claims that have already been closed, are not eligible under this enhancement.
No.
If you’re eligible, your coverage has already been updated automatically — there’s nothing extra to purchase or request. See documentation for eligibility requirements.
No.
Because the situation is still evolving and unpredictable, it is not considered a known event. That means your coverage continues to apply based on your policy terms.
*Note for all situations on page: Coverage in all situations applies only after the policy is purchased (not for known events at time of purchase). Optional coverages mentioned such as CFAR have specific eligibility windows and conditions.
CAA Travel Insurance, an Orion Travel Insurance product, is underwritten by Echelon Insurance. Certain exclusions, limitations and restrictions apply