The killing of a cartel boss sparked violence in parts of Mexico earlier this week causing travel disruption in popular tourist destinations including Puerto Vallarta.
While the situation has now returned to normal, the cancellation of all international flights from the resort city on Sunday 22 February meant that many tourists were left stranded. Others still may be looking to shorten their stay despite travel alerts being lifted.
To understand your rights, we spoke to InsureMyTrip CEO Suzanne Morrow about the situation in Mexico.
The importance of how travel insurance classifies an event
Broadly speaking, travel insurance is meant to cover expenses incurred during unexpected events, like if you fall sick while abroad or if bad weather ruins your trip.
Your policy will list inclusions and exclusions in the fine print, and so your first port of call when something goes wrong when abroad should be your insurance provider.
According to Morrow, the situation in Mexico most likely falls under civil unrest, meaning “public disturbances, riots, rebellion against a government or civil authority involving acts of violence, damage, or injury to others”.
“It is not automatically considered terrorism unless the US government formally declares it an act of terrorism under specific definitions outlined in insurance policies,” Morrow told Euronews.
“That distinction matters because coverage can differ depending on how an event is officially classified.
“Most comprehensive travel insurance policies treat civil unrest differently than terrorism, and in many cases, civil unrest is not a covered reason to cancel a trip before you leave.”
Leaving a trip early due to civil unrest
Unfortunately, standard policies do not typically cover your choice to leave early out of concern or fear alone (but again, you will need to check your individual travel insurance agreement).
“Trip interruption benefits require a covered reason (which will be defined in a policy),” Morrow added.
“Civil unrest alone may not qualify unless it directly prevents you from reaching your destination or causes you to lose the majority of your trip. This is where coverage varies significantly by plan.”
Having said that, Morrow notes that you may be covered if you paid for a plan with an Interruption for Any Reason benefit. The optional benefit can be used to reimburse a percentage – usually up to 75% – of your unused prepaid non-refundable trip cost.
Interruption for Any Reason benefits are time sensitive, and will need to have been purchased soon after your initial trip payment or deposit. There may also be rules around how long after departure you have to wait to use this benefit.
Missing flights due to civil unrest: Are you covered?
“If flights are delayed, cancelled, or grounded unexpectedly causing you to lose a portion of your trip, certain comprehensive travel insurance plans may offer coverage,” Morrow said.
Benefits that may be in your policy include travel delay, which covers meals, hotel stays and transportation; political or security evacuation; and emergency assistance benefits.
These all depend on your specific policy, when you bought your insurance, how the event is officially classified, and whether the issue directly impacts a trip.
According to Morrow, in this situation your first call should always be the airline as you may also be entitled to a refund depending on Department of Transportation rules.
The current situation in Mexico
The US Embassy in Mexico stopped urging its citizens to shelter in place on Tuesday 24 February, while in the UK, the Foreign, Commonwealth and Development Office has said that “services appear to be resuming operations, although you should continue to follow local security advice”.
Operator Pacific Airports Group has said that Guadalajara Airport is operating 96% of its scheduled flights, while Puerto Vallarta Airport is operating at 95%.
Many airlines, including United, American Airlines and Delta, are waiving change fees, although the dates covered vary from carrier to carrier.
It should be noted that even prior to the events on 22 February, the US had level 4 do not travel advisories for several states in Mexico, while the UK has advised against all but essential travel in some areas.
It is vital you check these alerts prior to booking a trip as they may render your travel insurance invalid.
“Insurance companies look at whether something is considered a ‘known peril’. If unrest or advisories were already in place before the policy was bought, that can affect eligibility for cancellation coverage,” Morrow said.
“That said, if you’re already in Mexico and the situation escalates unexpectedly, some benefits may apply, but others may specifically be excluded if there were level 4 warnings prior to your arrival into the country.”
