UPDATE: Annual Travel Insurance taken out on 3rd March; but policy started 1st April

Goobles

UPDATE:
A couple of months later and I'm pleased to say this has been refunded through a chargeback on the credit card.
To cut a long story short:

• I had to request a chargeback before the travel insurance company would consider the claim.
• I then had to make clear before I initiated the chargeback that I had tried to contact the provider (Booking.com) and the hotel to reach a solution.
• Both stated that although I wasn't entitled to a refund, I was able to change the dates of the booking. Seeing an uphill battle with the travel insurance, we decided to accept.
• However, both Booking.com and the hotel then went back on their earlier claims and stated that we couldn't - after all - change the dates. They marked us as a no-show and kept the money. 
• Given that they had earlier put in writing that we could change the dates, the chargeback won. 

Thank you MSE forum for all of your help and advice below - and PLEASE as I was advised earlier, take out travel insurance the moment you book your holiday.

Dear MSE Forum,
Hoping for a bit of help here. I have read the MSE thread and tried to search function - at first glance, I can't readily see a similar issue.
Key bits in bold. 

• Holiday booked 1st January 2020 to Malta, 14th July - 25th July. Flights, AirBnb, Hotel. Paid for on Tandem Credit Card. 
• Annual Travel Insurance paid for on 3rd March 2020. COVID in the news but not a pandemic yet by any means.On advice of my father, the policy started on 1st April 2020. This was because we had a UK weekend break then with Airbnb and wouldn't be travelling until that date. Why not start the policy later rather than waste 4 weeks when we wouldn't travel? 
• FCO advice against travelling on 17th March 2020. Things kick off. 
• 1st April 2020 AirBnb refund us holiday. No claim needed.
• 20th May 2020 Ryanair cancel flight. We re-book next day, 15th July 2020. 
• 18th June 2020 Ryanair cancel flight again. This time, the holiday is unviable. Refunds requested with Airbnb, airline, hotel. 

Since then, I've got the Airbnb refunded no problem and submitted a request for a refund with Ryanair.
Booking.com have said they won't refund us since it was a 'basic' package. Fair enough. Called the Travel Insurance, who want the credit card company to try a refund first.

Whilst talking to them however, the woman pointed out that although I paid for the policy on the 3rd March 2020, the policy didn't start until 1st April 2020. Which was after the FCO advice came into effect.

Will this be a problem? Guidance talks of 'taking out' travel insurance - is this the contract with the insurer, which was made in good faith, on March 3rd? Or is it when the policy 'begins' as such on 1st April? 

[Additional complication: despite the flight being cancelled, the airport opens on 15th July. Could I quibble that this was an airline related decision to cancel? Not a consequence of COVID-19? Therefore, FCO or otherwise, refund due. Flights from Manchester to Malta with Ryanair for example are departing!] 

Any advice really appreciated - you people are bloody brilliant! 

Goobles

Shameless bump - I'll only do this once, promise.
In brief:

• Paid for an annual policy on the 3rd Mach 2020 in good faith. 
• Policy started on 1st April 2020.

Therefore, when guidance talks of 'taking out' travel insurance, does this mean entering into the contract with the insurance provider (purchase) or the start of the actual policy?

tizerbelle

I am no expert but suspect that you will be relying on goodwill to get anything here.  The advice of your father was wrong.  You should have taken out the policy to start immediately, what would have happened had you broken your legs on the 30th March and couldn't travel - you wouldnt be covered as the policy did not start until the 1st April.  In fact I think there is a debate somewhere that even goes as far to say that you should have the policy in place (and active) before you even make the holiday bookings.  

Goobles

tizerbelle said:

I am no expert but suspect that you will be relying on goodwill to get anything here.  The advice of your father was wrong.  You should have taken out the policy to start immediately, what would have happened had you broken your legs on the 30th March and couldn't travel - you wouldnt be covered as the policy did not start until the 1st April.  In fact I think there is a debate somewhere that even goes as far to say that you should have the policy in place (and active) before you even make the holiday bookings.  

Thank you Tizerbelle - you may well be right. 

I suppose the analogy you use is a medical one, not a cancellation. I believe under normal conditions, you're still covered for cancellations from the moment you pay for the policy, regardless of when the policy actually starts. So the analogy isn't wholly relevant. 

Now whether or not this is a 'cancellation' by the airline, a COVID related problem, or something else entirely, is up for dispute. I'm sure the travel insurance company will argue it is a COVID related problem. But equally, if the airport is open, the airline are flying from other UK airports, and the FCO advice gets lifted, it's equally arguable that this is simply the airline's decision to cancel due to logistical reasons. All hypothetical of course ... who knows the state of play on 15th July. 

Still, the thing I find really perplexing is that if I bought single trip travel insurance, from 15th July to 25th July, on the 3rd March, the argument quickly becomes absurd. Literally nobody in the UK would be able to claim back on their single trip travel insurance, since the policy starts in July/August - well after the March travel restrictions! 

So why is annual cover any different?!

Nebulous2

The example you've given for single trip is wrong. Single trip starts immediately for cancellation, health problems affecting travel etc. It only covers you for being on holiday for the specified period. Many of them will be paying out, as long as the holiday and insurance were bought before a cut-off date, with 13th March being a commonly used date. 

What you did was purchase a policy with a deferred start date, which is very different. 

It's not us you need to convince however, it's your insurer. 

sharpe106

With your logic everyone would buy the policy today and not get it to start the day before the holiday and still be expected to be covered. No harm in trying though. 

Goobles

Nebulous2 said:

The example you've given for single trip is wrong. Single trip starts immediately for cancellation, health problems affecting travel etc. It only covers you for being on holiday for the specified period. Many of them will be paying out, as long as the holiday and insurance were bought before a cut-off date, with 13th March being a commonly used date. 

What you did was purchase a policy with a deferred start date, which is very different. 

It's not us you need to convince however, it's your insurer. 

That's a really helpful distinction, thanks. And one I wasn't aware of.

So I presume that a deferred annual travel insurance policy does not cover you in the same way before the start date of the policy? E.g. break a leg on the 23rd March, tough luck, annual policy starts on 1st April.

Certainly makes single trip travel insurance look far more attractive in future! 

Just one thing - when you say 'convince', in respect to what? The deferred policy being taken out in good faith? Certainly COVID was in the news on March 3rd, but it was still very much handwashing and singing happy birthday, 

I wonder too what grounds - if any - I have to fight this as an airline cancellation. Especially if the airport is open. 

I should say thank you to both of you for your help - I'm really anxious about this and really appreciate the advice. 

Goobles

sharpe106 said:

With your logic everyone would buy the policy today and not get it to start the day before the holiday and still be expected to be covered. No harm in trying though. 

Well the policy started on April 1st. The holiday was booked for July 15th. So whilst I understand what you're saying, that's not a relevant example - we're 3/12 months into actually being covered by the annual travel insurance policy!

Certainly not a case of a day before..

The complication rather is everything that happened in-between March 3rd and April 1st.

Nebulous2

Your insurance company may not come into play at all. If your flight is cancelled then the airline should refund. If the hotel is closed booking.com should refund. They may both take some persuasion and offer vouchers, but eventually it is likely they will have to pay. 

Generally if you are travelling more than once in a 12 month period an annual policy is better value. If you had taken single- trip cover you might have had difficulty getting them to change the dates when you rebooked.

I've never known anyone defer the start of a policy in the way you have done, so guess there won't be a lot of guidance or rulings to follow. I booked my flights one day and took out an annual policy the next.

When I was referring to persuading the insurer, what I meant was the policy conditions will have changed for the worse between 3rd March and 1st of April. The insurer may insist 1/4/20 conditions apply. You would prefer 3/3/20 conditions and may have to argue for that.

Goobles

Nebulous2 said:

Your insurance company may not come into play at all. If your flight is cancelled then the airline should refund. If the hotel is closed booking.com should refund. They may both take some persuasion and offer vouchers, but eventually it is likely they will have to pay. 

Generally if you are travelling more than once in a 12 month period an annual policy is better value. If you had taken single- trip cover you might have had difficulty getting them to change the dates when you rebooked.

I've never known anyone defer the start of a policy in the way you have done, so guess there won't be a lot of guidance or rulings to follow. I booked my flights one day and took out an annual policy the next.

When I was referring to persuading the insurer, what I meant was the policy conditions will have changed for the worse between 3rd March and 1st of April. The insurer may insist 1/4/20 conditions apply. You would prefer 3/3/20 conditions and may have to argue for that.

That's great advice, thank you.

AirBnB have already refunded; Airline will pay out. Most of the money is returned. 

Booking.com won't refund though because they say this was a non-cancellation booking (fair enough). The hotel is likely open too. As a result, I'll definitely need to go through travel insurance. The reason I'll be claiming will be 'airline cancellation.' 

Your last paragraph basically sums this one up - and I presume it's a rare case as you say that will take months to sort. I'll go down credit card > insurance claim > complaint > ombudsman route if I need too. 

Thank you all for help. 

Thrugelmir

Goobles said:

Nebulous2 said:

The example you've given for single trip is wrong. Single trip starts immediately for cancellation, health problems affecting travel etc. It only covers you for being on holiday for the specified period. Many of them will be paying out, as long as the holiday and insurance were bought before a cut-off date, with 13th March being a commonly used date. 

What you did was purchase a policy with a deferred start date, which is very different. 

It's not us you need to convince however, it's your insurer. 

Certainly makes single trip travel insurance look far more attractive in future! 

Costs mount up though if you make several trips in a 12 month period.