Nationwide has introduced a “significant” downgrade to its travel insurance cover for FlexPlus customers.
Following the move, trips booked from 1 January 2021 onwards will no longer be covered if the account holder is forced to make a pandemic-related cancellation.
The coverage currently offers cancellation cover if lockdown or other rules change after a holiday has been booked. It has applied to worldwide travel as part of the £13-a-month FlexPlus current account, as well as European trips on standard Flex accounts.According to the Guardian, however, trips booked from 1 January will no longer be covered if the Foreign Office changes its advice post-booking and warns against all but essential travel.
In addition, if policyholders are forced to abandon their trip after being told to self-isolate, even though they do not have coronavirus, they will be unable to reclaim their losses.
Prior to the announcement of the downgrade, Nationwide’s policy was “one of the few” offering cancellation cover to those affected by a change in Foriegn Office advice.
Nonetheless, Nationwide will still pay cancellation claims if the policyholder, a travelling companion or a close relative are diagnosed with the virus after the trip is booked.
It will also pay emergency medical expenses if travellers are diagnosed while abroad, and provide cover to those who have cut a trip short due to a change in Foreign Office advice, as long as the policyholder was not aware of the advice when they travelled.