Coronavirus - what you need to know for travel and business insurance
The Insurance Council of New Zealand (ICNZ) is urging people to seek more information following the recent outbreak of
Novel Coronavirus (2019-nCoV) in Wuhan, China, in late December 2019.
ICNZ cautions that broad exclusions normally apply for pandemics and epidemics.
Tim Grafton, Chief Executive of ICNZ says, "Global pandemics are generally not insurable and haven’t been for a long
time. This is because insurers can’t measure or understand what potential losses could eventuate from an outbreak of an
infectious disease like this."
As the situation continues to evolve ICNZ urges those who have purchased travel insurance to speak with their insurer to
clarify what cover they may have.
"We are aware that some insurers continue to offer cover. However, we would strongly advise anyone who is concerned
about their insurance cover, or looking to amend their travel in response to the outbreak, to contact their travel agent
or airline in their first instance or speak with their insurer before they make any changes," says Mr Grafton.
While the World Health Organisation is yet to issue any formal advice, New Zealand government’s official advisory site
Safe Travel is now advising against travel to Hubei Province, and many insurers have issued travel advisories with
guidelines on what cover may or may not be available under their policies.
ICNZ said the effects of the outbreak may also be felt by the business community. "Unfortunately, the same exclusions
would apply which means there would likely be no cover for loss or damage to property, or interruption or interference
to the insured business as a result of the Coronavirus outbreak."
ICNZ advises people to check www.safetravel.govt.nz for further updates as this develops. Health information can be found on the New Zealand www.health.govt.nz website.
ENDS