As Air Transat cancels flights and repatriates passengers ahead of a looming pilot strike, travel experts are emphasizing the need for travellers to understand their insurance coverage and plan for potential disruptions.
Barry Choi, who runs the personal finance and travel website Money We Have, said that strikes create unpredictable travel conditions, and consumer protection regulations do not always guarantee reimbursement.
While the airline is responsible for returning passengers, travellers may face additional expenses for hotels, meals, and alternative transportation if flights are delayed or cancelled. He recommended keeping detailed records of all receipts, emails, and cancellation notices to support claims with insurance providers.
The role of travel insurance
Travel insurance can play a critical role in mitigating the financial impact of airline strikes. Standalone policies generally provide more comprehensive coverage than credit card plans, potentially reimbursing travelers for additional accommodation and meal costs, as well as transportation to catch alternative flights.
Credit card insurance may offer partial coverage, typically around $100 to $200 per night, but often excludes certain costs. Travellers are advised to review policy limits and exclusions carefully, as strike-related disruptions are not always automatically covered.
Meanwhile, typical travel insurance policies that cover airline strikes often include reimbursement for unexpected lodging and meal expenses, additional transportation costs, and sometimes compensation for lost prepaid activities or tours. Policies may also offer 24/7 emergency assistance to help travellers navigate cancellations and rebook flights.
Choi also suggested that travellers consider refundable backup flights in case primary flights are affected, noting that delays can drive up costs as demand increases. He stressed that travel insurance remains the most reliable safeguard for avoiding out-of-pocket expenses during strikes or other unforeseen travel disruptions.
A rise in claims
Recent trends indicate a rise in travel insurance claims linked to labour disruptions and flight cancellations, particularly during peak vacation periods. Insurers have seen increased requests for reimbursements after major airline strikes, such as the 2025 Air Canada work stoppage, highlighting the growing importance of coverage for strike-related incidents. Canadians are increasingly recognizing that travel insurance is essential, not optional, for managing the financial risk of modern travel.
Air Transat has already begun cancelling flights, including Toronto to Cancun and Punta Cana, and Montreal to Punta Cana, while arranging extra early-return flights for some passengers. These actions highlight the financial risks travellers face when labour disputes disrupt airline schedules and the importance of confirming that insurance coverage explicitly includes delays or cancellations caused by strikes.
Experts advise Canadians to review the terms and limits of their travel insurance policies, verify coverage for extended stays, and contact insurers promptly for guidance on filing claims. They emphasize that documenting all additional expenses is crucial to ensure reimbursement.
Choi added that uncertainty is the biggest risk during strikes, and travel insurance protects against these unexpected costs, providing peace of mind and making it an essential part of any trip.
