No insurance coverage if you travel against the advice of "any" government?

[Mattg]

I was reading through the PDS that comes with the travel insurance that now comes with my Bankwest credit card (since 1 October) via XCover. This general exclusion caught my eye (my bolding):

You're not covered...

For any claim arising from travel to a destination where the Australian Department of Foreign Affairs and Trade (DFAT) or any other government or official body has issued a travel advisory, where that advisory is rated 'Reconsider your need to travel' or 'Do not travel' (or equivalent), or recommends against all non-essential travel or specific transport arrangements or activities. For current DFAT advice, visit smartraveller.gov.au.

I understand that my Australian travel insurers won't cover travel to countries/regions that Smartraveller has listed as "Do not travel", and in some cases "Reconsider your need to travel". But any travel advisory from any other government or official body too?

So, for example, could they refuse a claim for travel to Japan because the Chinese government has advised against travelling there? Etc. etc.

I hope that this is not intended to be taken 100% literally any time someone makes a claim, but if so, is this not a bit of an unfair "gotcha" clause?

 

[RooFlyer]

I read that as any other government body etc in Australia.

If it is, I’d like that confirmed in an email from the insurer.

 

[DC3]

So, for example, could they refuse a claim for travel to Japan because the Chinese government has advised against travelling there?

 

[elanshin]

I read that as any other government body etc in Australia.

If it is, I’d like that confirmed in an email from the insurer.

I read that as a pub test meaning too, but we all know insurance companies will look for every loophole they have found or made so this would be a serious way to add more travel advisory conditions....

 

[GrahamBRI]

Too much grey space with this new policy........ cancellation cover - but only for stuff you used this specific card to pay for....... any recommendation of any sort that you don't travel...... and possibly from any authority......
From what I think was the best credit card travel insurance policy to now the worst!!!
Maybe in the fullness of time, some of this grey space, will be made clearer and in favour of the policy holder, but too many grey issues now, for me, so time to drop this one........
but I have a long wait...... 2 days before this new policy came into play (and fearing the worst) I locked in the old policy for a trip in March 2028, so I have to hold this credit card until then.

 

[Brissy1]

I read that as a pub test meaning too, but we all know insurance companies will look for every loophole they have found or made so this would be a serious way to add more travel advisory conditions....

I didn't; Mattg and I must go to a different pub.
And I do agree, from personal experience, that insurance assessors make the most favourable (for the insurer) interpretation...deny delay defend.
Probably just poor composition rather than maleficence so should be able to get written clarification.

 

[Mattg]

Too much grey space with this new policy........ cancellation cover - but only for stuff you used this specific card to pay for....... any recommendation of any sort that you don't travel...... and possibly from any authority......
From what I think was the best credit card travel insurance policy to now the worst!!!
Maybe in the fullness of time, some of this grey space, will be made clearer and in favour of the policy holder, but too many grey issues now, for me, so time to drop this one........
but I have a long wait...... 2 days before this new policy came into play (and fearing the worst) I locked in the old policy for a trip in March 2028, so I have to hold this credit card until then.

I too found it a bit odd that there doesn’t seem to be any requirement to book the trip using your Bankwest card to be eligible for cover, but then for the cancellation policy to apply you need to pay for your trip using this card.

 

[Mattg]

I didn't; Mattg and I must go to a different pub.
And I do agree, from personal experience, that insurance assessors make the most favourable (for the insurer) interpretation...deny delay defend.
Probably just poor composition rather than maleficence so should be able to get written clarification.

Is there a complaints body in Australia for reporting unfair contract terms relating to an insurance policy?

If the intention of this clause is not for it to be taken literally, I really feel that clause should be updated.

 

[levelnine]

I too found it a bit odd that there doesn’t seem to be any requirement to book the trip using your Bankwest card to be eligible for cover, but then for the cancellation policy to apply you need to pay for your trip using this card.

Yes this seems to be a sneaky change, and a big downgrade.

 

[Pete98765432]

I too found it a bit odd that there doesn’t seem to be any requirement to book the trip using your Bankwest card to be eligible for cover, but then for the cancellation policy to apply you need to pay for your trip using this card.

FWIW, this is the response from Xcover when I queried this.

There should be no complex set up and no minimum spend required for your complimentary cover to be enabled.

However, if you are seeking additional add-ons, you will need to go through the registration process and may require additional costs.

 

[levelnine]

FWIW, this is the response from Xcover when I queried this.

That response really doesn't address the issue.

I would expect XCover to rely on the PDS, which requires travel to be purchased using your BankWest World card if you want complimentary trip cancellation benefits:

 

[AuSammy]

Is there a complaints body in Australia for reporting unfair contract terms relating to an insurance policy?

If the intention of this clause is not for it to be taken literally, I really feel that clause should be updated

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