Cancellation insurance for DVC renter

[jacruzma]

Hi,
I am renting from a DVC member and would like to purchase trip interruption or cancellation insurance to protect myself and DVC member in case of unforseen event. Any suggestions? Thank you

 

[disneynutz]

You might try http://www.travelguard.com/ and see what they have to say. Good luck.

 

[Dean]

The DVC plan only covers about $5 per point last I heard. I don't see how this would be a protection for the member and would only be a minimal protection for the renter.

 

[JimMIA]

I checked with TravelGuard last year in response to some questions here, and here's what I was told.

As a renter, TravelGuard will cover all of your non-refundable out of pocket expenses for covered causes of cancellations and some other travel problems. Not all travel insurance companies will insure timeshare vacations, but TravelGuard does.

The coverage for renters is very different from what they offer for DVC owners. The insured in that case is the renter...not the owner. The value of an owner's points is a nebulous thing, but the price a renter pays to an owner is finite and easy to prove. Travel insurance for a renter is really more like insuring a ski vacation where you pay everything up front, everything is non-refundable, and then something happens.

Be sure of two things before you make any arrangements:

One -- be sure you clearly understand what they cover and what they don't.

And two -- be sure you understand the deadlines for buying travel insurance before you make any reservations. Often, you have to purchase trip insurance within 14 days of making your first reservation (be it airfare, DVC, etc), so it's important to know how that works to avoid having a large part of the trip not covered.

 

[jekjones1558]

Great info! It would be good for folks who are renters to know they have this as an option. If I were ever to rent out my points, I think I would mention this option to anyone renting from me.

 

[JimMIA]

If I were ever to rent out my points, I think I would mention this option to anyone renting from me.

Me too. IMHO, a firm non-refundable contract and trip insurance is the best protection for both parties in a rental...provided the renter thoroughly researches the insurance and knows what they are buying.

Trip insurance will NOT pay if they just change their mind, or if Aunt Nellie decides to go to Vegas instead and they now need a studio instead of a 2 BR. But it will pay for legitimate causes of cancellations.

 

[jekjones1558]

And there is often the infamous "pre-existing conditions" clause to consider.

 

[JimMIA]

And there is often the infamous "pre-existing conditions" clause to consider.

Yes, but "pre-existing conditions" may not hurt you with trip insurance. For example, many people have very serious, chronic medical problems. Those conditions might exclude you from traditional medical insurance, but not from trip insurance.

If someone with chronic problems has an acute situation, trip insurance will often cover it. Both times we've had to file claims with TravelGuard were acute situations related to chronic pre-existing conditions. In one case, my mobility disabled MIL fell and broke her leg. In the other, my cardiac-patient FIL needed bypass surgery. Both claims were paid without question or delay.

ETA: Pre-existing conditions, however, are one of the reasons I said purchasers of trip insurance needed to clearly understand what's covered and what's not. Often things you think will be covered aren't, and sometimes things you think would not be covered (like pre-existing conditions) are covered.

The only way to know for sure what's covered is to be a good consumer and do your homework.

 

[DebbieB]

Yes, but "pre-existing conditions" may not hurt you with trip insurance. For example, many people have very serious, chronic medical problems. Those conditions might exclude you from traditional medical insurance, but not from trip insurance.

If someone with chronic problems has an acute situation, trip insurance will often cover it. Both times we've had to file claims with TravelGuard were acute situations related to chronic pre-existing conditions. In one case, my mobility disabled MIL fell and broke her leg. In the other, my cardiac-patient FIL needed bypass surgery. Both claims were paid without question or delay.

ETA: Pre-existing conditions, however, are one of the reasons I said purchasers of trip insurance needed to clearly understand what's covered and what's not. Often things you think will be covered aren't, and sometimes things you think would not be covered (like pre-existing conditions) are covered.

The only way to know for sure what's covered is to be a good consumer and do your homework.

Some travel insurance policies will only cover pre-existing conditions if you purchase the insurance within so many days of making your deposit, example 7 or 14 days. I bought insurance for airline tickets for my mom and I, she was being treated for breast cancer. I bought the insurance within the number of days required. She died before our trip, the insurance covered my ticket. AirTran refunded her ticket directly. I cancelled before 30 days, so the DVC points were returned to my account (I didn't buy insurance on the points).

 

[jacruzma]

I called Travelguard and they do insure renters of DVC properties. There has to be a contract between renter and DVC member outlining the terms. They require an exact dollar amount and that it is non refundable. You must buy the insurance within 48 hours of payment. If you write a cheque you must buy the insurance within 48 hours of the date written on the chq, not when it was cashed. I found the quote very reasonable. For approx. 200.00 CAD I am able to get insurance for trip interruption/cancellation on the villa. This does not include medical or flight insurance--just the villa. Definately worth the piece of mind for myself and the DVC owner!! No one plans to cancel a vacation that they have been saving for and planning--but emergencies do happen and its better to be safe than sorry!! Paula

PS Canadian residents contact Travelguard 1-866-878-0191

 

[JimMIA]

You must buy the insurance within 48 hours of payment. If you write a cheque you must buy the insurance within 48 hours of the date written on the chq, not when it was cashed.

I would double-check one aspect of this. Is it 48 hours from writing the first check? Or is it 48 hours from final payment?

I think it is from the first payment of any kind...and that could be critical. It's especially important for folks who get some great airfare deal and then go shopping for lodging. The deadline could pass while you're looking. I would sure be clear on that deadline.

The times when I've used trip insurance, when you bought the insurance had nothing to do with the coverage. If they wrote the policy, they covered whatever they covered.

However, if you missed their cutoff date, they would not write ANY insurance. That's obviously to protect the insurance company from people who might book a vacation, encounter a problem, and then try to transfer their problem to the insurance company.