Generali, CSA Insurance No Benefits for Covid-19 Cancelled Trips Class Action

This class action brings suit against a travel insurance company or companies called Generali US Branch and Customized Services Administrators, Inc., and/or Generali Global Assistance & Insurance Services and/or CSA Travel Protection and Insurance Services. The issue? A refusal to pay for trips cancelled in 2020 due to Covid-19 restrictions. The insurance company contends that the cancellations were “foreseeable,” but the complaint alleges they were not.

The Nationwide Class for this actin is all persons who bought or obtained a travel protection policy from the defendants in this case, and whose claims for reimbursement for cancellation costs were rejected when their trips were cancelled because of the Covid-19 pandemic or events related to it. A Missouri Class has also been defined, for all such persons in Missouri.

On February 15, 2020, plaintiff Kristen Johner made reservations for a honeymoon trip to Costa Rica that was to take place September 8-22, 2020. She reserved a fourteen-night stay at a vacation rental house in Quepos, Costa Rica, and paid a fee of $1,335.88 to VRBO.com. She also paid $152.44 for trip insurance to the defendants in this case. The insurance policy had coverage for trip cancellation.

On March 11, 2020, around three weeks later, the World Health Organization declared Covid-19 a global pandemic. Five days later, Costa Rica’s president declared a state of emergency in his country and closed the borders to foreigners and nonresidents as of March 18.

The ban was meant to last until April 12, a long time before Johner’s honeymoon trip. However, the ban was later extended. On July 20, a National Emergency Commission reaffirmed that the borders were closed to tourists. The next day, Johner canceled her trip via VRBO.com. Later, she filed a claim her losses due to trip cancellation, but the insurance company defendants refused to pay.

The complaint alleges that the trip “was cancelled due to a quarantine, within the meaning of the Policy … and also as a result of the Covid-19 natural disaster making [Johner’s] accommodations inaccessible.” The complaint implies that both quarantines and the inaccessibility of accommodations are included as covered in the policy Johner bought.

However, the denial letter Johner received claimed that her losses were “not due to an event that is covered by the plan [Johner] purchased[.]” Also, it said that “the Coronavirus outbreak is considered a foreseeable event under any plans purchased on or after January 29, 2020.”

The defendants did offer her one thing: “Due to these difficult circumstances, we would like to offer you some compensation in the form of a travel insurance policy voucher. The policy voucher is for the full amount of your travel insurance premium and can be applied to a future trip.”

The complaint alleges that the insurance defendants have breached their contract with Johner.

Article Type: Lawsuit
Topic: Insurance
Tags: Denial of Benefits, Insurance, Travel Insurance