Zika virus fear boosts sales of 'Cancel For Any Reason' travel insurance

Purchases of ‘Cancel For Any Reason’ travel insurance for trips to Latin America have surged because of the Zika virus, according to one of the top insurance providers in the US.

RoamRight said its revenue in January was up by 81 percent compared with a year ago.

Only a few companies sell ‘Cancel For Any Reason’ insurance, normal policies do not pay out to those who decide not to go on a holiday booked in a Zika-impacted area.

RoamRight would not comment on the possible effect on profitability because it does not yet know how many customers will claim refunds and therefore what losses it could incur.

Airlines and hotel chains said it was too soon to tell whether Zika fear has dented their bookings.

Pregnant or possibly pregnant travellers are most at risk, and even without insurance leading airlines are offering full or partial refunds to them, while cruise lines that go to the effected countries say they will consider letting people postpone trips giving credits for later travel.