I was in a cafe in Istanbul when a bomb went off. I took shrapnel to the leg. My travel insurance denied the medical claim because of the “Acts of Terrorism” exclusion. I was shocked. I thought insurance was for disasters.
Key Takeaways
- The “War and Terror” Exclusion: Many budget policies exclude medical/evac claims resulting from “Act of War, declared or undeclared, or Terrorism.”
- Terrorism vs. Civil Unrest: Terrorism is a specific legal definition. If the US State Dept declares it a “Terrorist Act,” the exclusion triggers. If it’s a “Riot,” a different exclusion might trigger.
- The “Terrorism Rider”: Premium policies (World Nomads Explorer, AIG Travel Guard) usually cover terrorism for medical expenses, provided you didn’t travel to a country that was already under a “Do Not Travel” advisory for terror.
- Nuclear/Biological: If the attack involves a “Dirty Bomb” (radiation) or bio-weapon, coverage is excluded by 100% of commercial policies.
The “Why” (The Trap)
The trap is “Predictable Risk.”
Insurers treat terrorism like war. If you go to Afghanistan, you can’t insure against terrorism because it’s likely.
However, if you go to Paris and a bomb goes off, that should be covered. The trap is buying a “Budget” policy that excludes all terrorism globally to save $5 on the premium.
The Investigation: I Called Them
- World Nomads: “We cover medical expenses resulting from an act of terrorism, provided you are not a participant.” (Check specific plan, Explorer usually has this).
- SafetyWing: “Our policy excludes injuries resulting from an Act of Terrorism in countries where a Level 4 advisory was active before arrival.”
- Global Rescue: “We provide security extraction from terror attacks. We get you out of the danger zone.”
Comparison Table: Terrorism Coverage
| Feature | Budget Policy | Premium Policy (Explorer/AIG) | Global Rescue (Security) |
| Medical Bills | Excluded | Covered | N/A |
| Evacuation (Med) | Excluded | Covered | Covered |
| Evacuation (Security) | Excluded | Excluded | Covered |
| Trip Cancellation | Excluded | Covered (Sometimes) | N/A |
[IMAGE: Screenshot of policy text: ‘Exclusions: 7. Any Act of Terrorism’, highlighted in yellow]
Step-by-Step Action Plan
- Check the “Exclusions” Page: Search for “Terrorism.” If it’s listed as a blanket exclusion, do not buy that policy for Europe or Middle East travel.
- Check State Dept Advisories: If your destination is Level 4 (Do Not Travel) due to Terror, your insurance is void before you even leave.
- Buy “Non-Medical” Evac: If you are worried about fleeing a terror zone (uninjured), you need a security membership, not medical insurance.
- Trip Cancellation: Check if “Terrorist Incident” is a covered reason to cancel. Usually, it must happen within 30 days of your departure and within 50 miles of your destination.
FAQ
What if I’m taken hostage?
Standard insurance pays nothing. You need “Kidnap and Ransom” (K&R) insurance or a Global Rescue membership.
Is a “Lone Wolf” attack considered terrorism?
Usually yes, if the government labels it as such.
Does it cover nuclear fallout?
No. Never.