Travel insurance unlikely to cover WestJet flight disruptions if strike happens

Travel insurance purchased after the Canadian Union of Public Employees announced a potential WestJet strike on Wednesday is unlikely to protect customers from disruptions if the labour action takes place, insurance experts say.

CUPE Local 8125, representing WestJet flight attendants, announced that its members voted 99.4 per cent in favour of striking and could walk off the job as soon as the August long weekend if no deal is reached with the airline.

Travel insurance companies can now treat a strike or lockout starting August 2 as a "known event" and refuse coverage for losses related to the labour action. A memo from insurance provider Manulife to travel professionals confirmed that benefits "related to this potential strike would not apply."

Martin Firestone, who owns travel insurance company Travel Secure in Toronto, explained the logic: "That's insurance for you. Bottom line is, there's no longer a risk. It's, in fact, a reality."

However, insurance purchased before Wednesday may still cover flight disruptions if the strike occurs. Travellers who bought coverage earlier can file claims, while those who purchased policies after the announcement cannot.

For those with existing WestJet bookings who didn't buy insurance, the airline remains obligated to rebook the flight or issue a full refund if labour action prevents departure. But Firestone noted that this doesn't guarantee convenient alternatives — rebooking may not align with a traveller's original schedule.

He recommended broader trip interruption coverage to protect not just airfare but the cost of downstream bookings, like cruises or hotel stays. "We need cancellation and interruption insurance," he said. "That's not what you get when you buy the insurance that comes with the airline ticket."

Travellers already booked without insurance have few options beyond monitoring the situation or changing plans ahead of time.