ST. JOHN'S, N.L. — Barb Sweet
The Telegram
When Joan Jackson bought her travel insurance package last summer, she thought it was a good deal.
Not so much now that she can’t cancel it or divert the coverage.
Even if she could take a holiday during the COVID-19 pandemic, with the risks of the coronavirus and the advice to Canadians to stay home, it would be folly.
But when Jackson inquired about suspending the $42.04-per-month MEDOC policy, she said, she was told she would be reported to the credit bureau and taken to small claims court if she stopped payment. The year-long policy is up for renewal in August.
“I have never been to the credit bureau in all my life. It’s a little bit much,” Jackson said.
The travel insurance once seemed like a good idea for visiting friends in California, where she previously lived for 30 years before moving back to Newfoundland and Labrador, and in Florida, as well as to cover trip cancellation and health insurance on holidays.
But that was in summer 2019, when COVID-19 and its massive worldwide fallout wasn’t on the radar.
“You can’t even travel now, even if you want to,” she said.
“I imagine she’s not the only one in this boat,” said her daughter, Johanne Pearcey.
The insurance was purchased through Johnson Insurance, where Jackson has her car and auto insurance, and she said Johnson is just the broker.
The package seemed good for someone who travels a fair bit. But that was then and this is the COVID-19 world now.
Pearcey said she noticed when her mother was doing banking that the sum was still coming out of her account post-COVID-19 public health emergencies and lockdowns being declared.
Thinking it was like auto or home insurance where circumstances change, they called about having it cancelled.
“I said, ‘I don’t know where you live, but you can’t go on a plane and go anywhere. You’re not even allowed to go to the next community, let alone the next province or country,” Pearcey said she told the insurance company.
Pearcey said after explaining the travel advisories and restrictions on unessential travel, the reaction was as if her mother had a gym membership and wasn’t going — if you don’t use it, too bad.
They then asked to speak to a manager, and it was on the call back that the credit bureau or small claims court threat was made, Pearcey said.
A deferment on the policy until the COVID-19 crisis is resolved was not offered, she said.
“It’s terrible what they are doing to seniors,” she said.
Johnson Insurance was contacted for comment and provided this statement to The Telegram: "Johnson Insurance is proud that our MEDOC travel insurance product has already supported a record number of customers whose trips were interrupted and needed help returning to Canada or who have had to cancel future trips. Our annual plans are designed to cover multiple trips over the policy term, allowing customers to take advantage of the trip cancellation, trip interruption and medical coverage throughout the year. We also have a broad range of customer relief measures across our business, which have been in place for some time."
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