Can you get a refund for flights and accommodation if your holiday plans are disrupted by natural disasters such as volcanoes or earthquakes? Will travel insurance cover you?
Most travel insurers in our travel insurance comparison cover natural disaster
If volcanic ash clouds prevent you from flying, your international travel insurance should cover you
If you don’t have travel insurance, you may still be able to reschedule your flight or get a refund on accommodation
Does travel insurance cover natural disaster?
Most travel insurers cover natural disaster as long as you bought the policy before it became a “known event”. Cover will vary between policies.
All the policies in our international travel insurance comparison cover medical expenses in a natural disaster. But you’re more likely to need cover for cancellation expenses, for example if you’re unable to get to the airport due to bushfire, your flight is cancelled or delayed because of a volcano exploding in Indonesia, or you’re stuck in transit.
Travel insurance may cover you for:
Trip interruption, for example if your trip is disrupted by volcanic ash cloud.
Travel delay if you can’t get to your flight or transport, either internationally or domestically.
Cancellation, if the area where you are travelling is affected and your accommodation is closed, the area is unsafe, the government has closed roads or asked people not to travel or to leave.
Your medical expenses due to natural disaster.
An accidental death while on your holiday.
Accidental disability if you are injured while on your holiday.
There are several insurers that may not cover cancellation or other expenses in these situations, so make sure you check with your insurer.
When should you buy travel insurance for natural disaster?
To be covered for natural disasters, you need to buy travel insurance before the incident becomes a “known event”. Insurance is intended to protect you against the unknown, so once an event becomes known, it’s generally too late to buy insurance to cover you for that specific event.
When an event becomes known is a grey area, but generally it’s when it’s publicised in the media or on official government websites. Check Smartraveller’s advice to understand what’s happening at your holiday destination.
Insurers’ definitions can vary so it’s best to check with your insurer on when they cut off cover for a specific event. If it’s a major disaster, insurers will often publish specific advice on their website.
Will travel insurance cover travellers affected by Volcano Krakatau? Mount Anak Krakatau Volcano in Indonesia is affecting flights in and out of Indonesia. Qantas and Singapore airlines have cancelled flights and Qantas is offering affected customers the chance to rebook or refund their flights. Check with your airline first to understand if your flight is affected and what redress they are offering. Then speak to your accommodation and other travel providers. If you’re still out of pocket, your travel insurance may cover you if bought the policy before the volcano was known to start affecting flights, around Saturday 5 to Monday 7 September 2026.
What if you don’t have travel insurance?
If you don’t have travel insurance you might still be able to get a credit or refund from your travel providers, such as airlines and accommodation. In fact, even if you have travel insurance, your insurer will expect you to try to get a refund from the travel providers before they consider your claim.
Getting your money back on flights in a natural disaster
If the airline has cancelled or delayed flights due to a natural disaster, it’s considered an event that is out of their control and the airline will have a policy providing compensation for cancellation or delay in this scenario. Familiarise yourself with the policy in case you need to remind the airline of their terms and conditions, because they won’t necessarily volunteer it to you.
If you’re unable to get to the airport due to a natural disaster, then let your airline know. If you can get a real person on the phone that you can explain your situation to that will help, otherwise try their social media accounts. That will often get a response where other avenues don’t.
Travel advisories and their impact on travel insurance
Pru Engel talks about the importance of Smartraveller advisories, their impact on travel insurance coverage, with different levels indicating varying degrees of risk and coverage.
Getting your money back on accommodation in a natural disaster
Contact your accommodation provider and ask if you can reschedule or get a refund. Natural disaster situations often have a big economic impact on tourist destinations, so flexibility on both sides of the equation can help the community, as well as ensuring you still get a holiday.
Getting your money back from third-party booking sites
Booking sites generally have their own terms and conditions and if you booked through them, you should deal with the booking site, not the end point service provider. The booking site should still be subject to Australian Consumer Law.
The sites usually have standard cancellation policies but in the event of natural disasters, they may make an exception. Airbnb, for example, may waive cancellation penalties in the event of a natural disaster. So familiarise yourself with the booking site’s policy and quote it to them if necessary.
How do natural disasters in Australia affect your travel plans?
In Australia, your rights for accommodation bookings are covered by Australian Consumer Law and you have access to consumer guarantees, the same as for any other good or service.
In particular, in the event of a natural disaster, if authorities advise that the area you’re planning to visit isn’t safe to enter, both you and the accommodation provider may be released from the contract.
This makes cancellations without a fee possible through what’s called a “frustrated contract” under general law. A frustrated contract happens when it becomes impossible to carry out a contract due to events beyond the control of all parties involved.
If you paid by credit or Visa/Mastercard debit card, you also have a right to credit card chargeback if the accommodation provider hasn’t provided the service.
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Jodi Bird is the Managing Financial Content Editor at CHOICE. Previously at CHOICE, he worked as Travel project lead and as a Finance specialist.
Jodi has extensive experience in financial services, having worked with major banks such as CBA, Westpac and Credit Suisse. He enjoys breaking down complex consumer decisions into easy to understand steps and holding companies to account for failing their customers. He is regularly called upon for expert commentary by major broadcasters such as the ABC, SBS, and Channels 7, 9, and 10.
Jodi has a Bachelor of Commerce majoring in Economics from the University of Wollongong. He is RG146 compliance certified to provide general advice for General Insurance and is a Responsible Manager on CHOICE's Australian Financial Services License. LinkedIn
Jodi Bird is the Managing Financial Content Editor at CHOICE. Previously at CHOICE, he worked as Travel project lead and as a Finance specialist.
Jodi has extensive experience in financial services, having worked with major banks such as CBA, Westpac and Credit Suisse. He enjoys breaking down complex consumer decisions into easy to understand steps and holding companies to account for failing their customers. He is regularly called upon for expert commentary by major broadcasters such as the ABC, SBS, and Channels 7, 9, and 10.
Jodi has a Bachelor of Commerce majoring in Economics from the University of Wollongong. He is RG146 compliance certified to provide general advice for General Insurance and is a Responsible Manager on CHOICE's Australian Financial Services License. LinkedIn
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