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July, 27

“Travel Insurance Woes Amid WestJet Strike Threat”

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WestJet passengers who obtained travel insurance after the announcement of a potential strike may face difficulties in receiving compensation for disruptions caused by the labor dispute, according to travel experts. Insurance purchased before the Canadian Union of Public Employees (CUPE) revealed that its members had voted overwhelmingly in favor of a strike would have likely provided coverage. However, with the strike threat looming over the upcoming August long weekend, insurance companies could now consider the strike a “known event” and may deny coverage for any incidents starting on August 2.

Insurance provider Manulife informed travel professionals that benefits related to the potential strike would not be applicable. Martin Firestone, a travel insurance specialist, explained that this outcome was not unexpected given the circumstances. He emphasized that while current travel insurance policies would still cover events like illness or death, they would not cover flight disruptions due to a strike by WestJet flight attendants.

In the event of flight cancellations resulting from a strike, airlines typically have the obligation to reschedule flights or offer full refunds. However, Firestone stressed the importance of having comprehensive insurance that covers more than just the flight cost. He highlighted the need for trip interruption insurance, citing a scenario where a traveler could lose both their flight expenses and costs associated with a missed cruise without adequate coverage.

For travelers who did not purchase insurance when booking their tickets, options are limited if a strike or lockout occurs. Travel agencies suggest waiting for updates or making alternative plans. While airlines are required to rebook or refund affected passengers, the process may not be as convenient as originally expected. Additionally, there are insurance options available that allow canceling for any reason, including strikes, but they may only cover a portion of the expenses.

The possibility of a strike can be averted if the union and the company reach a resolution before the end of July. WestJet CEO Alexis von Hoensbroech reassured that a strike vote is a standard part of negotiations and does not guarantee a strike. The president of the flight attendants’ union echoed the commitment to finding a mutually beneficial agreement at the bargaining table, emphasizing their reluctance to resort to a strike as the last option.

WestJet faced a significant labor dispute in 2024 when unionized mechanics went on strike over the Canada Day weekend, affecting tens of thousands of travelers.

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