Credit-card travel insurance may help if booked before Air Canada labour unrest became likely—but only if your policy covers labour strike delays or cancellations.
Insight into Coverage Timing
In early August 2025, Air Canada issued a lockout notice, matched by a 72-hour strike warning from its flight attendants, setting in motion a potential suspension of flights beginning around 1 a.m. ET on Saturday. Travellers who booked before indications of labour unrest arose may still be covered under their credit-card travel insurance. According to Will McAleer, executive director of the Travel Health Insurance Association, insurance providers typically cover cancellations provided bookings were made before market awareness of the dispute.
Fine Print Matters: Who’s Covered and What’s Excluded
Natasha Macmillan from Ratehub.ca emphasizes that consumers must carefully review policy terms—especially regarding exclusions for labour disruptions, which many credit-card travel-insurance policies explicitly mention.. Coverage can vary significantly: premium-tier cards may still offer strike-related protection even with late bookings, while standard cards may not
Financial Limits and Payout Requirements
Credit-card insurance typically includes coverage caps—for instance, up to CAD 5,000 per trip—but terms vary widely. More importantly, policies often require that a significant portion of travel expenses be charged to the card to qualify for benefits . McAleer advises travellers to confirm whether the policy’s maximum payout adequately covers the total cost incurred per traveller..
What Happens Mid-Trip: Airport Support vs Insurance Claims
For travellers already en route when disruptions occur, airlines typically offer basic support such as meals, lodging, or rebooking. But these measures usually don’t extend to compensation for independent bookings like hotels unless specified in the airline’s conditions or a separate travel-insurance policy. Steven Harris of LowestRates.ca notes that additional reimbursements—like prepaid hotel reservations—not covered by the airline must be claimed through travel-insurance provisions, if applicable
Air Canada’s Stance and Alternatives
Air Canada has pledged full refunds for cancelled flights and says it is working to rebook customers on other carriers. However, as travel demand peaks this summer, securing alternative arrangements may prove challenging.
What Travellers Should Do Now
Experts unanimously recommend proactive steps: First, immediately check your credit-card issuer’s travel-insurance clause for labour-strike coverage and booking-date thresholds. McAleer urges calling the issuer directly to clarify the policy’s application “—prepare yourself for any surprise” . In short: do your homework, review the fine print, and act fast.
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