Bali ash cloud highlights the importance of travel insurance

When the Mount Lewotobi Laki-Laki volcano erupted in Indonesia this week, it once again highlighted the importance of having the right travel insurance.

The emergency forced Qantas, Jetstar and Virgin to cancel Bali flights between Sunday and Thursday. Leaving travellers stranded and throwing holiday plans into turmoil.

Flight cancellations and disruptions because of ash clouds can be extremely frustrating, but it’s important to know that these embargoes are in place for your safety.

Natalie Ball, managing director from our friends at Comparetravelinsurance.com.au, says smart, savvy travellers who bought travel insurance ahead of the eruption are likely to be covered for trip disruptions, including additional accommodation costs for Australians stranded as a result of the grounded flights.

But Ms Ball also warns travellers to check the specifics of their travel insurance cover.

“It’s important to note that your choice of insurer and benefit level can make all the difference when it comes to your cover,” she says.

“A basic travel insurance policy for instance, will not provide cover for travel delays or cancellation. They are often medical-only policies and are priced accordingly. However, many standard or comprehensive policies will provide cancellation cover and will reimburse you for any additional travel expenses incurred because of a natural disaster.”

Aussie travellers stranded in Bali beyond the expiration date of their travel insurance policy will also be eligible to claim for any additional accommodation and travel expenses. But they are advised to stick to a reasonable budget.

“Your policy will be automatically extended until you’re able to get home which will cover for your additional expenses,” Ms Ball says.

“Having said that, be wary not to overdo it. Booking first-class upgrades, penthouse accommodations or fine-dining meal costs may not be covered. So, if you’re unsure on how much cover you have, check with your insurer.”

Emeritus Professor Chris Elders from Curtin University’s School of Earth and Planetary Sciences says the eruption is part of a cycle of increased activity within the volcano, which could cause ongoing disruptions to air travel.

“Mount Lewotobi Laki-Laki has been erupting since December 2023, but a cycle of particularly violent eruptions started in early November; the fact this volcano is about 800km east of Bali on a completely different island (Flores) gives an idea of the force of the eruption. It is always very difficult to predict how long eruptive cycles such as this will continue and if they will continue with the same level of intensity. However, we know volcanoes throughout Indonesia are prone to similar explosive styles of eruption and impacts on air travel will always be a risk — in addition to the potentially more catastrophic effects on those who live nearby.”

About Compare Travel Insurance

Comparetravelinsurance.com.au is Australia’s leading comparison site solely focused on travel insurance. We like them because they compare a vast range of basic, mid-range and comprehensive policies. The comparisons are unbiased and ranked according to price, and users can sort by popular cover levels. All policies listed are underwritten by one of Australia’s leading underwriters and include 24-hour emergency medical assistance.