TD faces class-action lawsuit alleging refusal to pay COVID-19 travel insurance claims

CKTB - News - Travel Insurance

A class-action lawsuit has been launched against TD, accusing the company of refusing to pay travel insurance claims for trips cancelled due to COVID-19.

The suit claims TD Insurance refused to reimburse clients for expenses where they'd been offered credits or vouchers.

"Clearly credits and vouchers are not the same thing as reimbursement for paid expenses, and unless travel insurance policies expressly exclude benefits where a credit or voucher is available, insurers must pay these claims," says Sivan Tumarkin, insurance lawyer and co-founding partner at Samfiru Tumarkin LLP. "Many Canadians are experiencing similar issues with their travel insurers who are misinterpreting and misapplying travel insurance policies all over the country."

The lead plantiff is a man named Kevin Lyons. Lawyers say he booked a 12-day trip for himself and his family, beginning with a cruise out of Italy on March 8th. His 16-year-old child is a Leukemia survivor and the family was told by their doctor to cancel due to the pandemic.

Laywers allege he was reimbursed just $78.97 of his more than $6,600 claim.

The allegations have not been proven in court.