Covid-19, Estonia, Financial Services, Insurance, Tourism

"If a person is staying in an area where travelling is permitted and contracts the coronavirus, then the case is regarded as a regular illness. However, if a person has knowingly taken risks and ignored recommendations advising against travelling to at-risk areas, their insurance will sadly not help cover possible additional costs," Geily Kalt, head of the department for settling travel and personal injury-related claims at PZU, said.

"In addition, many airlines have again started cancelling or postponing their flights, and states are introducing new restrictions. The problem will likely rather become aggravated than be resolved in September and October. Returning to one's home country may prove particularly difficult through many transit states. For that reason, we recommend to make travel plans only if it is absolutely necessary," Kalt said.

PZU received at least 15 claims last week in relation to flights cancelled on the Barcelona-Tallinn route due to a sudden surge in outbreaks in Spain.

Kalt noted that the World Health Organization (WHO) has not revoked its pandemic warning, indicating that passengers must continuously take restrictions into consideration when travelling.

PZU has compensated over 500,000 euros' worth of travel-related losses this year, the lion's share of which occurred at the start of the pandemic in March. In July, PZU registered 114 travel-related claims, most of which concerned travel disruptions caused by COVID-19.

PZU is an international insurance group. In Poland, PZU has a market share of 33% in non-life insurance and 42.9% in life insurance, while its market share in Central and Eastern Europe in general is 13%.