TD class action lawsuit seeks compensation for trips cancelled due to COVID-19

TORONTO, September 9, 2020 /CNW/ – Samfiru Tumarkin LLP has launched a national class action lawsuit against TD over its refusal to pay travel insurance claims across Canada following trip cancellations due to the COVID-19 pandemic.

Countless Canadians have been forced to cancel their travel plans due to the pandemic and related government travel advisories. The lawsuit alleges that many individuals’ trip cancellation claims for reimbursement of expenses have been denied by TD on the basis that they have been offered credits or vouchers.

“Travel insurance policies are intended to provide peace of mind to individuals and their families,” says Sivan Tumarkin, insurance lawyer and co-founding partner at Samfiru Tumarkin LLP. “It is only right that TD and other travel insurers honour their contractual obligations and pay legitimate claims when Canadians are experiencing unprecedented financial hardships.”

The class action covers individuals insured by TD for trip cancellation benefits as far back as March 16, 2018.

The lead-plaintiff in the TD class action is Kevin Lyons, who had booked a 12-day trip for himself, his wife and two children, scheduled to commence with a cruise out of Italy on March 8, 2020. One of Lyons’ children is a 16-year old Leukemia survivor and the family was expressly advised by their doctor, prior to their trip, not to travel due to medical reasons relating to the global spread and dangers of COVID-19.

Lyons cancelled the family trip when the government issued travel advisories, including to parts of Italy, and subsequently put in a trip cancellation claim through his insurer, TD Insurance. Out of his $6,673.36 claim, he was reimbursed only $78.97 for the non-refundable portion of his AirBnB reservation. He was denied the portion relating to his family’s flights and cruise.

Contrary to the provisions of its own travel insurance policy, TD has taken the position that the availability of a credit or voucher disentitles Lyons to full reimbursement of his expenses.

“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 Tumarkin. “Many Canadians are experiencing similar issues with their travel insurers who are misinterpreting and misapplying travel insurance policies all over the country.”

“TD Bank, which reported an 8.9% year-over-year increase in Q2 2020 insurance revenues to $1.13 billion despite COVID-19, has been unjustly enriching itself by collecting premiums and refusing to pay legitimate claims.”

Canadians who have similarly been denied their travel insurance claims by their insurance policy provider due to the availability of a credit or voucher should contact Samfiru Tumarkin LLP to pursue full compensation.

Learn more about the class action lawsuit against TD Insurance.