TD Insurance to Pay $4.8 Million in Travel Claims Class Action Lawsuit
TD Insurance has agreed to settle a class action suit related to trip cancellation claims that were made in the wake of the COVID-19 pandemic, according to a report by the Globe and Mail.
The insurer said it will pay $4.8 million in compensation to anyone insured by a TD travel insurance policy between March 16, 2018, and October 15, 2021. The payment will also include an additional $300,000 in administration costs.
In a lawsuit filed last September 2020 by Toronto-based firms Samfiru Tumarkin LLP and Adair Goldblatt Bieber LLP, several travellers alleged they were wrongfully denied trip cancellation benefits after TD Insurance denied reimbursement claims on the basis that policyholders were offered credit or vouchers in lieu of refunds. The suit argued that this was a breach of TD Insurance’s travel cancellation policies, which did not exclude repaying expenses if non-monetary compensation was offered to the policyholder.
