Travel disruptions last week caused by the volcanic ash cloud across Australia and New Zealand from Chile’s Puyehue Cordon Caulle volcano will be covered under most travel insurance policies.

The ash cloud from the volcano, which began erupting on June 5, caused havoc in the skies with domestic flights to and from Melbourne, Adelaide, Hobart and Perth being cancelled, as well as trans-Tasman flights and domestic flights within New Zealand. Some international flights to Buenos Aires were also affected.

The altitude of the ash cloud is within the range of cruising altitudes for both commercial jets and turboprops operating within Australian and New Zealand airspace.

QBE, which underwrites travel insurance policies sold by Qantas and Air New Zealand, has confirmed it will cover cancellation costs if policyholders have not been able to complete prepaid travel plans, as well as additional costs from changes to travel plans including accommodation and transport expenses.

The insurer said in a statement that it will only cover policies issued prior to June 12, when disruptions due to the ash cloud became widely known.

Mark Kopec, GM of Leisure Travel at Chartis, which underwrites travel policies sold by Jetstar and Tiger, says the company will provide cover for “trip cancellation and additional expenses incurred, including reasonable trip amendment costs arising from this event”, providing the policy was purchased before midnight on June 12.

Allianz-owned Mondial Assistance, which underwrites Virgin Australia’s travel policies, has also confirmed its comprehensive policies will provide cover for cancellation and delay as a result of any disruption caused by the ash cloud.

It will apply to policies that were purchased before 5pm on June 6 for customers travelling to South America and before 12pm on June 12 for affected passenger travelling to, from, and within Australia and New Zealand.

Australia CEO Ian Norris says Mondial Assistance also “covered our comprehensive policyholders in last year’s prolonged ash cloud disruption in Europe and this year is no different”.

But with the airlines offering various levels of compensation, ranging from refunds to travel to an alternate destination, customers have been advised to check their entitlements with their airline before making a claim.