Updated: 2 minutes agoPeople use umbrellas to shield themselves from the rain as the Princess Cruises cruise ship Majestic Princess is docked behind them, in Vancouver, British Columbia, on Monday, Sept. 25, 2023.
“The experience matters so much more than the money to people,” said Nick Cavanaugh, founder and CEO of Sensible Weather, which pays travelers if the forecast meets certain conditions. “For many trips, the weather is the make-or-break for the experience.” SeaWorld offers a “Weather-or-Not Assurance” for its marine-themed parks and other brands that guests can return free within a year if extreme weather, including heat, puts a serious dent in their plans.
The cost to insure against bad conditions is generally 5 to 10% of what a traveler is spending, Cavanaugh said. The parameters — for example, how many hours the rain forecast needs to be to get reimbursement — are set when the purchase is made. If the forecast meets that requirement, customers automatically get reimbursed, even if they move forward with their plans in the rain.
Because payments are made based on forecasts, people get their money back even if predicted weather doesn’t show.