We have been buying travel insurance for our overseas trips the last few years. Fortunately we have not needed to submit a claim but a concern has arisen regarding figuring the amount I am insuring. Since we fly on award tickets I include the actual cash I paid for them, which is considerable since they are on BA but not as much as paid tickets (we fly in business class). But maybe I should not include the cost of the tickets since they can be cancelled without penalty.
My second concern is over timing. The insurance I am looking at (US carriers) requires that insurance be purchased within a certain interval (generally 21 days) after the "first non-refundable payment" for the trip. (At least for pre-existing medical conditions to be covered). Since the award tickets can be cancelled (with full refund) right up to the date of the trip, they shouldn't count as the "first non-refundable payment" for the trip. But maybe I am wrong in thinking this?