While the threat of terrorism may leave travelers in fear, being too scared to travel is never a covered reason to cancel a trip under standard travel insurance policies.
For travelers who are looking for this type of coverage, the only option is purchasing the Cancel For Any Reason upgrade. This benefit increases the price of a policy by about 40-50%, allowing travelers to cancel their trip for any reason otherwise excluded from their policy. However, this benefit only reimburses up to 75 percent of the trip cost, requires the policy to be purchased within 21 days of the first trip payment, and requires the traveler to cancel their trip at least 48 hours before departure.