Yes, provided that the provision of global travel insurance and travel assistance relate to travel that is exempt or authorized. The authority granted to the President by the International Emergency Economic Powers Act (IEEPA) does not include the authority to regulate or prohibit, directly or indirectly, transactions ordinarily incident to travel to or from any country. See 50 U.S.C. §1702 (b)(4). OFAC sanctions programs issued pursuant to IEEPA generally do not prohibit transactions ordinarily incident to travel to or from any country, including the issuance and provision of travel-related insurance coverage related to exempt travel.
Although the Trading with the Enemy Act (TWEA) does not exempt travel from the President’s authority, the TWEA-based Cuban Assets Control Regulations (CACR) authorize travel in limited circumstances. Travel related services, including travel insurance coverage, may only be provided in Cuba pursuant to a valid general or specific OFAC license. For example, if the traveler is a U.S. person traveling to Cuba pursuant to a valid OFAC authorization, a U.S. insurer may issue travel insurance to the traveler without obtaining a separate authorization.
Similarly, U.S. persons may issue or provide coverage for global health, life, or travel insurance policies for individuals ordinarily resident in a country outside of Cuba who travel to or within Cuba, pursuant to the general license at 31 C.F.R. § 515.580 of the CACR, as well as service such policies and pay claims arising from events that occurred while the individual was traveling in, or to or from, Cuba. (For more information, see FAQ 774.)
Additionally, insurers should check OFAC's List of Specially Designated Nationals and Blocked Persons List (SDN List) and other sanctions lists to ensure that no prohibited services are rendered to persons or entities on those lists.
Date Updated: November 13, 2024