My policy on going to countries where there has been some political unrest or instability is to always take a wait and see approach. If I were you, I wouldn't cancel immediately. It would be a different story if you were going this week or even this month, but things could very well stabilize (or, conversely, degenerate) quite a bit by then. Of course, there's no guarantee that you will still be able to get the refund if you wait, so if money is the biggest consideration, then I guess you can always cancel now and rebook later on when you feel more confident that it will be safe to go.

I would hold off on canceling if at all possible. That's just my .02, though. Lots of good arguments for getting the refund now, as well.