Originally Posted by
ruckzac
Also consider trip cancellation insurance. Standard trip cancellation insurance (the type you purchase at checkout) will only cover cancellation if your passport/visa is lost/stolen (you will need a police report). However, 'Cancel for any reason' trip cancellation protection will cover you need to cancel... for any reason (it's more expensive of course, but sometimes cheaper than a full fare).
Typical cancel for any reason policies don't cover 100% of the cost of the trip, perhaps 75%. Check the rules carefully. Also, you might not need a cancel for any reason policy to cover the case of a visa being denied or not being processed in time for the trip.
Some airline and hotel policies permit cancellations when visas are denied.