Travel Insurance And Airfare

[Coolcruise02]

We recently had to cancel a cruise due to a death in the family. Fortunately we had purchased insurance. We rebooked our airfare for our rescheduled cruise date paying the PP change fee and a small difference in price. We figured this would be the most cost effective way for the insurance company. The insurance company covered the change fee but would not cover the additional cost of the tickets. I explained that paying the difference in cost of the new tickets was much cheaper than refunding the total cost of the original tickets. Their postion was that they would wait one year to see if the original tickets could be used by us and if not they would then refund the cost to us. Is this normal procedure for travel insurance in regards to airfare? Any experiences????

[jhannah]

The value of unused tix is good for one year, so this makes sense.

[lougee1043]

when i had to make a claim the insur co wanted the unused tix back before they made payment ---i had an e tix and i had to go to the airport and get a paper tix to send to the insur co for reimbursement

 

suggest you call your company and ask if you send the tix in to them would it expedite payment

[dakrewser]

Normal procedure would be to contact the insurance company first and ask how you should proceed.

 

Since you've essentially "traded in" your original tickets for the new ones, it's not possible for the originals to again be reused so it would appear that the insurance company didn't understand what you'd actually done.

[NancyIL]

I would expect the insurance to cover only the change fee for the cancelled tickets. It never occurred to me that they should or would cover the higher cost of replacement tickets down the road, because that's a different trip.

[dakrewser]

I would expect the insurance to cover only the change fee for the cancelled tickets. It never occurred to me that they should or would cover the higher cost of replacement tickets down the road, because that's a different trip.

 

Good point. They would cover the cost of the original tix plus the change fee. As the airline accepted the cost of the original tix in exchange for the new tix, the insurer would only need to pay out the change fee - not the increase in price.

[jerseygirl3]

When I had to cancel a cruise due to illness, our RT airfare from Philadelphia to Rome was reimbursed fully by the insurance company. I just had to show proof that I had purchased the tickets, and they included that amount ($690 pp) in the reimbursement check.

 

Why don't you just get your money back on the original tickets?

[NancyIL]

When I had to cancel a cruise due to illness, our RT airfare from Philadelphia to Rome was reimbursed fully by the insurance company. I just had to show proof that I had purchased the tickets, and they included that amount ($690 pp) in the reimbursement check.

 

Why don't you just get your money back on the original tickets?

 

If you have no plans to reschedule the trip, then getting reimbursed for the tickets is the way to go. But most plane tickets, while not refundable, can be cancelled and the value applied to a future ticket within one year of the original purchase date, minus a change fee of usually $50 - $100 per ticket. The OP did just that, and the insurance company reimbursed her for the change fees, but didn't pay for the increase in price of the new tickets.

[richcrow]

In reading all of these posts about cancelling plane tickets, one thing that has not been mentioned that everyone should keep in mind. All of these travel insurance policies have exceptions, and there are lists of airlines that they will not cover. Some that I knoe about are Delta and Northwest. Any company that has filed bankruptcy, will not be covered. I know, I'm flying on Delta at the end of May.

[NancyIL]

In reading all of these posts about cancelling plane tickets, one thing that has not been mentioned that everyone should keep in mind. All of these travel insurance policies have exceptions, and there are lists of airlines that they will not cover. Some that I knoe about are Delta and Northwest. Any company that has filed bankruptcy, will not be covered. I know, I'm flying on Delta at the end of May.

 

 

I believe the non-coverage for airlines in bankruptcy means that if the airline goes out of business - you're out of luck. I don't think it applies when you miss your flight or have to reschedule on an airline that is still operating.

[Coolcruise02]

Thanks for your different persectives and experiences. Fortunately the difference was a small amount. I just wondered how cancelled airfare had been handled by other cruiser's insurers. Since the tickets are good for a year do you always include their cost when you price insurance for your cruise?

[NancyIL]

Thanks for your different persectives and experiences. Fortunately the difference was a small amount. I just wondered how cancelled airfare had been handled by other cruiser's insurers. Since the tickets are good for a year do you always include their cost when you price insurance for your cruise?

 

 

I usually buy Travelex insurance, and their rates go up in $500 increments of coverage. When I buy airfare that's $300 or less (if it's more I use FF miles), I add that amount to the cost of the cruise, then round up to the next $500 level. When using FF miles I add $100 per person for the change fee, then round up to the nearest $500 for incidental expenses.

[jerseygirl3]

Yes, I always count the cost of the airfare. We fly Spirit Airlines a lot, and their policy is that the tickets are good (with a $40 change fee and customer responsible if the new booking is higher priced must pay difference) for one year FROM THE DATE OF PURCHASE! Not sure if other airlines do this, but I hadn't realized that one time. Since we book our air pretty well in advance, that really cuts down on the timeframe that those tickets are usable. That's why if we cancel, I just get my money back on my air.

[Coolcruise02]

Interesting on the one year from date of purchase. Will have to do some research and see what airlines are from "date of purchase" or from "date of cancelled departure".