HAL Platinum Insurance - Has anyone had a problem with a claim?

[kjn]

I started this post on the Holland America board, but I thought it would also be appropriate here. I am trying to find out if anyone else has experienced a problem getting reimbursed for a cancellation claim on their HAL Platinum Insurance policy.

 

I am the leader of a 115-person group that cruised on the January 14th Westerdam itinerary. Two members of our group were single ladies traveling together and both purchased the $99 HAL Platinum Insurance protection. During the week prior to the cruise, one of the ladies contracted a flu virus and was under doctor's care. On the day of departure, she called me to let me know she had not recovered and her condition prevented her from traveling. Her cabin-mate did travel and was the sole occupant in the cabin.

 

Upon our return, our travel agent initiated the claim process with both the Berkeley Group and HAL. In calls to HAL, he was repeatedly told by customer service representatives that our canceling passenger would not receive the 90% reimbursement as stated in the Plan Description. Instead, they stated if a claim was paid, a single-supplement rate would be imposed on the non-canceling passenger, effectively reducing the insurance reimbursement by the difference between the dual-occupancy rate and the single-occupancy rate. As represented by HAL, the net amount received would equal about a 40% reimbursement of the fare paid.

 

One HAL representative stated there is fine print somewhere in the policy that imposed this offset. Upon reading both the online coverage summary and "Plan Description" on the HAL website (and as a licensed attorney I am pretty good at reading this stuff), I can find no reference to a reduction in benefits when only one person in the cabin cancels. A link to the policy summary is found on the "Before You Go" page at the HAL website. There is another link from the summary page to the Plan Description. If you read the Plan Description, there is also a reference to a "Master Plan" on file with a trustee in Washington DC.

 

I am very interested to know whether this is an isolated event, a common practice that many of you have experienced, or a new surprise based on a "Master Plan" not openly published (or readily available) that HAL has waiting for it's unsuspecting customers. My travel agent says that no one in his agency (and it's an agency that does a lot of business with HAL) has ever encountered this in the past.

 

I'm hoping this is only another example of bad information passed along by customer service representatives who have been given incorrect information by a misguided supervisor. However, if this is a hidden clause in a policy filed in Washington, DC, the word needs to get out so people know what they are getting (or perhaps in this case not getting) for their money. In any event, I plan to pursue this issue a far as necessary, and will continue updating this post as things develop.

 

Thanks for your help.

[6rugrats]

Having never read this policy, I can't answer your question. You are going to have to obtain a copy of the actual policy, not just a summary, to find the answer. If each passenger had their own separate insurance policy, I am wondering why the sick passenger could not receive their benefits, and if the solo passenger had some sort of coverage for a cabin mate being a no show.

 

We have sailed with a party who never showed up, leaving one person alone in a cabin. Nothing was ever said, and we never received any additional charges. Of course, we did not have insurance through HAL.

 

After reading your post, I see this as another reason to perhaps purchase trip insurance from an outside company. If this had been the case for you, I don't see why the sick person couldn't have cancelled, and received any benefits due under the policy. IME, HAL then never would have charged the remaining passenger in the cabin any additional fare.

 

YMMV.

[cruiseco]

I started this post on the Holland America board, but I thought it would also be appropriate here. I am trying to find out if anyone else has experienced a problem getting reimbursed for a cancellation claim on their HAL Platinum Insurance policy.

 

I am the leader of a 115-person group that cruised on the January 14th Westerdam itinerary. Two members of our group were single ladies traveling together and both purchased the $99 HAL Platinum Insurance protection. During the week prior to the cruise, one of the ladies contracted a flu virus and was under doctor's care. On the day of departure, she called me to let me know she had not recovered and her condition prevented her from traveling. Her cabin-mate did travel and was the sole occupant in the cabin.

 

Upon our return, our travel agent initiated the claim process with both the Berkeley Group and HAL. In calls to HAL, he was repeatedly told by customer service representatives that our canceling passenger would not receive the 90% reimbursement as stated in the Plan Description. Instead, they stated if a claim was paid, a single-supplement rate would be imposed on the non-canceling passenger, effectively reducing the insurance reimbursement by the difference between the dual-occupancy rate and the single-occupancy rate. As represented by HAL, the net amount received would equal about a 40% reimbursement of the fare paid.

 

One HAL representative stated there is fine print somewhere in the policy that imposed this offset. Upon reading both the online coverage summary and "Plan Description" on the HAL website (and as a licensed attorney I am pretty good at reading this stuff), I can find no reference to a reduction in benefits when only one person in the cabin cancels. A link to the policy summary is found on the "Before You Go" page at the HAL website. There is another link from the summary page to the Plan Description. If you read the Plan Description, there is also a reference to a "Master Plan" on file with a trustee in Washington DC.

 

I am very interested to know whether this is an isolated event, a common practice that many of you have experienced, or a new surprise based on a "Master Plan" not openly published (or readily available) that HAL has waiting for it's unsuspecting customers. My travel agent says that no one in his agency (and it's an agency that does a lot of business with HAL) has ever encountered this in the past.

 

I'm hoping this is only another example of bad information passed along by customer service representatives who have been given incorrect information by a misguided supervisor. However, if this is a hidden clause in a policy filed in Washington, DC, the word needs to get out so people know what they are getting (or perhaps in this case not getting) for their money. In any event, I plan to pursue this issue a far as necessary, and will continue updating this post as things develop.

 

Thanks for your help.

 

I think what the rep was pointing you toward is this:

 

"The CPP Standard Plan is not insurance; it provides no rights other than those explained above. For example, it does not protect double-triple-quad occupancy rates should one or more members of your party cancel nor does it cover expenses or unused services due to trip interruption."

 

So, if HAL imposes a single supplement on the remaining passenger, that passenger has no coverage that will cover this additional cost.

 

The standard CPP plan wording is what applies in your case as far as how cancellation are handled. The only advantage you are getting in the case of a pre-departure cancellation from upgrading to the Platinum Plan is the bump from 80% reimbursement to 90% reimbursement.

 

The part I question is HAL actually charging the single supplement in the case of a last minute cancellation. Have you actually verified that with HAL?

[sirwired]

This is a toughie... the policy indeed only talks about reimbursement for the canceling passenger; it says nothing about helping their traveling companions.

 

With a 3rd-party policy, the usual way to "get around" this for a 100% penalty cancellation is to either buy a policy that will cover the single supplement (many do), or simply "no show", and hope that no supplement is charged. (Probably depends on the whim of the purser...)

 

Unfortunately, this 1st-party policy requires a formal cancellation to pay a claim, even in the 100% penalty period, and that means that the supplement WILL be charged.

 

I don't really see any way around it, and since this part of the policy is a "partial cancellation penalty waiver" instead of actual insurance, you don't have any recourse (i.e. Insurance Commission) to appeal.

[kjn]

Thanks to everyone for your inputs. If you are interested in a rather lengthy discussion on this issue, check out the thread at Holland America bulletin board link