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I was wondering how cruise insurance would work.  Say You cancel on Royal. You get future cruise credit to use in 1 year. What if you can’t use it   Do you think insurance would reimburse you then after 1 year 

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On 7/9/2019 at 8:46 PM, Bases5 said:

I was wondering how cruise insurance would work.  Say You cancel on Royal. You get future cruise credit to use in 1 year. What if you can’t use it   Do you think insurance would reimburse you then after 1 year 

Thoughts

I am guessing you are talking about Royal Caribbean's insurance? I am not familiar with their policy, but from your wording is sounds like it is similar to other lines that have a cancel for any reason (CFAR) clause.  If you cancel (for a non covered reason), they refund a portion (typically 90%) of your fare in the format of a future cruise credit that has a set expiration date (typically one year).  I don't think any of them will give you cash after a year, but nice try 😀

 

Here is another option to consider: A number of third party insurance policies offer CFAR clauses.  They usually refund a smaller portion (typically 75%) of your fare, but it is in cash. Other policies often offer better coverage than the cruise lines for the same or less money, depending on you age.  Adding CFAR to a policy typically adds 40-60% to the premium, so you need to comparison shop to see what best meets your needs and budget.  Take a look at one of the brokers recommended by posters on this forum such as tripinsurancestore.com or insuremytrip.com. 

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As Bo1953 said, no.  Here’s why.

 

The voucher for cruise credit is not part of the insurance policy. It is a courtesy to the customer provided by the cruise line.

 

If you use the voucher to book a second trip,  insurance companies do not recognize vouchers or credits as forms of payment because they have no cash value regardless of what you paid for the initial cruise, so they can’t be insured for cancellation. You can buy medical and evacuation coverage for a trip booked with a voucher, but not cancellation.  If you don’t use the voucher within the prescribed time limit, you lose.

 

 

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Last Feb., we had to cx our cruise just 3 weeks before sailing since my hubby needed surgery. We were reimbursed by our travel insurance company for everything including the non-refundable deposit. Later, we received an email from RCCL telling us that we have a voucher for a future cruise, BUT IF we had been reimbursed for our costs, then that negates the voucher. To use it would be considered insurance fraud.

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I purchased Nationwide insurance (luxury). I did wonder if the insurance would cover the non refundable part of the Royal Caribbean pricing.  I'm assuming I would get everything back if I had to cancel before my cruise (i'm less than 4 weeks away).  My father has been in hospice care for several months.  He seems to be declining a bit more so I'm a bit worried.

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On 7/29/2019 at 7:43 AM, slyster said:

I purchased Nationwide insurance (luxury). I did wonder if the insurance would cover the non refundable part of the Royal Caribbean pricing.  I'm assuming I would get everything back if I had to cancel before my cruise (i'm less than 4 weeks away).  My father has been in hospice care for several months.  He seems to be declining a bit more so I'm a bit worried.

It is possible.

 

It would depend on your policy wording, exclusions, look back periodand if it covers family member's who take ill or die before sailing.

 

It is recommended that you contact your agent or the insurance company to be sure your situation is covered.

 

Good luck, I trust all will be well for everyone before and during your sailing and bon voyage

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I would think it unlikely IF you knew this was a possibility when you took out the insurance. Have you read the PDS?

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On ‎7‎/‎31‎/‎2019 at 1:05 AM, phoenixx said:

I would think it unlikely IF you knew this was a possibility when you took out the insurance. Have you read the PDS?

 are you referring to my post?  I wasn't sure.  My father got sick and started hospice AFTER I got the insurance.  I booked this cruise almost a year ago. 

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On 7/22/2019 at 9:47 PM, BopRN said:

Last Feb., we had to cx our cruise just 3 weeks before sailing since my hubby needed surgery. We were reimbursed by our travel insurance company for everything including the non-refundable deposit. Later, we received an email from RCCL telling us that we have a voucher for a future cruise, BUT IF we had been reimbursed for our costs, then that negates the voucher. To use it would be considered insurance fraud.

I don't see the rational that this "negates" the voucher, or that this is "insurance fraud".  Either they offer you a voucher or they don't.  If you bought insurance from a "3rd party", I see that as your business.  The reason is that you paid the insurance premium; it is a separate contract which did not involve RCCL in any way.  Maybe you paid extra for an excellent travel policy where they quickly reimburse you without waiting to see if the cruiseline first offers a voucher?   If so, then you shouldn't be penalized for that.  Another way to think about this is if you would ever ask RCCL to refund your insurance premium, they would quickly tell you that this was your business and they are not involved.  

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On 7/11/2019 at 2:12 PM, Babr said:

As Bo1953 said, no.  Here’s why.

 

The voucher for cruise credit is not part of the insurance policy. It is a courtesy to the customer provided by the cruise line.

 

If you use the voucher to book a second trip,  insurance companies do not recognize vouchers or credits as forms of payment because they have no cash value regardless of what you paid for the initial cruise, so they can’t be insured for cancellation. You can buy medical and evacuation coverage for a trip booked with a voucher, but not cancellation.  If you don’t use the voucher within the prescribed time limit, you lose.

 

 

 

Hi Babr,

 

I like how well you explained that.

I tell people this "the credits are not insurable when you use them for the second trip, so don’t cancel that second trip", but your explanation is more thorough.

 

Steve

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Wow! Thanks, Steve. That is quite a compliment, coming from you. You are the expert.

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