Are Deposits reimbursable by Credit Card Companies?

[floridatravelersforlife]

I paid a deposit for an Oceania cruise for next year with my Visa.  If Norwegian goes under,  would the deposit amount be refundable by Visa?

[Hawaiidan]

Well if it is a Chase card  on Marriott or United, you have 10,000 travel insurance  if you can not go due to your incapacity.     I can not say if that works if the company goes under, but they do insure your purchases so you might be ok.      NCL  aint going anywhere...  Relax and pour your self a slammer...   Right now everyone is wound up and scared....   With no ships sailing there is a huge savings in labor and fuel that may very well offset revenue lost to a great extent.    Creditors are not going to seize a dozen or more ships because what would they do with them?      It is to everyone's mutual advantage, Banks. Lines and Passengers to work together and survive.        None of the above want to see any failures

[Rob the Cruiser]

Ask Visa. Visa will tell you that Norwegian isn't out of business. Ask "but what if?" Visa will tell you that Norwegian isn't out of business. 

 

Cancel your reservation and wait until all of this uncertainty has passed. 

[koolforkatz]

Thanks for asking this question. I’ve been wondering about this too. Same situation.

[susiesan]

All credit card insurance is different. Read your policy carefully. Then if you have to make a claim be prepared to have a gigantic battle with the travel insurance company as they will do all they can not to pay out. They will wear you own and hope you give up and decide its is not worth it to fight. That is the nature and business model of the insurance industry, deny deny deny claims.

[Paulchili]

37 minutes ago, susiesan said:

Then if you have to make a claim be prepared to have a gigantic battle with the travel insurance company as they will do all they can not to pay out. They will wear you own and hope you give up and decide its is not worth it to fight. That is the nature and business model of the insurance industry, deny deny deny claims.

That is my experience as well. It looks good on paper but it almost worthless much of the time - not dependable for major expenditures. Good private insurance is much more dependable.

[MadManOfBethesda]

10 hours ago, susiesan said:

All credit card insurance is different. Read your policy carefully. Then if you have to make a claim be prepared to have a gigantic battle with the travel insurance company as they will do all they can not to pay out. They will wear you own and hope you give up and decide its is not worth it to fight. That is the nature and business model of the insurance industry, deny deny deny claims.

 

You've written that on separate threads now, but that has not been my experience. I had to cancel a cruise once a couple of weeks before departure for medical reasons and I had absolutely no difficulty getting 100% of my money returned to me.  I believe that the company was Travel Guard, but I'm not completely sure.  All I had to do was fill out a form and have my doctor submit supporting documentation. Easy Peasy.

 

But more importantly, and more on point with this thread, the OP most likely wouldn't even need to deal with an insurance company.  As I responded to you on another thread when you posted about Renaissance going out of business, I had a fully-paid-for cruise booked on Ren when they went under and I received 100% of my money from my credit card company (AmEx). And that had nothing to do with trip insurance; that was simply the credit card company doing a chargeback because I had not received the "services" or product that I had contracted for from Ren.    

[floridatravelersforlife]

1 hour ago, MadManOfBethesda said:

 

You've written that on separate threads now, but that has not been my experience. I had to cancel a cruise once a couple of weeks before departure for medical reasons and I had absolutely no difficulty getting 100% of my money returned to me.  I believe that the company was Travel Guard, but I'm not completely sure.  All I had to do was fill out a form and have my doctor submit supporting documentation. Easy Peasy.

 

But more importantly, and more on point with this thread, the OP most likely wouldn't even need to deal with an insurance company.  As I responded to you on another thread when you posted about Renaissance going out of business, I had a fully-paid-for cruise booked on Ren when they went under and I received 100% of my money from my credit card company (AmEx). And that had nothing to do with trip insurance; that was simply the credit card company doing a chargeback because I had not received the "services" or product that I had contracted for from Ren.    

Thanks for the Ren experience.  That is what I am looking for.  Travel insurance doesnt come into play.

[Andee]

In 2001, Renaissance went bankrupt 3 days before we were scheduled to board (better than 3 days after we boarded)..

The travel insurance company required us to check with Visa first. Because we had paid for a service we could not receive, Visa refunded all that we had paid within 3 weeks. IIRC, Visa had required Renaissance to post a one billion dollar bond to do business with them.

[susiesan]

2 hours ago, MadManOfBethesda said:

 

You've written that on separate threads now, but that has not been my experience. 

I am speaking from my experience with travel insurance. I to caught up in the civil war and terrorism in Thailand in 2008. I had just come off a Star Clipper cruise in Phuket when BKK was shut down for a week.

We were stranded there, supposed to be flying on to Cambodia. We had to stay in Phuket for a week until I was able to arrange flights home through a roundabout way. I had an extra $2000 in expenses for hotels, flight changes, incidentals. The insurance company was Travel Guard. They told me I was covered, just turn in all the receipts when I got home and filed a claim. I did and they immediately turned it down. It took 2 months of fighting and ultimately turning the matter over to my state Attorney general office to get them to pay my claim.

[Mura]

My experience with Renaissance was as the others have said just above Susiesan's comment.  In our case we were only out the deposit since our final payment hadn't been due until a few weeks after Ren filed for bankruptcy.  We'd paid the deposit with an Amex card.  We didn't have to wait long for a full refund of our deposit.  Back then I think it was all of $500.

 

Mura

[MadManOfBethesda]

20 hours ago, susiesan said:

I am speaking from my experience with travel insurance. I to caught up in the civil war and terrorism in Thailand in 2008. I had just come off a Star Clipper cruise in Phuket when BKK was shut down for a week.

We were stranded there, supposed to be flying on to Cambodia. We had to stay in Phuket for a week until I was able to arrange flights home through a roundabout way. I had an extra $2000 in expenses for hotels, flight changes, incidentals. The insurance company was Travel Guard. They told me I was covered, just turn in all the receipts when I got home and filed a claim. I did and they immediately turned it down. It took 2 months of fighting and ultimately turning the matter over to my state Attorney general office to get them to pay my claim.

 

That's a special situation and I think you were fortunate to get your money back.  Most, if not all, insurance policies specifically exclude wars and terrorism from their coverage provisions.  I am not a cheerleader for insurance companies in general, but I believe that you are criticizing them unfairly based on your unique one-time experience of being caught up in a war zone.   

[Shawnino]

On 3/15/2020 at 11:03 PM, susiesan said:

All credit card insurance is different. Read your policy carefully. Then if you have to make a claim be prepared to have a gigantic battle with the travel insurance company as they will do all they can not to pay out. They will wear you own and hope you give up and decide its is not worth it to fight. That is the nature and business model of the insurance industry, deny deny deny claims.

 

Truer words never spoken.

 

1. Check your 'certificate of insurance' attached to your credit card for Supplier Default. 

Mine happens to be a paltry " up to $1000 per person per trip", which means I felt the need to cancel a large-deposit cruise in 2021, which sucks.

 

2. Know that this'll be your best case scenario.

Insurance Companies don't get rich by writing big cheques.