Travel Insurance-Financial Default

[CTLeeA]

We were looking forward to going under deposit for a 2021 Cel. cruise...I use my Chase Sapphire card to get trip cancellation insurance...It did cover financial default of a third party (meaning if you booked thru a TA, you were covered)...I say did because upon calling Chase benefits, I learn that as of 12/2019, financial default of a cruise line is no longer a covered loss...I will not be surprised if this becomes more commonplace.

[Marelaine]

Good to know. Thanks.

 

 

[cruiserchuck]

I also have used a Chase Sapphire card for travel insurance in the past.  With the reductions in benefits and me not traveling at all right now, I may not keep the card when my next annual fee is due.

 

Many people do not know that if you buy travel insurance through Celebrity, it also does not cover financial default by Celebrity.  

[HaveWeMetYet]

When these cruise lines get around to filing for bankruptcy the threads on cruise critic are going to be epic.

[CTLeeA]

48 minutes ago, HaveWeMetYet said:

When these cruise lines get around to filing for bankruptcy the threads on cruise critic are going to be epic.

Some plans will cover bankruptcy but not default.

[cruiserchuck]

Some credit cards will reverse a charge for a cruise when the cruise line files for bankruptcy, and cancels your cruise.  This happened to us when Renaissance filed bankruptcy and went out of business.

[CTLeeA]

5 minutes ago, cruiserchuck said:

Some credit cards will reverse a charge for a cruise when the cruise line files for bankruptcy, and cancels your cruise.  This happened to us when Renaissance filed bankruptcy and went out of business.

Hmmm...interesting...generally speaking, if you don't get what you ordered and paid for, that's grounds for a charge back...but I wonder if the bank would tell you you should have taken out insurance.  Was this contested by Renaissance?  

 

[Fly and Sail]

22 minutes ago, CTLeeA said:

Hmmm...interesting...generally speaking, if you don't get what you ordered and paid for, that's grounds for a charge back...but I wonder if the bank would tell you you should have taken out insurance.  Was this contested by Renaissance?  

 

 

Being able to charge back isn't in any way related to the customer making their own provisions to protect a trip. If the bank refuses to process a chargeback (happened to me before) file a claim with the ombudsman or a complaint with the Office of the Comptroller that regulates the banks.

[CTLeeA]

8 minutes ago, Fly and Sail said:

 

Being able to charge back isn't in any way related to the customer making their own provisions to protect a trip. If the bank refuses to process a chargeback (happened to me before) file a claim with the ombudsman or a complaint with the Office of the Comptroller that regulates the banks.

You might be correct but when I had a claim, the insurance company make in clear in their t&c that payment of any kind from the provider would be deducted from my claim, if approved.  It's the undue enrichment thing.  

[upwarduk]

On 6/29/2020 at 11:16 PM, CTLeeA said:

learn that as of 12/2019, financial default of a cruise line is no longer a covered loss...I will not be surprised if this becomes more commonplace.

Interesting.

But I see the OP. Is from NZ.

I just wonder if different countries have different regulations.

We have travel insurance with our bank, and we’re sent a text in April, saying if we booked our holiday before 18/03/20, we would be Covid covered, but holidays booked after that time were not.

I have a claim in at the moment, but the insurance company are not answering their phone and advise not to hold on unless travel is within 48 hrs.

[chemmo]

9 minutes ago, upwarduk said:

 

We have travel insurance with our bank, and we’re sent a text in April, saying if we booked our holiday before 18/03/20, we would be Covid covered, but holidays booked after that time were not.

 

 

It sort of defeats the object of insurance if the factor you think most highly likely to blow your holiday plans to pieces is not covered!

 

Our next cruise now isn’t until September 2021 and is from Southampton. We simply don’t want the added complications of flights whilst times are unsettled. Dreading pricing up insurance nearer the time and we will be reading the small print very closely. 

 

Hope you get a resolution soon, really poor your insurance company isn’t answering its phones...I think for many at present with outstanding insurance claims, cancelled cruise claims etc it is just frustrating not to get them out of the way and move on...

[TeeRick]

10 hours ago, HaveWeMetYet said:

When these cruise lines get around to filing for bankruptcy the threads on cruise critic are going to be epic.

Bankruptcy does not actually mean that they will be out of business or not cruising in the future.

[terrydtx]

Many insurance companies also have coverage exclusions as a result of a pandemics, acts of war and terrorism. If a company becomes insolvent due to the current pandemic, coverage may not happen under these policies even if there is no exclusion for bankruptcy. 

[cruiserchuck]

11 hours ago, CTLeeA said:

Hmmm...interesting...generally speaking, if you don't get what you ordered and paid for, that's grounds for a charge back...but I wonder if the bank would tell you you should have taken out insurance.  Was this contested by Renaissance?  

 

 

We had travel insurance that covered financial default.  When we called the insurance company to start a claim, they told us we needed to contact the credit card company and pursue a charge back.  Somewhat to our surprise, the credit card company gave us the money back.  I do not recall how/if Renaissance responded.