This is not a normal post about insurance issues when booking flights.
Insurance can be expensive — often accounting for over 10 percent of the trip’s price. However, insurance issues can also be expensive, especially when it involves a nonrefundable ticket, particularly for business class and/or international travel. So, it’s a real relief when travelers who need to cancel are covered.
But not all nonrefundable tickets are equal.
What makes them more flexible can be an insurance problem.
If a ticket is nonrefundable and nonchangeable — one of those “use it or lose it” fares — then it’s pretty straightforward.
But the issue is that many nonrefundable tickets are reusable for up to a year. That generally means insurance will not pay out until the ticket expires.
Expensive tickets are not always refunded quickly.
For example, a client had booked expensive business-class tickets to Africa this fall in April but decided not to take the trip. His insurance would cover it. Except for the tickets, which are valid with Delta until April 2026 for use towards future travel.
If he doesn’t travel and the tickets expire, then his insurance has indicated they will cover it. So it’s not a complete loss. And in his case, he doesn’t need the money urgently. But if he did it would be a problem.
Sometimes when there’s a travel emergency, people do want that money returned immediately.
Another issue that can arise: If travelers have a covered airline ticket that is valid for some number of months, what if they rebook and then cancel THAT ticket? There are also potential gray areas when someone purchases an airline ticket and then pays for seat assignments, for example.
One more issue with insuring airline tickets. Some insurance providers require non-refundable tickets to be purchased within 24 hours of departure.
I am NOT an insurance agent, nor do I pretend to be one.
Overall, allowing airlines to reuse many nonrefundable tickets when canceled is a good thing.
But travel insurance issues are often complicated. Anyone considering an expensive investment in airline tickets should take a little time to ensure they understand the restrictions on those tickets. What is actually covered and when it is covered are essential to know.
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Janice Hough is a California-based travel agent a travel blogger and a part-time comedy writer. A frequent flier herself, she’s been doing battle with airlines, hotels, and other travel companies for over three decades. Besides writing for Travelers United, Janice has a humor blog at Leftcoastsportsbabe.com (Warning, the political and sports humor therein does not represent the views of anyone but herself.)
