2018 Cruise Season starts early

5th April 2016

2018 Itineraries are starting to be released more than a month earlier than in 2015

Normally it’s late May when the first itineraries for cruises departing in 2 years time come onto the market – this year its even earlier. So far we have noted a spectacular Antarctic itinerary and the first Round the World itinerary being advertised for 2018. What does this mean to you and why are we flagging this up NOW?
Obviously this opens considerable commercial opportunity and neither of the above cruises could be covered by a traditional comprehensive travel policy, simply because the sums insured for cancellation and curtailment exceed £10,000 – even in the cheapest of cabins. So a specialist policy will be needed – and as you already all know – our Cruise Insurance will cover not just fabulously expensive cruises, but also provide your clients with cover now for a trip that wont end until early May 2018. More than 2 years off.

Cover for cancellation for a trip being taken so far off is less of an issue now for your clients because to secure their place all they need to do is pay a comparatively small deposit. The real financial worry for clients comes in about 12 months time, when they will have to pay the final balance for their cruise – at this point they are on risk for the whole amount – and naturally want to offload this risk and at this point, they wake up to needing their travel insurance in place.

Our Cruise Policy must be taken out within 6 weeks of the booking being made for us to offer this high value and much needed cover. Why you may ask? Experience shows that those who are prepared to pay to insure a high value cruise against the loss of all their money are more inclined to do so if they suspect there maybe problems ahead, sadly this results in considerable cancellation claims and an active selection process against the insurer. More cruises are cancelled after the final balance is paid, than in the period up to this point, meaning cancellation claims are most frequently full risk settlements. Cancellation claims out weigh medical claims 3:1 in volume too.

By accepting only those wishing to cover the full sum insured at the point (or very shortly thereafter) that the cruise booking is made, means we take on a cross-section of travellers, who dont all cancel in the last weeks before they depart, and we can keep the premium in the affordable and acceptable perameters for those wishing to insure these very expensive cruises. Experience has shown that deselection burns underwriters and results in premium increases. So whilst we will continue to accept clients wanting to insure their cruise after the 6 week window has elapsed, it will be without offering cancellation cover as part of the policy terms.

Normally it’s late May when the first itineraries for cruises departing in 2 years time come onto the market – this year its even earlier. So far we have noted a spectacular Antarctic itinerary and the first Round the World itinerary being advertised for 2018. What does this mean to you and why are we flagging this up NOW?
Obviously this opens considerable commercial opportunity and neither of the above cruises could be covered by a traditional comprehensive travel policy, simply because the sums insured for cancellation and curtailment exceed £10,000 – even in the cheapest of cabins. So a specialist policy will be needed – and as you already all know – our Cruise Insurance will cover not just fabulously expensive cruises, but also provide your clients with cover now for a trip that wont end until early May 2018. More than 2 years off.

Cover for cancellation for a trip being taken so far off is less of an issue now for your clients because to secure their place all they need to do is pay a comparatively small deposit. The real financial worry for clients comes in about 12 months time, when they will have to pay the final balance for their cruise – at this point they are on risk for the whole amount – and naturally want to offload this risk and at this point, they wake up to needing their travel insurance in place.

Our Cruise Policy must be taken out within 6 weeks of the booking being made for us to offer this high value and much needed cover. Why you may ask? Experience shows that those who are prepared to pay to insure a high value cruise against the loss of all their money are more inclined to do so if they suspect there maybe problems ahead, sadly this results in considerable cancellation claims and an active selection process against the insurer. More cruises are cancelled after the final balance is paid, than in the period up to this point, meaning cancellation claims are most frequently full risk settlements. Cancellation claims out weigh medical claims 3:1 in volume too.

By accepting only those wishing to cover the full sum insured at the point (or very shortly thereafter) that the cruise booking is made, means we take on a cross-section of travellers, who dont all cancel in the last weeks before they depart, and we can keep the premium in the affordable and acceptable perameters for those wishing to insure these very expensive cruises. Experience has shown that deselection burns underwriters and results in premium increases. So whilst we will continue to accept clients wanting to insure their cruise after the 6 week window has elapsed, it will be without offering cancellation cover as part of the policy terms.