WestJet and Sunwing Vacations Join Air Canada Vacations, Transat to Now Refund Insurance for Cuba

*this story is fluid and was updated to include Transat and Manulife responses

WestJet Group, which encompasses WestJet, Sunwing Vacations, WestJet Vacations and Vacances WestJet Quebec – has changed their position on refunding insurance and will now refund Worry Free and Worry Free Plus for Sunwing Vacations and TPP (Travel Protection Plan) for WestJet Vacation’s guests.

The news came after Travel Market Report Canada reached out this morning inquiring about their stance, originally we were told they were not refunding. However, a late email Tuesday afternoon confirmed the change of position.

They now join Air Canada Vacations and Transat in refunding insurance in addition to fares.

Air Canada confirmed early Tuesday they are refunding the entire package including any Careflex / Careflex+ and or Carefree.

“Yes, we are refunding the entire amount including seat selection if booked,” said Erminia Gallina, Director of Sales for ACV.

Transat’s Commercial Director Julie Sareault confirmed to Travel Market Report late Tuesday, it would refund all components of a booking, including the valued Option Flex Standard, Option Flex Extra, as well as all ancillary products such as seat selection and Option Plus.

It’s important to note that insurance offered through a tour operator is still underwritten by a third-party insurer. Even though the coverage is sold at the time of booking and appears on the same invoice as the package, it is not controlled by the tour operator and is not part of the travel contract. The operator acts as a distributor, not the insurer.

“To clarify, travel insurance is not classified as a travel service, such as accommodation or transportation, under the regulation that TICO administers,” TICO CEO Richard Smart told Travel Market Report Canada.

“As a result, decisions regarding refunds for insurance fall to the individual travel business, which has the discretion to determine its own insurance refund policies.”

Jennifer Waver, Manulife’s Head of Travel Distribution for Canada, told Travel Market Report Canada Tuesday afternoon that “In light of the current situation, when clients receive a full refund from their travel supplier, Manulife will issue a policy refund upon request, provided no claims have been paid or are pending. Policies with claims already initiated are not eligible for a refund.”

She added, “Advisors play an essential role in helping travellers navigate this type of disruption, particularly for those encountering it for the first time. Advisors are encouraged to help clients facilitate a Manulife Travel Insurance policy refund, when requested and eligible, or to support clients in rebooking alternative travel while ensuring they have the right insurance coverage for their new travel plans.”

In a broader sense under TICO guidelines who issued a reminder to advisors on Monday, (February 9) if an Ontario travel agency or tour operator acquires rights to travel services for resale and is unable to provide the travel services because a supplier fails to deliver them (e.g., flight to destination or availability of hotel), customers must be offered their choice of:

• A refund; 
• Comparable alternate travel services acceptable to the customer; or
• A voucher or similar document that is acceptable to the customer for future redemption towards travel services.

If a customer prefers a full refund for a travel package, Ontario’s consumer protection laws require a refund be provided within a reasonable timeframe.

All Canadian tour operators have stopped flights to Cuba as the country faces aviation fuel shortages. Last year, close to 900,000 Canadians visited Cuba, making it one of the country’s most important winter sun destinations with Sunwing Vacations having the largest program.