Wednesday, September 06, 2006

Hurricane season a safer bet for travelers

“When a major storm hits the Caribbean, most airlines and hotels eventually wind up waiving the usual restrictions so that customers can change or cancel their plans free of charge. But because policies have traditionally been announced on a case-by-case basis -- and at the last minute -- you had little choice but to wait and cross your fingers. Now, after two brutal hurricane seasons, a few airlines and tour operators have taken steps to ease travelers' concerns.”

According to CNN, some airlines and agents have allowed that customers can make changes for free once the National Hurricane Center (NHC) declares a hurricane watch or warning. In addition, a few tour operators have improved their travel-insurance policies, such as a free replacement vacation if a hurricane interrupts your trip.

Nevertheless, the question is that will this action really lead to an increase in business? Will people still want to travel in a hurricane season? How many people will take the risk of a hurricane to travel? But anyway, I think this policy was not bad after all.

4 comments:

mscheff09 said...

I believe that the airline companies and travel agents are providing this new and improved insurance policy for their own benefit. They are trying to "trick" travelers into vacationing during a very dangerous season and providing them discounts or refunds if a hurricane hits while they are vacationing. This may seem like a wonderful idea and a good deal but most working people cannot change their vacation plans because of a hurricane. I know that personally I would rather pay more to go during a season that does not have the possibility of killing me. Hurricanes are not a joking matter, people should plan their vacations to ocean areas around the hurricane season and pay a little more. Is your life or your families life worth a few saved dollars?

mike flanagan said...

I think this policy is a good idea. I don't think that travel agencies are doing this just for their own benefit. If a family makes travel reservations to Jamaica during the month of September then that is their own fault. You have to be an idiot to not know that the tropics are in hurricane ally during the months of August, September, and October. If you do go somewhere in the tropics during hurricane season and one is predicted to hit, I think it is respectable for the travel agencies to re-schedule your vacation.

Michael Dey said...

As we know from class, there ain't no such thing as a free lunch. I believe this new and improved policy is being paid for by us somewhere along the line. With increased fuel costs, we wouldn't know the difference if each person paying for a ticket has a hidden $5.00 charge. If airlines allow people to not pay for a flight into a hurricane zone, they will lose money. As to previous comments saying it could give the airlines a lower insurance rate, I'm not so sure. If a plane is scheduled to go into a hurricane, I'd put my last dollar on the FAA grounding the flight anyway. They re-route flights in Knoxville, TN. due to a glazing of snow because of the inability to clear snow quickly. This is certainly a better way of doing things, to allow people to not pay if the flight is scheduled to go into a hurricane. However, I don't believe it's "free" in the slightest. If you buy a plane ticket, you're paying the bill, or at least a very small portion of it.

Michael Dey said...

I agree that this is a great new policy, however, we all know: "there ain't no such thing as a free lunch" as an economic principle. If you pay for a plane ticket, you're paying a small portion of the bill. I don't believe the airlines would get a lower insurance rate for this new policy. It's not as if they're insured to go into a hurricane (flights are grounded in my hometown of Knoxville, TN. due to snow accumulation). Regardless, I'm sure this policy will more than pay for itself for the airlines, and consumers. I would be much more likely to buy a ticket in hurricane season if I knew I wouldn't have to pay for a cancelled flight.