http://travel.timesonline.co.uk/tol/life_and_style/travel/your_say/article3333620.ece
From The Sunday Times
February 10, 2008
The holiday you can't cancel
What happens if you pay a holiday deposit and the country you’re going to implodes? As one couple found, you lose.
Chris Haslam
When Jessica Jonzen planned her honeymoon last October, she left little to chance. Booking a long way in advance – her wedding is next September – with a fully bonded tour operator, she chose a spectacular safari camp and a romantic island resort in Africa’s safest country.
Then, at the beginning of this year, Kenya fell apart.
As violent clashes across the country, sparked by a disputed election result, left more than 1,000 dead, the Foreign Office issued a series of travel advisories. These ranged from advice against nonessential travel to specific trouble spots to full-on warnings against all travel to the troubled East African state.
Most large tour operators, including Thomson, Thomas Cook and Cosmos, cancelled their programmes in Kenya, and by the end of January, the Foreign Office minister Lord Malloch-Brown was warning that the country was “in danger of falling over the edge”.
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In view of the worsening situation, Jonzen decided to cancel the honeymoon. “If this had just been a holiday, I probably wouldn’t have cancelled, but I didn’t want to spend the months leading up to my wedding worrying about whether we’d be safe on honeymoon,” she says. In a letter to her tour operator, Imagine Africa, she wrote: “I would like to think that, due to the current situation, we would be able to recover the majority of our deposit.”
Not possible, Imagine Africa replied, explaining that the £700 deposit had been forwarded to Cheli & Peacock, a Nairobi-based agency that owns, and/or manages bookings for, some of the country’s most luxurious safari lodges and beach resorts.
Cheli & Peacock’s managing director, Stefano Cheli, says he has exercised his right to hold onto Jonzen’s deposit, even though he has not yet incurred any expenses on her booking.
“At the moment, with no Foreign Office travel ban in place, normal booking conditions apply,” he says. “That means we can legally hold onto deposits. I’m in a difficult position here – I employ 400 people, and each of their salaries feeds about 10 members of their family. If I can’t pay their wages, 4,000 Kenyans will go hungry.”
Our sympathy for the Kenyan people notwithstanding, why should young British honeymooners be forced to contribute to the welfare of Cheli & Peacock’s employees? The agency posted a turnover in excess of £850,000 last year and could be reasonably expected to be capable of paying its staff itself.
Cheli denies that he is using British tourists’ money to prop up his business and the Kenyan economy, arguing that, while deposits will not be returned, they will remain valid against future bookings.
Imagine Africa’s managing director, Ben Morison, says that he has handled about 50 cancellations since the troubles started, and claims Cheli & Peacock is the only agent he is aware of that is refusing to return deposits.
“What they’re doing is shortsighted,” Morison says. “They haven’t incurred any costs, and this is tantamount to profiteering. It’s bad for Kenyan tourism.”
Imagine Africa, however, has no plans to refund Jonzen’s deposit either. In an e-mail to her, the company said: “In terms of your specific booking, the truth is the amount we have paid as a deposit is actually greater than the £700 we have taken from you as the initial deposit payment. Don’t worry, that is our issue to sort out – but it does mean that we would not be able to refund even part of your deposit payment.”
Other Kenya specialists have distanced themselves from Cheli & Peacock’s stance. Nick Weekly, managing director of African Safari Club, which acts as its own ground handler and has been selling holidays to Kenya for 40 years, thinks this is the time to show goodwill.
“Tourism is the biggest employer in Kenya after the government, and now’s the time to be rebuilding confidence,” he says. “We had a wedding party of 45 booked for April, but we allowed them to cancel.
“We understand that honeymoons are special, so we’re returning deposits to those who are concerned. Kenya depends on advance bookings, so the whole idea should be to avoid scaring people away by showing good faith. Repay their deposits and they will return.”
The African Travel and Tourism Association agrees. “We would hope that operators and suppliers would look carefully at the matter of cancellation fees,” says its chief executive, Nigel Vere Nicoll. “The wise are looking to the future to rebuild tourism in Kenya, and we’re hoping that tour operators and ground agents will refund deposits.”
Either way, the Kenyan crisis – which few could have predicted – has highlighted the risks holidaymakers take in booking many months in advance. Operators typically take a deposit on receipt of the reservation. The balance becomes payable long before the departure date – eight weeks if you’ve booked with First Choice, 61 days with Kuoni and a full three months with Thomas Cook.
In the interim, governments can collapse, hurricanes can wash beaches away and terror attacks can put soldiers on the streets, materially changing the nature of the destination from that depicted in the brochure. And, while your money is safe if the operator goes under – its Abta or Atol bond is its guarantee – you could end up seriously out of pocket if the country you’re flying to goes into meltdown.
It is in the interests of the tour operator for holidaymakers to book so far in advance; so surely, if the holiday product changes – as it has done with Kenya (few can blame Jonzen for feeling uncomfortable about proceeding with a honeymoon in a country experiencing such upheaval) – the operator should consider handing back the unspent deposit. Otherwise, why would travellers risk early booking?
Frances Tuke, of Abta, takes an unsympathetic view. “If normal booking conditions apply and you’re really concerned about your safety, then you shouldn’t be worrying about the money,” she says. “Just cancel your trip.”
As for Jonzen, she’ll be honeymooning in Italy, where nothing can possibly go wrong. Can it?
Can I visit Kenya?
Yes. The current advice from the Foreign Office is to avoid nonessential travel to a number of provinces rarely touched by tourism, and not to journey to the Masai Mara by road.
What about insurance?If you decide to visit Kenya, your travel insurance will probably be valid. “Be sure to check the small print or call the helpline first,” says the broker James Hanratty. “In most cases, you’ll be covered for normal tourist risks. Claims for injury or loss sustained as a result of the civil disturbances will not be entertained.” I’m not convinced. Can I cancel and get a refund?Unless you’re booked to travel to Naivasha, Lake Nakuru or Lake Naivasha national parks, you probably can’t. Tour operators will usually offer refunds or the opportunity to switch to an alternative destination only if the Foreign Office advises specifically against nonessential travel to the area you’re visiting. Otherwise, “normal booking conditions apply”.
Travel insurance won’t help, either. “Disinclination to travel isn’t covered,” Norwich Union says. “So, if you choose to cancel your holiday because you’re scared or concerned about conditions at your chosen destination, you cannot claim on your travel insurance. You’re really at the mercy of your tour operator.”
But it’s my honeymoon.Honeymooners and wedding parties might merit slightly more mercy from the travel industry – many small operators have told The Sunday Times that they will consider such cancellation requests on a case-by-case basis – but any such concession should be seen as a goodwill gesture, not a consumer right.
