From the time that a booking is confirmed (under deposit), there will be an Administrative Fee charged for any cancellations (this amount will help us cover the high costs associated with booking and cancelling a reservation). This fee is not covered by our insurance (since it is much less than the cost of the insurance). Each of our brochures indicates the date when higher penalties will begin and when our insurance will be issued. From that date forward, the insurance premium is non refundable. Your confirmation letter will contain information defining the cancellation penalties if you are forced to cancel your reservation after that date. Generally the closer you get to the departure date, the higher the cancellation penalty. The penalty represents the money that we have paid to our suppliers (airlines, hotels, coach lines, cruise lines etc.) which they will withhold if you are forced to cancel. If you do cancel for a covered reason, you will be able to recover those funds by making a claim through the insurance noted above. If you decline our insurance, you will have to claim any penalty through your own insurance coverage.