Vacation Vexes: Travel Tips from the Legal Experts

Each year, Americans spend billions of dollars on traveling. While most of us fondly recall our annual vacations, we often share with one another the horror stories-the plane that took off 16 hours late, the rental company that charged $1,000 for returning the car with a slight scratch or the tour company that went out of business the night before the trip. This section is designed to help your travels go more smoothly-and to let you know your rights should you encounter troubles along the way.

• Airlines
  
• Rental Cars
  
• Hotels and Other Accommodations
  
• Travel Agents
  
• When You Plan a Trip, Don't Get Taken for a Ride
  
• Benefits and Limitations of Travel Insurance
  
• Travel Scams
  
• How to Resolves Disputes on the Road

Airlines

1. How do airlines calculate fares?

2. What's all that fine print on the back of my airline ticket?

The Conditions of Carriage cover everything from the number of bags you can check to the type of compensation you receive if your flight is delayed or canceled. Boarding priority, check-in requirements and most of the other fine-print terms that describe an airline's rights and responsibilities to its passengers are set forth in the Conditions of Carriage.

Conditions of Carriage vary from airline to airline. Although most airline tickets look identical, the subtle differences in the hidden terms can make a substantial difference in your rights as a passenger. You can obtain a summary of the hidden terms and conditions of most major airlines' contracts by requesting a copy of United States Air Carriers, Conditions of Contract, Summary of Incorporated Terms (Domestic Air Transportation) from the Air Transport Association, 1709 New York Avenue, NW, Washington, DC 20006; (800) 497-3326 (Enclose a $55 check payable to ATA.) In addition, your travel agent might have a copy.

Electronic Airline Tickets

3. Are there restrictions on my airline ticket?

Most tickets, however, carry some sort of restrictions. Today, tickets usually have some or all of the following features:

• Nontransferable. A nontransferable ticket can be used only by the passenger whose name appears on the face of the ticket. If the names on the ID and the ticket do not match, the airline can confiscate the ticket. If a ticket is nontransferable but refundable, however, you may be able to cash in the old ticket and buy a new one with the new passenger's name.

• Nonrefundable. A nonrefundable ticket means you cannot get your money back if you decide not to travel. But each airline has exceptions. If you cannot make a flight for which you have a non-refundable ticket, you may be able to apply the ticket toward a future flight or exchange it for credit toward future travel. If the fare has dropped on a flight for which you have a nonrefundable ticket, you may be able to get "re-ticketed." In either situation, you will probably have to pay a fee to make the change.

• Penalties. Often, there are penalties for canceling or making changes.

4. Do airlines offer discounted tickets or let you change a ticket if you need to travel because of death or serious illness?

5. What should I do if I lose my ticket?

After waiting three months to a year, the airline will issue you a refund for the price of your replacement ticket if your lost ticket was not used during that time.

6. Am I entitled to be compensated if the airline overbooks and I get bumped off the flight?

If you are bumped, you are entitled to compensation if you have a confirmed reservation (your ticket has an "ok" or "hk" in the "Status" column) and the scheduled plane has a seating capacity of more than 60 passengers. Even if you meet both of these requirements, the airline might refuse to compensate you if any of the following is true:

• You did not comply with the airline's ticketing, check-in and reconfirmation requirements.
• You are not acceptable for transportation under the airline's usual rules and practices-for example, you are drunk.
• The entire flight was canceled.
• A smaller aircraft was substituted for safety or operational reasons.
• You refuse an offer to take a seat in a different section (class) of the aircraft at no extra charge.
• The airline offers to place you on another flight or flights scheduled to reach your final destination within one hour of the scheduled arrival of the original flight.

Compensation for Involuntarily Bumping (Flights Within or Leaving U.S.)

Compensation for Involuntarily Bumping (Flight Departing European Union Country)

7. Am I entitled to compensation if my flight is delayed, diverted or canceled?

If your trip is delayed because of overbooking, the rules discussed in the previous question apply. If the delay is caused by any other reason, your rights depend on whether it's a domestic or international flight.

• Domestic flights. Generally, airlines are not obliged to provide any compensation if the delay, diversion or cancellation was caused by factors outside of the airline's control, such as bad weather or air traffic congestion at a particular airport. On the other hand, airlines are required to compensate you for problems deemed in their control, such as mechanical difficulties or late-arriving crew members. The offered compensation can vary substantially among airlines-full-service airlines are likely to offer more generous terms-such as meals, hotels, alternate transportation or even emergency toiletries in the event of an overnight delay-while budget or no-frills airlines may offer little, if any, compensation.

• International flights. Recovering damages for an international flight delay is very difficult if the delay was caused by anything other than the airline's overbooking. Under an international treaty called the Warsaw Convention, an airline can escape liability for damages caused by flight delay if it can show that it took all necessary measures to avoid the damage or that it was impossible to take such measures.

8. Am I entitled to compensation if my baggage is lost of damaged?

To be fair, most of the time baggage does arrive, in good shape, on the same flight you were on. When your luggage is damaged, delayed or lost, however, the results can be disastrous. The best way to protect yourself from the most serious losses is to follow one simple rule: Never put anything valuable or irreplaceable (such as jewelry), or that you might urgently need (such as medications), in checked baggage. Your compensation will rarely cover your actual loss.

• Domestic flights. An airline can limit the amount it must pay if baggage is lost, damaged or delayed to $1,250 per passenger. You can get around this limit by declaring at check-in a higher value for the baggage, up to the airline's maximum which is likely to be between $2,500 and $5,000. If you declare a higher value, the airline will charge you a fee generally based on a percentage of the declared value. The airline then becomes liable up to the declared value if it loses, damages or delays delivery of the baggage, unless the airline can prove that the actual loss was lower than the declared value.

• International flights. The Warsaw Convention provides the rules under which liability for lost, delayed or damaged baggage is determined; these rules will not work to your advantage. Damages are calculated based on the weight of the baggage, regardless of the real value of the baggage or its contents. The Warsaw Convention states that the value for lost or damaged baggage is $9.07 per pound (or $20 per kilogram).

To add insult to injury, an airline can completely avoid responsibility for lost or damaged baggage if it can prove "that the damage was occasioned by error in piloting, in the handling of the aircraft or in navigation" and that, in all other respects, "the airline and its agents have taken all necessary measures to avoid the damage." It is difficult to understand why an airline should not be liable for your lost or damaged baggage if one of its pilots mishandles the airplane. On the other hand, if a pilot seriously mishandles the plane, your baggage may be the least of your concerns.

9. Are there any legal protections for the credits I earn in a frequent flyer program?

While frequent flyer programs can provide you with some travel bargains, understand that there are few legal protections for the credits you earn. Under the rules of almost all frequent flyer programs, the airline can change award levels, have credits expire or even cancel the whole program without warning.

10. Does it pay to belong to more than one frequent flyer program?

11. Can I trade or sell my frequent flyer awards?

12. I have a ticket on an airline that seems headed for bankruptcy. What can I do?

In the past, most airlines would honor a bankrupt airline's ticket and allow you on a substitute flight. But these days, given the competitive nature of the airline industry, this is rarely done. Sometimes, as a gesture of good will (and a way of luring new customers), an airline will offer a special discounted fare for passengers holding tickets on a bankrupt airline. If you have a ticket on a bankrupt airline and are a frequent flyer on another airline, try to negotiate free or discounted travel using the bankrupt airline's ticket. Trip cancellation or trip interruption insurance can sometimes cover the cost of a replacement ticket.

Rental Cars

1. Do I have any recourse if the rental car company doesn't provide me with the type of car I reserved?

If you haven't put down a deposit or guarantee, the company is still required to have a car available. But rental car companies often overbook to cover no-shows, which means that the class of car you reserved won't be available. The rental car company will usually provide you with a larger, more expensive car and tell you it is giving you a "free upgrade." Most renters are happy to accept the upgrade to a larger, more expensive car. If you accept a smaller, cheaper car than the one you reserved, the rental company is obliged to charge you the lower rate. If you refuse to accept a substitute car, you will probably have difficulty getting compensation afterward-you had a duty to reduce your damages by accepting a car that was a reasonable substitute for the car you reserved.

2. What if the rental car company fails to provide any car at all?

3. Can a rental car company charge a penalty if you don't show up or if you cancel your reservation?

4. My son was told he couldn't rent a car because he's only 20. Is that legal?

This discrimination is not illegal. Rental car companies can do business with whomever they choose, as long as they do not discriminate based on race, religion, national origin, sex or other categories protected under civil rights laws.

5. Do I need a credit card to rent a car?

If you don't have a credit card, you can get a prepaid voucher through your travel agent by paying for the rental car first at the travel agency and bringing the voucher to the rental counter. The voucher may not cover taxes, surcharges, additional drivers, upgrades and other charges, so be sure to find out exactly what is included with the voucher before you pick up the car. Many companies require you to present a credit card or provide some other form of deposit even if you are using a voucher, so call ahead to find out.

6. Can a rental car company screen me based on my driving record?

Instead of screening you, some rental car companies may require you to sign a statement that you have an acceptable driving record. This shifts the responsibility for providing accurate information away from the company and to you. If you have an accident and signed a statement that turns out to be incorrect, the rental car company could use it against you by claiming that you acted in violation of the rental agreement.

Rental Car Screening Standards

• were caught driving with a suspended or invalid license
• had one instance of drunk driving, hit-and-run, driving a stolen car or other serious offense
• had three moving violations, or
• were at fault in two accidents.

• Call your motor vehicle department to see if your state makes driver records available. If it doesn't, then relax and don't worry about being screened.
• If your state makes driver records available, when you call to reserve a rental car, ask if the company screens driving records and whether it maintains a nationwide blacklist.
• Get your driver record evaluated by a screening company. Several companies evaluate driving records to determine in advance whether drivers will be disqualified from renting. TML Information Services (800-388-9099), the leading evaluator of vehicle records for rental car companies, operates a program for drivers from states that make driver record data available online. For around $11 (less for AAA members), you can get an evaluation of your driving record against the criteria for screening risky drivers used by six major rental car companies.
• If you don't want to pay for an evaluation, get a copy of your driving record from the motor vehicle agency in your state (allow plenty of time), obtain the screening criteria of the rental car companies you are considering and make an evaluation on your own.
• If you are traveling for business, rent from a company that has a liability agreement with your employer-the screening company may overlook items that would otherwise disqualify you.

7. How do rental car companies establish rental rates?

8. Can the rental car company tack on other fees?

• Mileage charges. While many companies offer unlimited mileage, mileage charge policies change frequently, and you should ask each time you rent.
• Fees for renting at an airport. Renting at an airport may be more expensive than renting at an urban or suburban location because airports and local governments often add surcharges and taxes to rental car rates.
• Additional driver fees. Most rental car companies charge extra for anyone who drives the car other than the person who signs the rental agreement. Often, additional driver charges are waived for your spouse, immediate family member or business associate.
• Young driver fees. As indicated above, many rental car companies add a daily surcharge for any driver aged 21 to 24.
• Child safety seat fees. All states require children under a certain age to be placed in child car seats. If you don't bring your own seat, you will be required to rent one, usually at a cost of $3-$5 per day or $25 per week. You may be charged more for one-way rentals, and you may be required to make an extra deposit for the seat if you are paying cash for the car rental.
• Vehicle drop-off fees. Many rental car companies charge higher rates for dropping off a car at a location other than where you rented, unless the drop-off location is within the same metropolitan area as where you picked up the vehicle. Charges for picking up the car in one city and dropping it off in another can be as high as $1,000.
• Refueling charges. Most companies require you to return the rental car with a full tank of gas. If you don't, you'll be forced to pay the company's inflated price per gallon, as much as $2-$3 for on-site fill up.

9. Do I have to take the rental car insurance offered to me?

When faced with a rental car insurance policy, adopt this basic strategy:

• determine what coverage you already have through your automobile insurance or credit cards.
• find out what insurance options the rental car company offers, and
• don't fall prey to hardball sales tactics-buy only what you need.

10. What is loss damage waiver? Is it insurance?

Rental car companies claim that they are not selling insurance, and that LDW is simply a waiver of the company's right to collect from you if the rental car is damaged or stolen while under your control. In most rental contracts, the rental company shifts all responsibility for collision damage or other loss to you; the effect of purchasing LDW is to shift responsibility back to the rental car company. But three aspects of LDW make its value suspect:

• the high pressure or deceptive sales tactics used to sell LDW
• the high price for LDW-especially when you may already be protected by your own insurance or credit card, and
• the number of exclusions (loopholes) in LDW coverage that allow the company to charge you even if you purchased LDW to protect yourself.

Should You Purchase LDW?

• You're in a foreign country and your auto insurance or credit card coverage does not include foreign rentals.
• You have no personal car insurance and do not want to rely on credit card coverage alone.
• Your personal auto insurance is insufficient to cover a rental vehicle.
• You can't afford to carry any credit charges until the credit card company reimburses you.
• Your rental car isn't covered under your insurance or your credit card coverage (this may be the case if you rent an antique or exotic car).

11. What should I know before I rent a car in a foreign country?

First, most countries will accept your valid state driver's license with another form of photo ID. Some countries may also require an International Driver's Permit (available through AAA offices). Check with an AAA travel office before you travel. You don't need to take a test to get an International Driver's Permit; all it does is explain (in a number of languages) the type of license you have, any limitations that apply and when it will expire.

Second, your personal automobile insurance policy may have restrictions or limitations on driving in foreign countries. Check your coverage, including the terms of your credit card policy, before you rent in a foreign country.

Third, in some countries, the police will take your license if you are involved in an accident or stopped for a moving violation, and will not return it until you have paid any applicable fine. Get receipts for all payments you make, and report any mistreatment or apparent scams to the American embassy or consulate in that country.

Fourth, certain European countries track traffic violations with street cameras that photograph cars at intersections. The police trace the drivers using the license plate number of the car and request payment from the rental car company for the ticket. The rental car company is within its rights to collect the fine from you, even if the company is informed of the violation after you have returned and paid for the car.

For More Information About Rental Cars

• A Consumer's Guide to Renting a Car, Alamo Rental Car, Office of Public Affairs, P.O. Box 22776, Fort Lauderdale, FL 33335, 800-445-5664.

• Autorental Europe, by Bill Meier (Lansing Publications, Box 1887, Pleasanton, CA 94566), discusses the rental process and provides detailed specifications of European car models.
• Exploring Europe by Car, by Patricia and Robert Foulke (Globe Pequot, Old Saybrook, CT, 800-243-0495), focuses on driving in Europe, with details on driving conditions and rules in different countries.
• Motoeuropa, by Eric Bredesen (Motoeuropa, Box 1212, Dubuque, IA 52004), includes country-by-country specifics about renting cars and driving in Europe.

Hotels and Other Accommodations

1. Must a hotel provide me with a room, assuming there's a vacancy?

A hotel can say "no" only if it reasonably believes that you will:

• not pay for your room
• injure or annoy other guests, or
• physically damage or otherwise harm the hotel (including giving it a bad reputation).

2. Must a hotel honor my prepaid or guaranteed reservation?

3. Is a guaranteed reservation the same as a confirmed reservation?

4. Do I have the right to a particular hotel room?

If it's crucial for you to have a particular room, make sure the hotel management knows in advance and that you receive written confirmation for your reservation of that particular room. If the room you reserved is occupied by other guests, the management may, but is not obligated to, move those guests to another room. (A hotel can satisfy its obligation to you simply by providing a room comparable to the one you reserved.) If the room is uninhabitable (say, a water pipe breaks), then the hotel is excused from providing that particular room.

5. Do I have a right to privacy in my hotel room?

The hotel management also has the right to enter your room to clean or perform needed maintenance, or if necessary, to stop you from disturbing other guests (for example, if you are playing the television very loudly) or destroying hotel property.

It is generally considered a violation of your privacy if the hotel tells an outside person the number of your room. The hotel can tell an inquirer whether you are a guest at the hotel and connect any caller to your room. If you wish to maintain complete privacy, you must make it clear to the management that you are not to be contacted by anyone and that no one is to be told whether or not you are staying at the hotel.

6. Why do hotel room rates vary so much?

Always check your hotel bill to see whether it matches the rate you were quoted when you reserved the room. Frequently, additional charges will be tacked on. Some, such as visitor fees or "bed taxes" may be mandated by local or state law and are probably legitimate.

Other fees, such as service charges or telephone charges, may not be legitimate. A hotel cannot legally charge you more than the rate it quoted to you when you made your reservation, unless you approve the charges in advance. Many states have laws requiring that all additional charges be posted or approved in writing by guests.

Ask About Hotel Discount Rates

• corporate employees-many hotels have negotiated rates with large corporations that are 10%-30% lower than their standard rates and these rates are generally available to anyone who asks for them (although an occasional desk clerk will ask for a business card or other ID)
• seniors
• families with children
• AAA members
• members of certain professional associations (like the American Medical Association or American Bar Association)
• guests paying with certain credit cards, or
• members of frequent flyer or frequent guest programs.

7. I paid a lot for a room that fell way short of my expectations. Do I have any recourse in a situation like this?

If your hotel room is unclean or unsanitary, report it to the manager and the housekeeping department immediately. If they are unable to clean your room to your satisfaction, request a new room or a refund. Should you end up in a serious dispute over the cleanliness of a room, the health and safety codes for the city or state where the hotel is located may provide the best support for your argument. Report any serious violation to local health authorities, not only to bolster your claims, but as a service to future guests. Take photographs of the offending conditions if you can.

8. I fell and hurt myself on a hotel's premises. Do I have any recourse against the hotel?

9. Does a hotel have any special obligation to protect its guests around the swimming pool?

10. Is the hotel responsible if I am the victim of a crime at or near the hotel?

11. Is the hotel responsible if my belongings are stolen?

The limitation of liability also includes a limitation for clothing and other personal goods you bring to the hotel. While you are not required to check expensive suits or mink stoles at the front desk as valuables, clothing and expensive luggage often exceed the amount of the hotel's maximum liability.

Generally, these limited liability laws were passed to protect hotels from forces beyond their control, such as fire or theft. If the hotel fails to use reasonable care to protect your valuables (for example, it leaves the safe unlocked), it will probably be liable for the full value of your loss.

12. Is the hotel liable if my car is damaged, broken into or stolen?

Whether the contents of a car parked at a hotel are the hotel's responsibility is not clear. They do not fall into the traditional categories of goods within the hotel or transportation. The hotel is most likely to be liable when you pay for parking, a valet or other employee takes your car, retains the keys and is informed of the value of the contents of the car.

13. What if I don't check out when I say I will?

Travel Agents

1. Does a travel agent work for me or for the travel industry?

You may feel that a travel agent should be "your" agent and should look out for your best interests, rather than the interests of travel suppliers. A good agent will take on this role, knowing that good customer service will lead to repeat business. In addition, the law is changing in this area, and sometimes a travel agent may be considered your agent as well. In most cases, however, the travel agent will owe you the normal duty owed by a salesperson to a customer, but no more.

2. Does a travel agent have any special responsibility when making a reservation for me?

When making a reservation, a travel agent must do his best to match the reservation to your specific requirements and limitations. If your travel agent makes the wrong reservation and you have a ticket on a plane destined for somewhere you don't want to go, the agent is probably responsible for paying the additional cost of getting you to your proper destination. If the agent books you into the wrong hotel or reserves the wrong type of rental car, he should compensate you for the difference between the value you would have received had the agent made the reservation properly and what you did receive as a result of the agent's mistake.

3. Is a travel agent responsible for confirming my reservation?

However, if your travel agent uses a tour operator or wholesaler who in turn makes your reservations, the agent probably has an obligation to verify your reservations with the various travel suppliers independently. The travel agent should not assume that a tour operator or wholesaler is reliable.

4. My travel agent charged me the wrong amount for my ticket. What should I do?

If a travel agent charges you less than the actual cost of your ticket, you are not entitled to travel for less than the established fare. The travel supplier may require you to pay the additional amount due before you travel. Whether you can recover the difference from your travel agent depends on the circumstances. If you knew the correct price, agreed to it and the travel agent simply hit the wrong key on the computer, you are not entitled to any compensation from the travel agent. On the other hand, if you didn't know the correct price and made your decision based upon what the agent told you, then you probably can recoup the difference if your reliance on the travel agent's statement was reasonable. If you were told that a $999 flight was $799, your reliance would probably be reasonable. If, however, you were told that a $999 flight was $9.99, you'd be out of luck.

5. Is a travel agent responsible for researching airlines, hotels and other suppliers?

If a travel agent books you on a flight that has already been canceled or in a hotel that has not been built, you have a fairly strong argument that the agent was negligent and failed to undertake a basic investigation. If, however, a tour operator suddenly goes out of business or a hotel closes between the time you make your reservation and the time you arrive, the agent's responsibility is less clear.

6. Must a travel agent warn me of any travel risks?

• A travel agent does not have to warn you about risks that are obvious and apparent, such as the risk that the car you rent from "Rent-a-Wreck" may not be in the best condition.
• A travel agent is not required to be a fortune teller, particularly concerning factors out of the agent's control. An agent might be liable for promoting a "sun and fun" vacation in India during monsoon season, but the agent does not have a duty to warn you about all possible conditions-such as unannounced strikes, political conditions or bad weather-that could affect your enjoyment of the journey.
• A travel agent does not have to point out disclaimers or other legal elements of an agreement between you and the travel supplier, although a helpful travel agent might do so.

7. How are travel agents paid?

8. Do any professional associations regulate travel agents?

If you have a complaint about a travel agent, ask someone in his office if he belongs to a professional association. If he does, contact the association as follows:

The association can tell you if the agent is a member in good standing. In some cases, an association may be able to help you if you have a complaint against one of their members. For example, ASTA has a mediation program to help resolve disputes between travel agents and their clients.

When You Plan a Trip, Don't Get Taken for a Ride

Each year, Americans lose billions of dollars in travel scams--they buy tickets for nonexistent flights or pay for a "prize" that consists of a couple of nights at a run-down hotel in a bad part of town.

It can be tough, at first glance, to tell a scam from a great deal. Dramatic discounts offered by legitimate travel services--such as drastically reduced fares on certain flights--make some fraudulent offers seem reasonable.

Fortunately, you can avoid most travel scams by learning to recognize the telltale signs. Here are some red flags to look for:

• You are "specially selected" to win a prize. If you haven't entered a contest, then the trip you have won is probably fraudulent.

• The company refuses to give anything in writing. Insist on receiving material in the mail before you pay anything, and refuse any demands to give money before you receive the material. Request complete details in writing about any trip before you pay, including the total price, service charges, processing fees, cancellation and change penalties, blackout dates and other details. A reputable company will be pleased to send you information.

• The company requires that you wait an unusually long time before taking the trip or receiving the prize. Be suspicious of any company that requires you to wait at least 60 days before taking your trip. Most scam victims pay with a credit card; the companies know that federal law gives you only 60 days, after you get your bill, to dispute a credit card charge.

• The company pressures you to buy or make an immediate decision. A company offering a genuine bargain should not convey a sense of urgency. Walk away from high-pressure sales calls or presentations that do not give you time to comparison shop.

• The company asks for personal information. Legitimate businesses do not need your income, social security number or bank account number--and scam artists have many ways to use this information to their benefit.

• The company gives vague references to "all major airlines" or "all major hotels." Fraudulent vacation certificates typically omit the dates for travel, names of service providers or price for the vacation. If a hotel is listed, contact it directly and ask whether it honors the certificates; the answer will probably be no.

• The company insists that you pay to collect a prize. Legitimate sweepstakes and contests never require payments from winners. No matter how reasonable the initial payment may seem relative to the value of the prize, there will be many additional requests for money before you ever actually see your prize.

• You must call a "900" number. Most travel solicitations that require you to respond by calling a 900 number (it's not toll-free, remember) are scams.

• You can't book the deal through a travel agent. If the offer must be bought directly and can't be booked through a travel agent, decline--there is a good chance that something is suspect.

• The company requests a direct bank deposit or certified check, or offers to send a courier to your home to pick up your check. Don't agree to pay by certified check or to have your payment picked up by a courier. Scam operations use private courier services and bank drafts in order to avoid prosecution in federal court. That's because federal agencies investigate travel fraud conducted via the post office or telephone, but not transactions that bypass mail and phone.

Benefits--and Limitations--of Travel Insurance

Montezuma's revenge? Hijacked by terrorists? Broke your arm bicycling through the Swiss Alps? Wear your travel misfortunes like badges of honor--your friends will call you a hero just for coming home alive.

As for the financial details of your troubles while on the road, that's the job of travel insurance. If you need to cancel or interrupt your trip, or if you become ill during your journey, travel insurance will reimburse you for the expenses you incur due to your bad luck.

Many travelers, however, purchase insurance that they do not need. Many standard homeowner's or health policies, for instance, cover lost luggage or accidents abroad.

Trip cancellation and trip interruption insurance are generally the most useful types of travel insurance, because they cover losses that are usually not covered by most travelers' existing coverage. These two types of insurance are often "bundled" and sold as a package.

Undoubtedly, having some sort of coverage in a traveling emergency can be a real lifesaver. But don't spend too much time time worrying about insurance coverage and unknown future disasters. With vacations like that, who needs real life?

Trip Cancellation Insurance

Trip cancellation insurance covers you before you travel. It reimburses you for any prepaid, non-refundable expenses, such as airline tickets or hotel rooms, that you cannot use because you had to cancel your trip.

Trip cancellation insurance generally kicks in if the cancellation is due to an unforeseen accident, illness or other specified event that affects you, a close family member or your traveling companion. Obviously, many terms are open to interpretation: "unforeseen," "other specified event," and "close family member" are not exactly self-explanatory.

For instance, if your chronic back problems flared up and forced you to cancel your trip, your policy might not reimburse you because your illness was "foreseeable." Many policies, in fact, specifically exclude pre-existing conditions. Injuries sustained during high-risk activities such as sky-diving are also usually excluded. And, strangely enough, almost every insurer excludes pregnancy from coverage. Be sure you know what reasons for cancellation will be accepted.

Similarly, be aware that your insurer may define "close family member" differently than you do. If you plan a trip with your live-in partner, for instance, and your partner falls seriously ill before you leave, you might not be covered for canceling your trip because only spouses are included in the definition of "close family member."

Terrorism or political unrest in the country where you are headed may be an allowable reason to cancel, but they are sometimes specifically excluded from coverage.

Finally, remember that trip cancellation insurance covers you before your departure, not during your trip. But when does your trip actually start? Be sure that your policy covers you while you are on the way from home to your departure point. If you have a car accident on the way to the airport, for example, your insurer might consider you to have already "departed" and refuse to cover your cancellation. Make sure you are covered for the entire period of time before you actually set sail, so to speak.

Trip Interruption Insurance

Trip interruption insurance covers you during your trip. If, while you are travelling, an injury, illness or other event prevents you from continuing, trip interruption coverage will reimburse you for expenses you incur because of the accident. Some policies also reimburse you for any unused prepaid expenses. Most commonly, trip interruption coverage is used to cover expenses for returning home early. Or, if you are delayed during your trip and wish to catch up to your original schedule, this type of coverage will often pay the economy fare to rejoin your itinerary. Additional living expenses may also be reimbursed if caused by a coverable delay.

Many trip interruption policies also cover medical evacuation costs, such as transporting you by helicopter to the nearest medical facility if you are injured while mountain climbing. Like trip cancellation policies, however, these policies generally exclude pre-existing conditions, so be careful not to aggravate your chronic back problem while hundreds of miles away from civilization. You might get stuck with an enormous bill from the search and rescue team that saves you.

Finally, if you cannot be saved, some trip interruption policies cover expenses in the event that you die during your trip. If you like to prepare for every possible contingency, you might inquire about this coverage.

Other Types of Travel Insurance

Other kinds of travel insurance are generally unnecessary because standard health, homeowner's or renter's insurance covers the same ground. For example, travel accident insurance covers medical expenses stemming from accidents during a trip, but the coverage is usually quite small and is often already covered by the traveler's health or automobile insurance. The same is true for sickness-hospitalization medical insurance. And with both, beware of pre-existing condition exclusions.

Accidental death and dismemberment (AD&D) insurance covers injuries that result in severe maiming or death. Again, most standard accident, disability or life insurance policies cover these accidents, which rarely happen during travel.

Finally, baggage insurance is usually unnecessary if you already carry homeowner's or renter's insurance. And it usually contains a significant number of exclusions, so the amount of coverage is usually quite limited.

Travel Scams

1. Are there any general rules to follow to avoid being the victim of a travel scam?

• The solicitation says that you were "specially selected" or "awarded" a trip or prize, but you haven't entered any contest.
• You must make a payment to collect your prize.
• The salesperson uses high pressure sales tactics or insists on an immediate decision.
• You must disclose your income, Social Security number, bank account number or other private information.
• The company offers great bargains, but refuses to put the details in writing unless you pay first.
• The salesperson makes vague references to "all major airlines" or "all major hotels," without saying which ones you will use.
• You must wait more than 60 days before taking the trip or receiving the prize. (Most scam victims pay for their "prize" on their credit card; scam artists know that you must dispute any credit card charge within 60 days. If they force you to wait more than 60 days, you can't challenge the charge.)
• The caller asks for your credit card number over the phone.
• The company requests a direct bank deposit or certified check, or offers to send a courier to your home to pick up your check.
• The deal cannot be booked through a travel agent.
• You must call a 900 number.
• The company cannot provide the names of references, or the references you call repeat nearly verbatim the claims of the travel provider.

2. Some of my daughter's college friends lost money when they signed up for a trip that was canceled at the last minute. How can my daughter avoid becoming the next victim?

Students should find out whether the tour company meets the standards set by the Council on Standards for International Educational Travel (CSIET). To qualify, tour operators must submit a review signed by an independent certified public accountant as well as extensive documentation concerning government regulations for student exchanges, promotions and student insurance. The Advisory List of International Educational Travel and Exchange Programs, an annually-updated booklet listing companies that meet the standards, is available from CSIET, 3 Loudoun Street, SE, Leesburg, VA 22075 (enclose $8.50 or $8.88 for Virginia residents); or call 703-771-2040.

3. We just returned from Hawaii, where we were constantly solicited to buy a timeshare. Are these deals as good as they sound?

The idea behind a timeshare is simple: for a one-time price plus an annual maintenance fee, you can buy the right to use a given vacation property for a certain amount of time (typically one week) each year. What you may not be told is the extent to which the annual maintenance fee will increase over time-one timeshare owner in Hawaii saw her annual maintenance fees climb 76% in six years. Timeshare operators also may force owners to pay unexpected "special assessment fees," sometimes as high as $1,000. While a timeshare has the potential to be a satisfactory arrangement, it often yields a variety of pitfalls and frustrations for the unwary purchaser.

A Typical Timeshare Sales Pitch

In the usual scenario, the catch for the gift is that you must sit through a presentation about a timeshare vacation property. The presentations vary, but most include high-pressure sales pitches that drone on for hours and leave visitors desperate to get out. Timeshare salespeople frequently go over the advertised time allotted for their presentation and are not responsive if you complain. They sometimes refuse to give the promised gift or discount if you don't buy. Although it may be illegal to not give you the gift or discount, few consumers complain-they just want out.

4. I've been told that I shouldn't by a timeshare because it will be hard to sell it later. Is this true?

Another problem is the likelihood that you will lose money on the sale of a timeshare. The original price of a timeshare may have included premiums of up to 40% to cover sales costs. As a result, a resale will yield as little as 60% of the original purchase price-plus you will have to pay a commission to the broker (often as high as 20%) who sells the property for you.

5. Is it possible to get out of a timeshare after signing a contract?

Suing a Timeshare Operator

You may also bring claims based on tactics used and promises made before you agreed to purchase your timeshare. These claims may be covered under state laws prohibiting unfair business practices or those designed to prevent fraudulent inducement. In both cases, the idea is that the seller used unfair sales tactics or lies to get you to buy the timeshare. You will have to show:

• what the seller said or did
• why it was misleading
• that you wouldn't have bought the timeshare if the seller hadn't used the misleading tactics or promises, and
• that you suffered some monetary loss because of the purchase.

If you are the victim of a timeshare scam, you can ask for two things. First, you can ask to rescind the contract. You would get your money back, and the seller would regain title to the timeshare. If the seller (or court) refuses this, you must prove monetary damages, the largest of which is the difference between the amount you paid for the timeshare and its actual value. As you can imagine, it can be quite difficult to determine the actual value of a timeshare, although the amount you could obtain by reselling it is one possible indicator.

6. I received a vacation certificate in the mail. How can I figure out if it's legitimate?

• Words such as "Certificate of Guarantee" and a spread-winged eagle or other prominent symbol designed to convey a sense of legitimacy.
• A variety of possible vacation destinations, with no designated dates or price.
• Exciting descriptions of what you will do, such as "gala cruise," "glittering casino action," "moonlight dancing" or "resort accommodations" with no designated company names.
• A phrase in the fine print indicating you were chosen "using credit and purchasing criteria to select individuals interested in the many benefits of travel."
• Fine print language stating that the receipt of one portion of the offer (for example, the airline ticket) is dependent on purchase of something else (such as hotel accommodations).

Where to Report a Travel Scam

State and Local Government Agencies

• State consumer protection office. See the list of state agencies in the Purchasing Goods and Services section of this Consumer site.
• Local prosecutor. Call the nearest district attorney or state attorney general's office and ask whether there is a consumer fraud division.
• State licensing board. Some states are starting to license travel providers. Ask your state attorney general if travel providers are licensed in your state.

Federal Government Agencies

• National Fraud Information Center. NFIC can help you file a complaint with the appropriate federal agency, give you tips on how to avoid becoming the victim of a scam or send you consumer publications. You can reach NFIC as follows: 800-876-7060 (voice), 202-835-0767 (fax), 202-347-3189 (electronic bulletin board), 202-737-5084 (TTD) or http://www.fraud.org. Or you can write to NFIC, c/o National Consumer's League, 815-15th Street, NW, Suite 928-N, Washington, D.C. 20005.

• Federal Trade Commission. Although the FTC generally does not intervene in individual consumer disputes, any information you provide might lead to an FTC investigation. Also, the FTC has free consumer publications that could be helpful before or after you travel, including Car Rental Guide, 900 Numbers, Telemarketing Travel Fraud, Timeshare Resales and Timeshare Tips. Contact the FTC, 6th and Pennsylvania Avenue, NW, Washington, DC 20580; 202-326-2222; http://www.ftc.gov.

• Department of Transportation (DOT) Consumer Affairs Office. DOT's "Fly Rights" guide contains information on federal regulations regarding delays, bankruptcy protection, overbooking, smoking and refunds. Copies cost $1.75 each and can be ordered by sending a check or money order to Superintendent of Documents, Consumer Information Center, Department 133-B, Pueblo, CO 81009. You can also register a complaint about an airline with DOT's Office of Consumer Affairs, I-25, Washington, DC 20590; 202-366-2220. DOT's website has additional helpful information at http://www.dot.gov.

• Federal Communications Commission. If you were defrauded by a telemarketer or phone solicitor, or sucked in when a travel service provider aired a fraudulent ad on radio or television, contact the FCC, Office of Complaints, Room 6202, 2025 M Street, NW, Washington, DC 20554; 202-418-0200; http://www.fcc.gov.

• U.S. Postal Service. If you were cheated by anyone who used the U.S. mail, contact a postal inspector. Look in the government listing of your telephone book white pages for the local address or contact the federal office, USPS, Inspection Services, 475 L'Enfant Plaza, SW, Washington, DC 20260; 202-268-4267, http://www.usps.gov.

Private Industry

• American Society of Travel Agents (ASTA). If you have a complaint concerning an ASTA member, contact ASTA, 1101 King Street, Alexandria, VA 22314; 703-739-2782. You can also request a free copy of Avoiding Travel Problems.

• United States Tour Operators Association (USTOA). If you have a complaint concerning a USTOA member or a question about USTOA's consumer protection plan, contact USTOA, 211 East 51st Street, Suite 12-B, New York, NY 10022; 212-750-7371.

• Better Business Bureau (BBB). You can provide a public service to other travelers by filing a complaint with all offices of the BBB where the scammer operates. In addition, the National Council of Better Business Bureaus operates a nationwide system for settling consumer disputes through mediation and arbitration. So, if you can find the company, you might be able to get some recourse through a BBB. BBB's online site is http://207.121.185.51/complaints/index.html.

7. How can I find out if a cheap airfare offered by a charter airline is legitimate?

The Department of Transportation (DOT) regulates the manner in which charter operators must handle consumer funds. Among other things, the regulations require charter operators to post a bond or deposit consumer funds in an escrow account. Nonetheless, charter operators have found ways to shirk the rules; they may fail to deposit passenger funds into escrow accounts or divert funds that have already been deposited.

DOT regulations require sellers of charter flights to file a prospectus with the DOT, explaining how their business is organized. To find out whether a low-fare carrier has at least done this, call DOT's Consumer Affairs Office at 202-366-5957 and ask for the carrier's prospectus number.

8. How can I tell whether a deeply discounted airfare is legitimate?

• Deceptive two-for-one offers. The airline promises two tickets for the price of one, but then requires you to buy a ticket in a class that costs the same, if not more, than two tickets at some other published fare.

• Misleading discounts. Some airfare promotions advertise drastic price reductions on airfares without specifying the base fare from which the discounts are calculated. Furthermore, airlines usually advertise ticket prices at half their true cost. The fine print explains that the fare is "each way, based on round-trip purchase," despite the fact that you cannot buy a one-way ticket at the price shown.

• Phantom "sale" seats. The classic airline bait-and-switch tactic is to promote low airfares for a given route and then fail to disclose the strict limitations on the availability of seats. The airline may try to sell you a higher-priced seat or may offer a reasonable number of low-fare seats for the first few days of the promotion, and then retract the seats for the duration of the ad campaign.

• Frequent flyer deceptions. Airlines continue to severely limit the number of seats that they allocate to frequent flyers, especially for business and first class seats. As a result, frequent flyer customers may have a difficult time getting the seats they've earned.

How to Solve Disputes on the Road

We've all seen an irate traveler pounding his fist on the counter, face red and temples pulsing, screaming at the nearest available victim (who may or may not speak English) about his shower's weak water pressure, his canceled flight or some other indignity. If your goal is merely to vent your anger, you might consider following his example. If, however, you want to actually resolve your problem, get a grip on your rage and start thinking strategically. Some time-tested principles will help you get results no matter what kind of problem crops up on your trip, from a lost suitcase to a canceled cruise.

People do make mistakes; it's unfortunate but inevitable that some of these mistakes will disturb your vacation. Rather than letting a problem take over your holiday, do what you can to fix it and move on. Don't allow your trip to be marred by trivial

Talk to the Right Person

Always try to speak with the most senior staff member to discuss your complaint. Don't waste your time and energy talking to someone who has no authority to arrange a solution. If your hotel shower is broken, for instance, complaining to the maid is probably pointless. The maid will call a manager, not a plumber; you might as well call the manager yourself. And a busy maid might not speak with the manager until hours later, while you and your family get more and more impatient.

The Regular Customer Advantage

Don't overdo or exaggerate your point, but politely explain that you regularly use their service and would like to continue using it. If you are a member of any frequent flyer, frequent renter or other program they offer, be sure to mention that, too. Also let them know that many of your family and friends are customers; smart businesses know those people will hear about your experience, good or bad.

Focus on the Solution, Not on Blame

Angry tirades often reduce your chance of getting assistance. Instead, keep your cool and try to calmly explain exactly what went wrong and how you propose that it be fixed. The adage "You'll get more bees with honey than with vinegar" should be your mantra.

Many people become obsessed with assigning blame for the problem rather than focusing on possible solutions. Worrying about who was at fault is generally a waste of energy, and it derails the discussion away from the ultimate goal of finding a solution. Rather than making a hotel manager defensive by accusing her of idiotically losing your reservation, for example, try to get her on your side so that you can work toward a solution together. You'll almost certainly get a more cooperative and prompt response.

Stay Flexible

It's amazing how people are sometimes so dead-set on a specific solution that they fail to recognize an even better deal when it is offered to them. Don't reject alternative solutions out-of-hand; try to remain open enough that you can at least briefly consider multiple possibilities. Moving your whole family to the jointly-owned hotel next door might initially seem like a real hassle, but it might be worth it if you got a luxury suite with a panoramic view.

Consider Leaving If You Are Still Not Happy

If all negotiations fail and no acceptable solutions have been offered or implemented, you might consider giving up and moving on to greener pastures: change hotels, get off the cruise ship at the next port, or re-book your flight. By refusing to accept the problem, you will strengthen your case for a refund once you get home.