Norwegian Cruise Line Cracks Down on Cancellations

Effective Jan. 1, Norwegian Cruise Line will make it tougher for people to cancel trips, with higher penalties for cancelled cruises and an earlier deadline.

In the past customers could cancel a five-day sailing 45 days from departure date and only forfeit the deposit. But in 2016 they will have to cancel 57 days in advance to do the same; cancelling 45 days from departure would cause a 50% penalty.

Customers cancelling cruises of seven days or more, even more than 76 days from departure date, now will forfeit 25%, where in the past they would only lose their deposit.

And customers who cancel less than 30 days before a seven-day sailing get charged a 100% penalty by Norwegian. Previously, the cruise line gave customers as little as 14 days on six-days or more sailing before they were charged a 100% penalty. 

But while travelers may feel a pinch from the changes, for travel agents, they are likely to grow the market for trip cancellation insurance, insiders noted.

Pic: Piergiuliano Chesi