TICO - Travel Industry Council of Ontario Travel Compensation Fund Questions and Answers

Question 1

A consumer purchases a vacation package from a TICO-registered travel agency.
The airline providing the flights for the package declares bankruptcy and ceases operations before the departure date.
What is the maximum amount the consumer can claim per person from the Travel Industry Compensation Fund?

Accepted Answer

$5,000

Answer

$2,500

Answer

$7,500

Answer

The full cost of the trip

Question 2

Which of the following situations would NOT be eligible for a claim against the TICO Travel Industry Compensation Fund?

Accepted Answer

A traveller is unhappy with the quality of the hotel accommodations provided in their vacation package.

Answer

A traveller is left stranded mid-trip because their TICO-registered tour operator went bankrupt.

Answer

A customer paid for a cruise with a TICO-registered agency, but the cruise line became insolvent before the trip.

Answer

A consumer paid a TICO-registered retailer for a flight, but the airline ceased operations.

Question 3

A client books a tour directly with a tour operator based outside of Ontario and pays them for the travel services. The tour operator subsequently goes bankrupt. The client contacts their Ontario-based travel agent for help. Can the client make a claim to the TICO Compensation Fund?

Accepted Answer

No, because the travel services were not purchased from a TICO-registered travel agency.

Answer

Yes, because their travel agent is registered in Ontario.

Answer

Yes, because the client is a resident of Ontario.

Answer

No, because the Fund only covers airline and cruise line failures.

Question 4

What is the mandatory deadline for a consumer to file a standard claim with the Travel Industry Compensation Fund after a TICO-registered travel retailer or end supplier becomes bankrupt or insolvent?

Accepted Answer

6 months

Answer

30 days

Answer

90 days

Answer

12 months

Question 5

A family of four paid a TICO-registered travel agency $24,000 in total for an all-inclusive vacation. The TICO-registered wholesaler that organized the package declared bankruptcy, and no services were provided. What is the maximum total amount this family could be eligible to claim from the Compensation Fund?

Accepted Answer

$20,000

Answer

$5,000

Answer

$24,000

Answer

$7,000,000

Question 6

The Travel Industry Compensation Fund is financed primarily by which source?

Accepted Answer

Contributions made by registered travel agents and travel wholesalers in Ontario.

Answer

Ontario government grants and subsidies.

Answer

A mandatory fee added to every travel booking.

Answer

Interest generated from unclaimed consumer deposits.

A consumer purchases a vacation package from a TICO-registered travel agency.The airline providing the flights for the package declares bankruptcy and ceases operations before the departure date.What is the maximum amount the consumer can claim per person from the Travel Industry Compensation Fund?